Transcontinental to cut 1,500 jobs
By Adnews Staff
Montreal-based Transcontinental is set to eliminate 1,500 jobs as part of a series of cost-cutting measures at its operations in Canada, the US and Mexico. According to the company, this is due to a number of commercial printing and direct mail projects have recently been canceled or postpones, along with a number of magazine advertising placements. "It's a difficult situation for everyone affected, but we are acting in the interests of all of our employees and our shareholders," said president and CEO François Olivier. "In the short term, this rationalization comes at a cost, but in the medium term it will protect the corporation's financial health." Late last year, the company also announced plans to consolidate the operations of Transcontinental Direct USA. The firm also intends to close some plants and terminate some publications, but no details of those plans are available. Along with other cost-cutting efforts, Transcontinental expects these actions to reduce its expenses by approximately $75 million annually.