Fairfax Facing Backlash Over Beresfield Closure

BY MADELAINE MCNEILL

Fairfax Media is facing backlash following yesterday's revelation it will close its Beresfield printing plant and share printing networks with Newscorp.

With up to 70 local workers set to be made redundant as a result of the closure, the Australian Manufacturing Workers' Union is calling on the media giant to treat its printing staff with respect.

According to AMWU's National Secretary Lorraine Cassin, the Union last week received a document outlining a Deloitte study which showed closures would occur, but when Fairfax and Newscorp were approached by the Union regarding the rumours both companies vehemently denied the information.

"They've forgotten there are actually people behind those numbers," Ms Cassin told 2NURFM News.

"They're employees, and they're part of a community, and if they want their paper out there and to be read by the community then they should show respect for the workers and for the community."

Wallsend MP Sonia Hornery has also responded to the news and is calling on Fairfax to reconsider its decision.

The MP says the already-struggling area doesn't deserve to lose another industry and she's concerned potential flow-on effects may further harm other local industries.

"Our local papers should be printed locally," Sonia Hornery said.

"It's time to support local jobs and our local economy."

Lorraine Cassin says Fairfax, in correspondence with the Australian Manufacturing Workers Union, claimed consultation was underway, but the Union is disappointed this consultation didn't take place before the final decision was made.

"It's not consultation when you've announced you're closing the site, but now we'll come and talk to you about what that actually means," she said.

"I'm really disappointed on behalf of our members."

Fairfax has indicated to the AMWU that all employees affected by the closure will receive appropriate support and will be paid their full entitlements.

The Printing Plant at Beresfield. Image: Fairfax

It's an Absolute Disgrace: Newcastle MP on Leaked Light Rail Document

BY JESSICA ROUSE

It's been revealed the cost of the Newcastle Light Rail project far outweighs the benefits.

A leaked cabinet report revealed to Fairfax and the ABC shows the decision to cut the rail line at Wickham was made before costing of the light rail project was carried out.

When the costings were carried out the document revealed the 2.7 kilometre track cost benefit is only 70 cents to the dollar and initially the body responsible for funding high-cost infrastructure projects rejected the plan because it benefits ratio was less than one dollar.

The cost also blew out to around $600 million, which is $220 million per kilometre of light rail track.

Newcastle MP Tim Crakanthorp says there were clearly other options on the table, better options, which in the end would've been better for the city.

Image Transport NSW

"This report also indicates the government would've saved a heck of a lot of money if they'd done a cut and put the heavy rail underground and still opened up all of the city for a lot less money and gotten a much larger revitalisation bang for its buck."

A hypothetical plan to proceed with urban renewal without truncating the rail line had a benefit/cost ratio of around 2.4, meaning each dollar spent would be worth $2.40.

"This government is making the wrong decisions in terms of how they open up and renew the city and their own advice says that, but they choose to ignore it. It's no wonder they're not releasing these reports because they don't want to be called out and found out and they have been," said Tim Crakanthorp.

He adds, "This just shows the light rail was never a transport or an urban renewal decision. It was simply a political decision and it's an absolute disgrace that this government is spending this sort of money that gets a negative cost-benefit outcome."

The Rail, Tram and Bus Union has also commented on the revelations today, stating the negative impact they originally believed the project would have on commuters, is now the reality.

"Unfortunately this confirms everything we suspected, but were hoping wasn't true - that the NSW Government's decision to shut the rail line wasn't made with commuters in mind at all," said RTBU NSW Secretary Alex Claassens.

Newcastle Herald workers strike after Fairfax announce job cuts

BY JESSICA ROUSE

Staff from the Newcastle Herald will head back to work this morning after striking in solidarity with their Fairfax colleagues yesterday.

On what was UNESCO World Press Freedom day, media giant Fairfax announced they would be cutting 125 jobs from newsrooms at the Sydney Morning Herald, The Age and The Australian Financial Review in a bid to save $30 million dollars.

Staff at those mastheads have walked off the job for a week, disgusted at the company's decision to axe 25 per cent of its journalists.

Media, Entertainment and Arts Alliance CEO Paul Murphy said: "The editorial staff are really angry. They think the company has made a terrible decision that is not in the best interest of the company, its audience or its staff."