RTL cuts hundreds of roles at German publisher Biz Shake-Up

RTL is centralizing its German publishing business as the European broadcasting and media group continues to reshape its assets. More than 500 jobs will be cut as the company aims to focus on “core brands” and bring its publishing, TV and streaming businesses closer together.

RTL bosses say the reorganization will result in annual savings of 75 million euros ($80.2 million) and invest 80 million euros in the digital transformation of the remaining publishing assets.

The publishing brands Stern, Geo, Capital and Stern Crime will be integrated into RTL Nieuws in Germany. The reason is “synergies with the TV editorial team of RTL Germany” and the merger of RTL Germany and the publishing house Gruner + Jahr in November last year.

Other publishing brands such as Brigette, Gala and Hauser will remain in RTL Gruner + Jahr’s Germany business and will “selectively cooperate with RTL Germany’s TV and streaming business”.

All other titles will be sold or discontinued, and RTL Deutschland will begin discussions with co-shareholder Landwirtschaftsverlag Munster about the sale of its shares in mag brand Deutsche Medien-Manufaktur and explore its participation 11 friends.

The changes will eliminate around 500 jobs in corporate functions, IT, publishing and editing at the RTL headquarters in Hamburg. Another 200 jobs will be transferred to new owners through the planned title sale.

RTL has overhauled its publication titles in recent months as it faces an increasingly difficult domestic and international economy. The company also failed to secure its TV fortune despite planned network mergers in France and the Netherlands being blocked by authorities. Its Fremantle manufacturing arm is tasked with doubling its revenue by 2025 and has done $270 million in deals in the past two years.

Thomas Rabe, CEO of RTL Deutschland and CEO of Bertelsmann and RTL Group, said: “In light of the rapidly changing media landscape and the challenging macroeconomic environment, we have taken a closer look at RTL Deutschland’s publishing business in recent months. We have decided to focus on the core brands and will invest around 80 million euros in their further development by 2025. Our goal is to further strengthen the leading position and journalistic relevance of RTL Germany.”

“The combination of RTL Germany’s TV, streaming and publishing activities makes sense. This will result in significant synergies of approximately €75 million per year in key areas such as content creation, advertising sales, technology and data and business functions. The close integration of our brands and programs offers our customers and partners cross-media reach, allowing us to reach almost every German household.”