Now that other networks are feeling the financial squeeze, Disney/ABC Media Networks Group will also be implementing new guidelines to “reduce administrative costs”. Here’s ABC News prez David Westin’s email to his division about it:
We report every day on the economic climate and the effects being felt throughout the country. We are not immune from the downturn. At the same time, the importance of the election and economic stories reminds us how much we have to do to help our audiences absorb and understand what is going on around them. What we need to do — and will do — is to make sure that we have all the resources we need to cover the news.To that end, we (together with the rest of the Media Networks Group) are adopting the following new guidelines to reduce some of our administrative costs.
All executives are asked to fly one grade below what they’re entitled to. Some have contractual provisions on air travel, and the company is not breaching any contracts. But we are being asked to use our discretion on this.
All executives are asked to stay in “B” level hotels. I’m told that Travel knows what this means.
Starting immediately, the only business meals for which we will be reimbursed are those with third parties. Any meals (or drinks) with ABC or Disney employees will not be reimbursed.
All non-production (i.e. administrative) travel must be pre-approved by the CFO (in our case, Jim Hedges) in writing. Your finance and operations people can help you with this.
As of December 1, we will cancel all subscriptions (newspaper and magazine) for executives and production employees and move them to on-line. This change will have the added benefit of helping the environment. If there are particular circumstances where you believe this will materially impair your ability to get your work done, you should make your case to your executive producer or supervisorby November 15th. Dave Davis, Kate O’Brian, and Paul Slavin will review these requests and submit their recommendations to me.
We’re asked to keep any convention or conference attendance to an absolute minimum. Anyone who attends things like NAB or RTNDA, we need to have a conversation. If someone needs to attend, it will be a skeleton crew.
We’ll forego all holiday parties this year. This means that the company parties in LA, NY and DC are cancelled.
Thanks again for your understanding and cooperation. I won’t pretend that this won’t be difficult. But, I truly believe that there is a way for us to do this together that will result in a stronger ABC News.
SOME BIG MEDIA START TO DOWNSIZE: NBC And CBS Cut Staffing & Spending
We report every day on the economic climate and the effects being felt throughout the country. We are not immune from the downturn. At the same time, the importance of the election and economic stories reminds us how much we have to do to help our audiences absorb and understand what is going on around them. What we need to do — and will do — is to make sure that we have all the resources we need to cover the news.To that end, we (together with the rest of the Media Networks Group) are adopting the following new guidelines to reduce some of our administrative costs.





Does this mean that Les Moonves, Jeff Zucker and the like are cutting back on their expenses? Or reducing their deeply overpaid salaries?
Wow, those will be huge cost-cutting measures. That’ll save SO much more than trimming those multi-million dollar salaries…
Want to save some real money, Big 3 nets?
Stop spending $2 million or more on pilots that were written by stoned 19 year olds whose claim to fame is one & only one short story published on their blog or MySpace page!
There are tons of writers over, gasp, 30, or worse, 40, 50, or god forbid 60, that actually know about such lame, out of date ideas like story structure & character development!
Who are the networks kidding??? Unless those Christmas parties are ten-figure blowouts, everything listed above is window-dressing.
Nothing in this press release indicated cuts in executive compensation at ABC. The honchos aren’t foregoing a penny of their insanely high paychecks and stock options. All the pain is being felt downstream or downwind or on the lower rungs of the ladder, choose your metaphor.
None of this – at any of the networks or cable outlets – is coming anywhere near close to convincing me that SAG should change course one iota. The networks still want to shirk force majeure responsibilities they’ve already agreed to. They want to do away with residuals, period, by making productions made for New Media a residual-free zone, and they want to lowball the series development process by directly throwing small sums of cash at large numbers of film school students without having to bother with any of the creative guilds.
That last one – the low-budget New Media exemption the moguls are pushing so hard for – is especially irksome because SAG has proven they are willing to work as partners with their signatories in the low-budget arena. The guild has contracts that allow these productions to use guild actors for zero upfront. If/when the project goes into the black, the actors get a share. Share in the risk by offering our talent for free, share in the reward when the producers hit pay dirt.
But nnnoooooooooooo! The moguls insist that for some reason well beyond my compehension, that’s unreasonable, untenable, unworkable.
BTW the moguls’ argument that SAG should take the same deal as the other creative guilds and AFTRA is fundamentally flawed. There is no logic to doing something insanely stupid just because other people did it.
In television, the actors and writers are absolutely indispensable. SAG is absolutely in the right insisting on a real seat at the table. No amount of window-dressing pretend budget cuts is going to change that.
I work in NYC and everybody is canceling holiday events. Funny thing is it is just for optics.
Cancellation fees are pretty steep. Geebus throw a party and let people have some feeling of unity.
For emphasis, I’m now going to intermittently type in all caps how ABC can instantly save oodles of money…CANCEL JIMMY KIMMEL LIVE, RIGHT NOW!!!! Don’t even let him do another hour of that infectious diarrhea, Leno place-holder of a TV show. How is that schlubby zero still on the air? C’mon, show of hands, who would give half a rat fuck if it immediately went straight to mediocre talk show heaven? NOBODY! NOT ONE HUMAN BEING ON THE PLANET!
If it weren’t for folks leaving their TVs on after Nightline, which has recently regained its former glory as a fine show, Jimmy Kimmel Live would only barely break a 1.0 in the Nielson Ratings. I cannot fathom how it’s stayed on this long. Did an ABC executive lose a bet to Kimmel? Perhaps now that the economy has officially pulled up lame, the light will be seen and Kimmel will finally go away. We need QUALITY entertainment to get us through these difficult times. ENOUGH WITH REPETITIOUS, MIDDLING CRAP!!! We DESERVE better!
And you do need to save money, ABC.
Good for them!
Let’s face it. Producers and studios and networks are notorious for throwing money around and hiring too many people. That’s why it takes forever to get a fucking decision reached in this God forsaken town these days. All this party bullshit drains the money too so good to see they’ve been slashed. God forbid people actually work, right?
Most of these TV shows are WORTHLESS JUNK written by inexperienced teenagers. You can see it so obvious, full grown adults doing & saying the ditsy-est stooopid things that only a stoned loser would think is funny. Full grown women reciting lines that onlt a girlfriend-less 19 yr old would fantasize about.. and on top of this there’s the clueless east-coast left-wing political nonsense that permeates the news broadcasts like rotten garbage, driving away 50% of the viewership. Hollywood, you want to fix this financial train-wreck? FIRE the political activists and hire news men & woman that have enough personal integrity to REPORT the NEWS to an APOLITICAL audience. Then FIRE the shallow dweebs & computer effects twinks writing those stoopid sitcoms and hire ARTISTS. Real artists, not wannabe’s. Then we may actually consider BUYING YOUR PRODUCT.
Unindicted Co-conspirator and MBA_Dave , Who are these teenagers that are writing for what shows? Or is that just code for anyone under 30?
“Unindicted Co-conspirator and MBA_Dave , Who are these teenagers that are writing for what shows? Or is that just code for anyone under 30?”
That’s what I want to know. Near as I can tell most of these shows (shocking as it is to believe considering the quality) have very experienced writers on staff who have done a hell of a lot more than produce a story on their myspace blog.
There was that chick who wrote for FELICITY that lead her employers to think she was a teenager. Turns out she was pushing 40. She got fired not long after that. That was like ten years ago.
Nikki – Be great if you could track and let us know what other studio/net/agency holiday parties are cancelled. This is just ABC News-am curious about all the other ABC/Disney divisions. It really doesn’t feel appropriate for anyone to spend lots on a party right now.
Victoria
TJ & Danny: You’ve got to be kidding!
The ‘Felicity’ incident was just the one that got the most publicity.
Writers are constantly complaining that they can’t get work when they pass 30. Just because a few get jobs doesn’t mean that story ideas aren’t farmed out to recent grads of the USC film school.
The business is obsessed with selling its product to those 18-34. All you have to do is see what the bizarre scheduling is doing to the nets. Friday & Saturday have nothing on but shows aimed at us old farts, because we don’t go to the movies like the teens & twentysomethings do. So all the shows the nets pin their hopes on run Sunday-Thursday, so the movie companies will pour their ad $$$ into the Big 4 nets in hopes of causing the young & the stupid, who never read reviews, to go out to a show on Friday or Saturday night.
Incredibly they do!
People in their 30s don’t go out to the movies, they wait for the DVD or cable. They have kids & don’t want to pay a babysitter on top of the obscenely overpriced tickets & in some places, parking, tolls & the price of gas, even if it has dropped a lot the last week.
Do you think that all the Sunday night “newscasts’ report the weekend grosses because it’s news?
Of course not!
The public doesn’t give a shit what movie was #1 at the BO.
It’s a quid pro quo in return for all of those luscious $$$ that the movie companies have spent in the last week.
The business model of the broadcast nets is broken & they show no attempts at correcting what’s wrong with it. They just keep slapping Band-Aids on it.
They’re doomed to follow the makers of buggy whips, steam locomotives & celluloid collars into the dustbin of history.
First off, all parties are not canceled, as many execs are still hosting them; they just may not be as public. So this is lie #1. Second, who ever the “Green” jerk off that thought they were being smart by canceling subscriptions and converting them all online is a fucking idiot and should be fired. This will not last for very long.
Third, isn’t big media supposed to do well in recessions?!
Disney/ABC parties are cut across the board, not just ABC News.