The print giant said today that as part of an ongoing review of its print operations that it has decided to reduce the number of permanent employees at its Clayton print site, with effect immediately. PMP adds that it will work with local management, employees and the union over the coming weeks to support all staff while the redundancies take effect.

Meanwhile, PMP also says that given the decline in print volume in the 2nd half of the 2009 financial year, it expects its 2nd half earnings (EBIT before significant items) to be below its 1st half results.

Richard Allely, the new CEO of PMP says, “This is a further decision consistent with the previously announced process of optimising PMP Print’s press operations to ensure the company continues to structure its business to reflect market conditions.”

He adds, “While PMP had sought to avoid redundancies through other initiatives it was left with no alternative at this time.”

The company concludes that the decision will incur an additional $4.5m in redundancy costs for the 2009 financial year to those previously reported in the company’s market outlook in February.

In February, PMP cut 76 jobs following the closure of heatset operations at facilities in South Australian and Queensland.

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