Last September I warned of the prospect of news deserts developing in this country. Among my recommendations was a policy offering tax credits to news media organisations for the employment of journalists. The report was met with indifference by the politicians in a position to do something about the hollowing out of our news ecosystem.
Yesterday, the News and Media Research Centre at the University of Canberra released a report advocating the use of refundable tax offsets for the employment of journalists in Australia. It is an idea whose time has come – on both sides of the Tasman.
For two decades our news media have faced the profound effects of technological change on a business model that has become increasingly fragile. Part of their response to declining traditional revenue has been cuts to editorial staff. Those cuts have been made not with scalpels but with machetes. Our newsrooms are a shadow of what they once were, and regional newsrooms have suffered particularly deep incisions. Australia has suffered similar damage to its journalistic resource.
Payroll tax credits are not a new suggestion – such proposals have surfaced more than once in Australia. Canada and two U.S. states (New York and Illinois) have made them a reality. South Korea has an even broader scheme that embraces the creative industries, while France has tax incentives to encourage investment in news organisations. Continue reading “A painless way to cut newsroom costs”
