Reuters to shed 500 staff

LONDON - UK news and information group Reuters is to sack a further 500 staff, as part of incoming CEO Tom Glocer's goal to overhaul the business and save £150m annually by 2003.

The cuts follows last week's announcement that the electronic news giant is to lose 50 top managers as part of a shake-up that could result in the departure of group marketing director Jean-Claude Marchand.

Rob Rowley, the former financial director who was passed over for the CEO's job, is expected to leave and Reuterspace, the internet arm of Reuters Financial that he runs, is expected to close.

This is believed to have been the result of the promotion of Phillip Green from head of Reuters Financial to chief operating officer, leading to the division's reorganisation.

The Greenhouse fund, the group's vehicle for investment in media and technology start-ups is preparing for a management buyout.

Glocer, who ran the Reuters Information business in the US, is said to be keen to keep a sharp eye on staff numbers and this initial purge is unlikely to be the last.



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