Think PR is safe from job cuts? Not so fast

[BYH]

The Broncos cut eight non-football staff employees yesterday, including their head PR guy and website managing editor.

Just another reason to root against them on Sundays.

http://www.denverpost.com/broncos/ci_8629051

 

[slappy4428]

It's OK. Am sure everyone will get all the information they need from the head coach.

 

[The Big Ragu]

That sucks. Paul Kirk is a good guy. He had been there 13 years. That is just beyond ****ty.

 

[GBNF]

Just another reason to root against them on Sundays.

1) Screw you.
2) No one is safe. The economy sucks.

 

[bydesign77]

Yeah, I don't understand why anything would be different in Puerto Rico anyway.

 

[The Big Ragu]

Just another reason to root against them on Sundays.

1) Screw you.
2) No one is safe. The economy sucks.

You have to put this in the context of a monopolized industry that is fairly economy-proof because franchise values are what it is about. With sports franchises the real values are the franchises values. This is according to Forbes. In their latest list, the Broncos were worth $994 million. Pat Bowlen bought the team for $78 million in 1984. Their operating income has slipped a lot, according to the list, but it was still a cool $15.9 million last year, toward the bottom of the pack. There are some teams that supposedly lost money, the Lions, Seahawks, Falcons, Colts & Vikings, but there are a bunch that just sort of break even of don't earn much. Maybe the Broncos see themselves as slipping more this year. They rely a lot on sponsorships -- Invesco, Annheuser-Busch, etc. Still this kind of cut is ridiculous on the face of it. When you own an asset that you can sell for $20 or $25 or $50 million more each year than you could have the previous year, that is the real value of what you have. Cutting coaching staff, and essential personnel can only eat away at that franchise value ultimately. And it makes you look like a joke.

 

[Grimace]

How much are they really saving? Eight positions, let's say they're each earning $100,000. Let's say they're saving a cool million in salaries. Add in insurance, expenses, etc., I can't believe it's going to make a huge difference in the bottom line.

 

[forever_town]

Perhaps they should just cut Jason Elam and go with some RFA kicker if they really want to help the bottom line.

 

[playthrough]

If news organizations are cutting reporters, that has to make PR staffs vulnerable, doesn't it? I don't know anything about this particular instance, but if I'm a PR guy and seeing more and more of my constituents (reporters) being axed, I can't feel like I'm providing as much of a service. Nice trickle-down effect.

 

[BYH]

Just another reason to root against them on Sundays.

1) Screw you.
2) No one is safe. The economy sucks.

You have to put this in the context of a monopolized industry that is fairly economy-proof because franchise values are what it is about. With sports franchises the real values are the franchises values. This is according to Forbes. In their latest list, the Broncos were worth $994 million. Pat Bowlen bought the team for $78 million in 1984. Their operating income has slipped a lot, according to the list, but it was still a cool $15.9 million last year, toward the bottom of the pack. There are some teams that supposedly lost money, the Lions, Seahawks, Falcons, Colts & Vikings, but there are a bunch that just sort of break even of don't earn much. Maybe the Broncos see themselves as slipping more this year. They rely a lot on sponsorships -- Invesco, Annheuser-Busch, etc. Still this kind of cut is ridiculous on the face of it. When you own an asset that you can sell for $20 or $25 or $50 million more each year than you could have the previous year, that is the real value of what you have. Cutting coaching staff, and essential personnel can only eat away at that franchise value ultimately. And it makes you look like a joke.

Thank you Ragu.

And GBNF: No need to get grumpy b/c I decided I don't like your favorite team. as noted by Ragu, it's pretty friggin crappy for a team worth nearly a billion bucks to cut eight positions. I've NEVER heard of a big three team laying off employees during non-strike times. Maybe I just missed 'em.

Guys get fired for not being the owner or GM's own guy, but laid off after years and years of meritious (sp) service under the same folks? Pretty crappy.

 

[Joe Williams]

If news organizations are cutting reporters, that has to make PR staffs vulnerable, doesn't it? I don't know anything about this particular instance, but if I'm a PR guy and seeing more and more of my constituents (reporters) being axed, I can't feel like I'm providing as much of a service. Nice trickle-down effect.

Apples and lugnuts. There aren't fewer media folks covering the Broncos, no matter how many reporters the two newspapers shed in Denver. Both rags still will cover the Broncos with as many scribes as ever. The cuts show up elsewhere, where high-profile PR types generally don't reside.

 

[Screwball]

If news organizations are cutting reporters, that has to make PR staffs vulnerable, doesn't it? I don't know anything about this particular instance, but if I'm a PR guy and seeing more and more of my constituents (reporters) being axed, I can't feel like I'm providing as much of a service. Nice trickle-down effect.

Who's to say that fewer newspaper jobs = less coverage? If anything, the PR guy might be more valuable now and in the future, in determining legitimacy for credentials among smaller papers, websites, cable and satellite outlets ...

 

[wannabeu]

Wow, that sucks. Just another reason to cheer against that smug Shanahan and Bowlen. Go anyone who plays the Broncos this year! Beat their a$%^&!

 

[Bubbler]

Isn't Bowlen the one driving the train to renogiatiate the labor deal because he's short on cashflow?

 

[The Big Ragu]

Isn't Bowlen the one driving the train to renogiatiate the labor deal because he's short on cashflow?

Yes. The Broncos are having cashflow problems. That is so rinky-dink, though. The guy owns a $1 billion asset. If the cash flow that comes with that is unmanageable for him, perhaps he should sell, or sit down and put himself on a more realistic budget.

 

[Armchair_QB]

Did the Broncos explain who was going to handle PR for them? I'm assuming this guy won't be replaced.

 

[DanOregon]

The Broncos recently let their GM go, maybe these were his hires and Shanahan wanted people more loyal to him. Show of hands on how this makes the Broncos better than they were last year?

 

[pseudo]

We've discussed it here before: most pro teams are ADDING in-house content, so they can get their propaganda message directly to the fans without those pesky media types getting in the way. That makes this move more than a little bizarre.

Don't know any of the people involved, of course, but I always thought Denver's media website was one of the best in the league. The fans on their message board are up in arms about losing Mason, who put a ton of work into the interactive part of the site. A sample:

The Broncos must be having some REAL financial issues, because this is a terrible move by Pat Bowlen.

This is the first time I've actually been embarrassed to be a fan of the Broncos organization.

Hope everyone lands on their feet. Like the vast majority of the people in the far-too-frequent slash-and-burn threads on this board, they deserved better.

 

[playthrough]

If news organizations are cutting reporters, that has to make PR staffs vulnerable, doesn't it? I don't know anything about this particular instance, but if I'm a PR guy and seeing more and more of my constituents (reporters) being axed, I can't feel like I'm providing as much of a service. Nice trickle-down effect.

Apples and lugnuts. There aren't fewer media folks covering the Broncos, no matter how many reporters the two newspapers shed in Denver. Both rags still will cover the Broncos with as many scribes as ever. The cuts show up elsewhere, where high-profile PR types generally don't reside.

Like I said, I don't know anything about this particular situation. My post was more in a general sense, about PR jobs in an era of shrinking mainstream media. Just a thought I had.

 

[Tom Petty]

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