Unifor President Jerry Dias makes his way to speak to the press in Toronto on Friday, August 25, 2017. The federal government is coming under fresh pressure to find solutions for Canada’s ailing newspaper industry following an announcement today that dozens of community and daily newspapers across the country will soon close their doors. THE CANADIAN PRESS/Chris Young

Unifor President Jerry Dias makes his way to speak to the press in Toronto on Friday, August 25, 2017. The federal government is coming under fresh pressure to find solutions for Canada’s ailing newspaper industry following an announcement today that dozens of community and daily newspapers across the country will soon close their doors. THE CANADIAN PRESS/Chris Young

Feds face pressure to help newspaper industry

The federal government faces new pressure to help hobbled newspaper industry amid more shutdowns

Ottawa is coming under fresh pressure to find a way to save the ailing Canadian newspaper industry, although the Liberals remain steadfast in their argument that the solution lies in the transition to digital platforms and more viable business models.

Torstar Corp. and Postmedia Network Inc. announced Monday they will cut nearly 300 jobs as they plan to shutter more than 30 newspapers across the country, with most of the dailies and community weeklies affected based in Ontario.

RELATED: Torstar, Postmedia newspaper closures aim to cut competition

“It’s absolutely brutal,” Canadian union leader Jerry Dias said Monday as he urged federal Heritage Minister Melanie Joly to protect print journalism.

Earlier this year, a major report from the Public Policy Forum called for a sales tax on foreign companies selling digital subscriptions in Canada and a $400-million fund to help finance reliable news and information. The Canadian Press participated in the roundtables and research.

And in June, the House of Commons heritage committee also issued recommendations on how to save the industry, including a five-year tax credit to compensate print outlets for a portion of their digital investments.

But in September, Joly unveiled a cultural strategy that was criticized by industry experts for lacking measures that could have given a boost to struggling newspapers across Canada.

RELATED: Newspapers snubbed in Liberal government’s cultural policy

At the time, Joly said Ottawa had no interest in bailing out industry models that are no longer viable, and would instead focus on supporting innovation, experimentation and the transition to digital platforms.

Asked Monday if news of the closures had encouraged her to rethink her approach, Joly reiterated that the government would provide support in the coming months for local media as they continue to shift to web-based models.

“Of course, I’m sad to hear about these local closures and my thoughts are with the families affected,” she said.

She also noted the federal government invests up to $75 million annually in the Canada Periodical Fund, which includes support for local media.

A government source said the Liberals believe there is still a strong appetite for local news and that there could be a way for other local media companies to begin filling in the gaps.

RELATED: Treat media providers equally, but don’t pass on costs, Canadians tell Joly

The source, speaking on condition of anonymity in order to discuss matters not yet public, said the Liberal government is looking at modernizing the Canada Periodical Fund in ways that could help local news outlets, such as by moving away from funding based on paid print circulation, which does not account for a digital audience.

Helping print media out of a crisis does not have to be about propping up a failed business model, said Dias, the national president of Unifor and one of several prominent Canadian business leaders who took part in consultations on the future of the industry.

“If the government wants to have a thriving industry, if they want to have freedom of expression, if they want to have journalistic integrity, then we’re going to have to find a mechanism to deal with it,” Dias said. “You put money into journalism. That’s what the issue is.”

Media union CWA Canada, which represents employees at The Canadian Press, also urged the Liberals to take urgent action.

Ottawa-area Liberal MP Anita Vandenbeld called the closures — several of which will impact papers in the national capital — an unfortunate development that will impact democracy and make it more difficult for politicians and community groups to connect with locals.

Vandenbeld said that if there are solutions available to help the industry, the government should pursue them. But she believes the industry’s challenges are a much larger issue that are part of a global trend.

“If there are solutions, then absolutely I think we should be doing what we can,” she said. “But I think this is a much bigger, societal issue than individual papers.”

Conservative MP Peter Van Loan, who is the heritage critic for his party, said he thinks the newspaper chains are making a mistake by shutting down the local papers, but said the federal government should not intervene.

“When you have dynamic change, the answer is not to have government fund money to turn back the clock and try to keep an old model alive that doesn’t work anymore,” said Van Loan, whose own Ontario riding of York — Simcoe is also losing a local paper, the Bradford Times.

But his Conservative colleague Karen Vecchio, whose southwestern Ontario riding is losing the St. Thomas/Elgin Weekly News, suggested it might be a good idea for the Liberals to take another look.

“I think they have to make sure, at the end of the day, they are supporting smaller communities and this may be a way,” Vecchio said. ”I think they should look at it once again and see what’s best.”

New Democrat heritage critic Pierre Nantel urged the government to reconsider.

“Wake up,” Nantel said. ”The barn is burning.”

Andy Blatchford and Joanna Smith, The Canadian Press

Like us on Facebook and follow us on Twitter.

Just Posted

(File photo)
Poverty reduction survey identifies 10 poverty themes

Poverty reduction plan will be finalized in July 2021

Nanaimo-Ladysmith MP Paul Manly says he has no intentions of leaving the Green Party. (House of Commons image)
Island Green MPs have “no intention” of leaving the party after ‘heartbreaking’ departure

Manly, May only remaining Green MPs after Jenica Atwin left for the Liberals over internal disputes

New COVID-19 cases on Vancouver Island by local health area for the week of May 30-June 5. (B.C. Centre for Disease Control image)
COVID-19 cases drop again almost everywhere on Vancouver Island

Nanaimo had four new cases last week, down from 22 the week before

Justine Keefer’s Cedar Elementary School Grade 6/7 class put together a student paper, as part of a school project. Pictured here Andrew Gregory, left, Felix Leduc, Addison Armstrong, Lucia Walker and Anise Dick. (Karl Yu/News Bulletin)
Cedar Elementary School students create their own newspaper

Grade 6/7 class publishes Wolf Pack News as part of language arts and social studies

Canadian Prime Minister Justin Trudeau participates in a plenary session at the G7 Summit in Carbis Bay, England on Friday June 11, 2021. THE CANADIAN PRESS/Adrian Wyld
Canada donating 13M surplus COVID-19 vaccine doses to poor countries

Trudeau says the government will pay for 87 million shots to be distributed to poor countries

Montreal Canadiens goaltender Carey Price (31) is scored on by Vegas Golden Knights defenseman Alec Martinez, not pictured, during the second period in Game 1 of an NHL hockey Stanley Cup semifinal playoff series Monday, June 14, 2021, in Las Vegas. (AP Photo/John Locher)
Habs fall 4-1 to Vegas Golden Knights in Game 1 of NHL semifinal series

Match was Montreal’s first game outside of Canada in 2021

Kelowna-Lake Country MLA Norm Letnick, assistant deputy speaker at the B.C. legislature, presides over committee discussions. The legislature is completing its delayed spring session this week, with most MLAs participating by video conference. (Hansard TV)
B.C.’s daily COVID-19 infections dip below 100 over weekend

Only 68 new cases recorded Monday, four additional deaths

Gabriola Island artist Sheila Norgate is promoting the Digital Innovation Group’s art impact survey. (File photo)
Vancouver Island artists get behind regional arts impact study

Artists urged to use their stature to help put arts and culture super-region on the map

The BC Ferries website went down for a short while Monday morning following a provincial announcement that recreational travel between health authorities can resume Tuesday. (Black Press Media file photo)
BC Ferries’ website crashes in wake of provincial reopening announcement

Website back up now, recreational travel between health regions to resume as of Tuesday

Neighbours fight a small late-night bush fire with garden hoses and shovels in Cinnabar Valley on June 5. They couldn’t get help from local fire services because the fire was located in an area under B.C. Wildfire Services jurisdiction. (Photo courtesy Muriel Wells)
Neighbours on edge of Nanaimo city limits left to put out bush fire themselves

Cinnabar Valley residents tackle fire with hoses and buckets for two and a half hours

Darren Campbell’s truck (pictured) was stolen when he stopped to check on a car in a ditch on Cowichan Bay Road on Monday morning. (Facebook photo)
Vancouver Island Good Samaritan’s truck stolen in nasty trick

‘Try to be a Good Samaritan and my $20,000 truck gets stolen right under my nose’

The Kamloops Indian Residential School is photographed using a drone in Kamloops, B.C., Monday, June, 14, 2021. The remains of 215 children were discovered buried near the former school earlier this month. THE CANADIAN PRESS/Jonathan Hayward
Communities grapple with what to do with former residential and day schools

Some tear them down as a tool to help healing, others repurpose them as tools for moving forward

Creative handmade signs abound at the June 13 Tofino rally for old growth trees. (Nora O’Malley photo)
VIDEO: Tofino stands in solidarity for Fairy Creek Blockades

Over 150 supporters attend rally hosted by Friends of Clayoquot Sound

Most Read