Douglas Fraser
Scotland business & economy editor

Image source, Getty Images

For 10 years under Rob Woodward's leadership, STV navigated the stormy waters of recession, the slow pick-up, upheaval in advertising and audiences shifting from conventional media.

It's been innovative, launching the Scotland Tonight programme at 22:30 on weeknights.

It took the experiment in local TV, ensuring that no-one else encroached on its advertising turf by taking franchises for Glasgow, Edinburgh, Dundee, Aberdeen and Ayr.

With disappointing figures for local, it re-shaped them into a digital Scottish channel, STV2.

Read more analysis here.

Committee convener Joan McAlpine asks when Ofcom would intervene if STV was not meeting license obligations.

Ofcom's Tony Close says STV is expected to continue to deliver its regulations no matter the structural changes it makes.

If it does not meet these, Ofcom has a range of tools at its disposal to address this, he explains.

But we don't anticipate it will fail to meet its requirements, Mr Close adds.

The committee will now hear from:

• Glenn Preston from Ofcom in Scotland
• Neil Stock of Ofcom
• Tony Close also from Ofcom

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Michelle Stanistreet from the NUJ argues STV's cost cutting programme will inevitably have a detrimental impact on the quality of the output.

Mr McManus points out when Yorkshire TV were taken over by ITV they felt they lost their cultural identity.

He argues if there was a quality threshold Ofcom would be in there tomorrow but he struggles to see how they would get involved.

There will be diminution of news from Edinburgh asks Mr Toner, who stresses the committee should ask Ofcom about the "Edinburgh opt".

Labour MSP Neil Findlay wonders if there is a deliberate move to get rid of staff who are higher paid.

"I believe so, yes," replies BECTU's Paul McManus.

I'm not saying they picked on people, it's just that craft camera tends to be at the higher end of the scale, he explains.

John Toner of the NUJ adds that voluntary redundancy would be less attractive to people with fewer years of service.

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Michelle Stanistreet from the NUJ says she found it quiet insulting hearing the chief executive speak.

Mr Stanistreet argues the optics of coming in the way Simon Pitts did is not a good look.

Paul McManus from BECTU points out kids rarely watch STV or BBC news but get their news on a mobile phone.

Mr McManus accepts: "We have to move with the times."

STV have "simply abandoned" their staff on this journey.

"It doesn't really matter whether its cock up or conspiracy," says Michelle Stanistreet of the NUJ, who adds the whole review has been problematic from the start.

To not have discussions with unions is remiss, she says.

Tory MSP Jamie Greene suggests the "modernisation" of STV had to happen eventually and he says it is one of the last broadcasters in the UK to make that shift.

"I don't accept that this is part of a modernisation process," Paul McManus of BECTU responds.

"This is about increasing the use of multi-skilled roles to save money."

Some of the technology that has been introduced by STV in recent years has been industry leading, he adds.

Ms Stanistreet agrees, saying modernisation is often used to cover cost-cutting exercises.

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John Toner from the NUJ explains there is one major broadcaster cutting jobs while just down the road there is another major broadcaster taking on 80 new journalists.

Mr Toner says some staff are going for these jobs at the BBC now in case they are let go by STV.

Paul McManus from BECTU argues from the highest levels of STV there has been an absolute disregard and a lack of commitment towards the staff.

Mr McManus insists STV are saying they're not going to put any time or money into training.

He says: "STV have steadfastly refused to invest in training those people."

"It's a damning corporate failure in my view."

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SNP MSP Richard Lochhead asks for an update on the latest talks.

Paul McManus from BECTU says the initial consultation ends tomorrow and the trawl for voluntary redundancies has closed.

Mr McManus explains the changes to posts will kick in at the end of the year and talks will go on until then.

He says individual discussions about individuals with STV are ongoing.

This is not the case of a company facing major financial crisis Michelle Stanistreet of the NUJ says.

The whole process from start to finish has been carried out with "unseemly haste", she suggests.

Ms Stanistreet says that if you don't have time to meaningfully engage and consult, it's very difficult for members to take anything other than a defensive position.

"There has been a lot of mistakes made and I hope the shareholders can learn from that."

Staff should be the fundamental priority, she argues.

Image source, ITV

STV's chairwoman has defended the "golden hello" given to chief executive Simon Pitts as "usual practice".

There has been controversy over the £853,000 welcome package after Mr Pitts unveiled plans to cut 59 staff.

Baroness Ford wrote to MSPs defending the "strategic review" under way at the broadcaster, which will see STV2 shut down after the channel lost £800,000.

She said it was "a pity that some commentators have tried to conflate the issue of Simon's pay" with the changes.

Read more.

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Green MSP Ross Greer asks if enough voluntary redundancies have been agreed to.

Paul McManus from BECTU explains STV management have said they want to talk to the unions about this.

Mr McManus explains STV elected to talk to individuals one to one about their future rather than have an all staff meeting.

He says he wants to believe management will listen to his suggestions and calls for flexibility.

Yes STV made mistakes and did not do this right as staff did not get written detail, says Mr McManus and he adds there have been positive aspects.

He concludes: "STV need to meet us in the middle so we can avoid redundancies."

John Toner of the NUJ expresses concern about the involvement of Crystal Amber, which has recently increased its stake in STV.

Crystal Amber now owns 18% of STV's shares.

STV's share price has risen by a third since the company announced details of a strategic review.

Green MSP Ross Greer suggests there have been different assertions about how staff have been kept informed of changes.

Mr Toner explains STV believes that the process of voluntary redundancy would not lead to enough people leaving as was needed.

Staff have been told contradictory things at different points, he tells the committee.

My experience indicates that organisations have often decided the end point before they have even consult with staff, the NUJ rep states.

In this case, the organisation appeared to have embarked on consultation without final plans on the new structure being in place he says.

We reported in May that on-air presenters at STV led staff from the broadcaster's Glasgow-based HQ in a demonstration of defiance over plans to make 59 job cuts.

Bosses said loss-making STV2 would shut with investment shifting to the main channel and online streaming.

Political editor Bernard Ponsonby, news anchor John MacKay and sports presenter Raman Bhardwaj were first to walk out to the outdoor meeting.

Union official John Toner told the BBC that staff were "extremely angry".

Read more here.

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Michelle Stanistreet of the National Union of Journalists (NUJ) says it is inevitable that when the quantity of news provision is diminished so will the quality be.

Ms Stanistreet fears what STV has to offer will be very badly compromised in the future.

SNP MSP Stuart McMillan asks why the NUJ balloted its members on this issue but BECTU did not.

Paul McManus explains that BECTU will ballot its members if anyone is facing compulsory redundancies.

John Toner from the NUJ say 80 members voted for industrial action and one voted against.

Staff have spent many years loyal to STV and we would have expected some of that loyalty to be repaid in skills investment and retraining, Mr McManus status.

There are feelings of fear, resentment and anger among the staff, he tells the committee.

Quality suffers whenever highly skilled staff are lost, the BECTU rep warns.

Read the NUJ and BECTU submissions to the committee here., external

Image source, bbc

Paul McManus from BECTU gets us underway, highlighting that STV is a commercial organisation.

Mr McManus explains the cuts are a financial exercise and they are not about improving operations.

He says investment in staff is our biggest concern here.

High end, highly skilled and highly loyal craft and technical staff are being discarded by STV for no other reason than to save money, says Mr McManus.

Image source, PA

STV chief executive Simon Pitts has said plans which could see more than 50 staff lose their jobs are "necessary" to guarantee the broadcaster's future.

He also dismissed speculation that the station is being readied to be sold off to ITV.

Mr Pitts told Holyrood's culture committee that "hardly anyone" watched STV2, with its flagship 19:00 news programme attracting 1,800 viewers.

And he said plans to create quality shows in Scotland which could be sold worldwide "if we get it right" could create many more jobs that would "dwarf" those currently under threat.

Read more.