‘Modernise or perish’: TV’s existential threat after period of sustained damage, scandal
The report found 52 per cent of Nine employees had experienced or witnessed an abuse of power, and 49 per cent experienced bullying, discrimination or harassment. Photo: AAP
Prominent entertainment experts and leading advocates for ending sexual discrimination have warned that Australia’s commercial TV networks must revolutionise their culture after a spate of scandals.
Both the Nine Network and the Seven Network have this year been rocked by investigations into their workplaces, with multiple alleged instances of bullying and sexual harassment uncovered.
The scandals come as these traditionally dominant networks face challenges from dwindling advertising revenue, the rise of streaming and falling ratings, which have compounded the existential threat to their powerful standing.
In response to the scandals Seven issued a statement about their commitment to building a stronger culture, and one of Nine’s long-standing anchors, Karl Stefanovic, delivered a sombre on-air message that “this stops now”.
Queensland University of Technology Professor Anna Potter, and expert in digital media and cultural studies, told The New Daily that Nine and Seven must “modernise or perish”.
Currently undertaking a research project titled Making Television Australian in the 21st Century, Potter says Nine is under “two enormous pressures”.
“There’s a really disturbing corporate culture … and the fact that they’re under immense financial pressure … their business model has been squeezed.
“At least they had the sense to innovate launching its own streaming service with Stan, but there’s the departure of [CEO] Mike Sneesby and the $3billion reduction in its valuation for Nine Entertainment which prompted his departure.
“What do companies do? They try and reduce costs through staff or content acquisition and production.
“There are two distinctive and destructive forces effective at the moment … one is their culture, and the other is market forces.”
The University of Melbourne’s associate professor in public policy and expert in media and pop culture, Lauren Rosewarne, told TND change “can’t happen overnight” given the networks still need to continue operating.
“On the surface, of course, the report is damning, as is the associated bad PR … the networks however, have to determine the extent to which negative perception actually – measurably – impacts their bottom line.
“If it impacts their bottom line – which is, ultimately, the primary concern of businesses – then their hand is pushed as related to reform.
“That said, there is a long history of companies who weather similar storms because they are interpreted to be PR problems but ultimately not economic ones, thus the issue is “solved” through carefully curated window dressing.”
Rosewarne says it will be more a process of “tweaks” to acclimatise to a changed workplace, which could take years.
In a survey published in late October by national violence prevention organisation Our Watch, research found 40 per cent of workplace leaders were not aware of their new legal obligations to prevent workplace sexual harassment.
Our Watch boss Patty Kinnersly told TND “workplace sexual harassment is unfortunately common” and warned about repetitional damage.
“Several recent high-profile cases in some commercial television networks show just how harmful it is for those experiencing the violence, and the negative commercial impact for businesses.
“Organisations can experience reduced productivity and morale, higher staff turnover and difficulty recruiting good people, as well as damage to their reputation.
“More broadly, sexual harassment costs the economy $3.8 billion a year.”
The Australian Human Rights Commission doesn’t issue “warnings” in this space and can only comment on the broader issues of what it means for businesses and what their obligations are.
In a statement to TND, Sex Discrimination Commissioner Dr Anna Cody said businesses “need to take systemic action, have clear, simple, transparent policies and educate their work forces about what sexual harassment is and what they can do about it”.
“All levels of leadership need to know what is happening in their business and create a culture of inclusion and respect,” she said.
“There are clear actions which a business must take under the law to ensure they eliminate sex discrimination and sexual harassment.
“As well as systemic action, they also need to respond with compassion to any person who has been sexually harassed or faced discrimination or bullying.”
Karl Stefanovic told his Today show audience: ‘I genuinely feel for the women who have given testimony, I can’t imagine how hard that was and the courage that it took’. Photo: Nine
‘Punishment island’
Workplace culture firm, Intersection, was engaged by Nine in May to conduct an independent review of workplace culture.
It found Nine had a “very high prevalence rates of abuse of power or authority” along with bullying, discrimination and sexual harassment across the company.
They conducted 122 face-to-face interviews and received an astonishing 934 staff survey responses, concluding “known perpetrators” were not dealt with and victims, also staff, were just warned to avoid them.
The review made 22 recommendations.
The second chapter, In Their Words, published harrowing anecdotes.
The review did not extend to making findings about individual incidents or allegations.
- “We used to talk about being bullied, harassed or publicly humiliated like you’d talk about the weather. Now when I look back it horrifies me how normalised it had become”
- “I have been on ice [by my manager] for speaking up about a story. Everyone calls it ‘Punishment Island'”
- “When I was younger I would be in tears about something like this. I have now become disengaged. I am exhausted by the games”
- “When I was in [location] [Individual] tried to groom me. He also touched me on the bum at the Xmas party and at other times he would rub my legs under the table … I saw him do it to other women.”
- “I have endured thousands of micro-aggressions over time. It is death by a thousand cuts … There was a point when I wanted to kill myself,” one respondent said.
Real change?
Potter says Nine’s corporate culture stems back to the Sir Frank Packer and Kerry Packer days, where “both were acknowledged as terrible bullies who were abusive to their staff”.
She says it’s up to the Nine leadership to modernise.
“Change comes from the top.
“Nothing I’ve seen so far fills me with confidence there’s going to be any radical changes at Nine other than sacking more people.”
The Nine board says it’s committed to implementing all 22 recommendations, including engaging an external complaints investigator, and accelerating and driving change.
After the Four Corners investigation, Seven West Media said it was concerned about allegations of poor behaviour and “any mistreatment of employees”.
“A number of matters raised represent old issues that have been well aired and health with, in some cases many years ago.
“Our focus is to build a stronger culture that enables our great people to thrive, and where unacceptable behaviour is not tolerated.”
Weeks later, Seven’s “sexy Santas” who danced at a staff meeting in WA as part of their Upfronts presentation went global, and unnamed staffers told The Guardian it was “cringe”.
After their long-time newsreader Sharon Ghidella was made redundant, she made it known she wasn’t a fan of a new editorial direction implemented to boost ratings and get staff to multi-task.
“I’m also not one to have my evening news served up with humour and horoscopes either, so, to be honest, it is time to go.”
‘Commercial reckoning’
Days after the review, Nine held a sit-down for 1200 people to showcase its 2025 content slate, explaining their business model to key advertisers.
It confirmed 22 million registered 9Now viewers, with combined assets (publishing, radio and video) reaching 95 per cent of the population.
Fiona Deer, who took over from Nine’s news director Darren Wick after he was stood down following allegations of inappropriate behaviour towards female staff, did not shy away from the issues.
“A lot of the trust, particularly with women in the newsroom, has been eroded,” she said last week after being interviewed for the Women for Media Report 2024.
She plans to give women back their voices because many felt her predecessors had taken them away.
“In this industry, we’re seeing a kind of commercial reckoning and we’re also seeing a social reckoning … where women – and blokes – are saying enough,” adds Potter.
She said that given the current trends, the commercial networks “seem to be in a slightly desperate cycle, a downward spiral”.
“It’s challenging for all of them.”
SWM’s new director of news and current affairs and editor-in-chief, Anthony De Ceglie, told the Melbourne Press Club he was set to implement a straightforward yet powerful policy — a “no d***heads” approach, reported TV Blackbox.
“I am a strong believer that as a leader, you also need to enforce a no d***heads policy, it only ever takes one person to disrupt an entire team, and if they’re not dealt with, then they can become a cancer that infects the whole staff.”