Eight staff to lose jobs at Leicester's Phoenix Square in bid to ease cash crisis

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Friday, September 03, 2010
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This is Leicestershire

Eight staff have been made redundant at Phoenix Square in an effort to ease the arts centre's financial crisis.

The job losses involve the film programmer, education officer, marketing manager, two production personnel, two digital personnel and the creative director.

A staff union has criticised the decision and said that some of the people being made redundant were key to the arts centre's success.

Until now, the £21.5 million digital arts centre, which has suffered from low ticket sales since it opened last year, had more than 70 staff.

It is believed that three more job losses could be announced in a fortnight.

Former employees who have been made redundant estimate that this week's staff cuts will save an estimated £190,000 a year.

They say that alternative proposals submitted by them – where fewer lower level staff would lose their jobs – would save just as much money.

Phoenix Square still needs an immediate bail-out of £250,000 this year and management are awaiting a decision by the city council over extra funding.

Commenting on the staff who had lost jobs, regional Unite officer Paresh Patel said: "They have helped the centre grow and are key to the function of the business.

"We have come up with an alternative business proposal which avoids getting rid of skilled grassroots workers who make the Phoenix what it is.

"They are the ones bearing the brunt while the top layer of staff are safe.

"There was no room for discussion with the management with regard to voluntary redundancies or senior staff taking pay cuts and we think this was wrong."

Among the people being made redundant is film programmer Alan Alderson-Smith

The expert programmer, who has 25 years of industry experience, was given just two hours to clear his desk on Tuesday.

He said: "I feel they are getting rid of the very people who keep the Phoenix going.

"I'm worried this is part of a move towards making the cinema a commercial multiplex which is not what it is about."

Among their roles in the last year, the staff who have been made redundant have been responsible for work with the autistic community, successful film courses and art house film festivals.

Chair of the Phoenix board Ted Cassidy said the redundancies were "regrettable".

He said: "We have had a very challenging first year in business in the height of a recession and we have to find a way of stabilising the business and putting it in a position to move forward.

"It is regrettable that we have to lose talented and respected people in the process ."

He added that a member of senior management – the creative director – was also being made redundant.

When asked why the Phoenix was in financial difficulty, he said: "The pace of regeneration in the area has slowed and there is very little footfall in the area, and there is a national downturn in the number of people going to the cinema."

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  • Profile image for This is Leicestershire

    by John Singh, Leicester

    Monday, September 13 2010, 11:13AM

    “I cannot believe Alan's been forced to resign. He's the heart and soul of the Phoenix. I used to travel to Leicester from Nottingham when I had next to no money just to see some of the old reels of amazing avant garde cinema he would somehow get hold of! I can't think of any other cinema outside of London that has put on a retropective showing the original reels of Tarkovsky (rather than digital editions). At the time the only other cinema putting on such incredible films was the Lux in London. It was certainly a factor in deciding to move to Leicester back then! I always worried that upsizing would put pressure on the programmer to sacrifice the more edgey obscure films that made Phoenix so special. His resignation presumably marks a further move to the soft US indie cinema of places like Broadway. I'm gutted.”

  • Profile image for This is Leicestershire

    by M Sutton, Leicester

    Monday, September 06 2010, 1:59PM

    “When is this council going to start spending money on facilities that people will acutally use rather than what they think would be good for our spiritual and mental well being? They seem to be obsessed with the arts and there are obviously too many luvvies within or lobbying the council.

    Go to any other city and you will find all manor of venues geared to entertaining young and old, which don't involve a big screen or stage. All we seem to do is close anything outside the arts down.

    The old Phoenix was never a commercial success so why did they think this one would be? I am sure it won't be long before we start hearing about a similar crisis at the Curve.

    I am sure they will both make excellent Tesco Metro's or Aldi's when they are sold off by the council - but only after years of draining the Council Tax payers purse first!”

  • Profile image for This is Leicestershire

    by Martin, Leicester

    Sunday, September 05 2010, 4:48PM

    “Sorry, but we need to cut through the comments about parking and the location. This is a time of crisis for Phoenix Square.

    The major issue is that the creative team has been stripped from the Phoenix with no forethought by the Chair of the Board as to how creative programming and film education will be done in the future. These are the functions of the organization that have the best chance of ensuring the success of Phoenix Square.

    We need to ask serious questions about how many of the Board (including the Chair) know the slightest thing about the film industry, or realise that independent cinemas like the Phoenix receive European funding for showing the kind of diverse range of films that cannot simply be booked by an external agency (which will, inevitably, be outside the region).

    The Phoenix has been through two CEOs in the last three years, and they and the Board are responsible for the financial situation by setting over-ambitious targets for audiences (in fact, in this respect the Phoenix compares very well regionally and nationally), and also for failing to adequately market the new venue in the city and the region.

    These are serious senior management failings that have not been redressed with these redundancies. Indeed, the redundancies of creative staff only serve to mask the lack of informed leadership of the senior management.”

  • Profile image for This is Leicestershire

    by j, leic

    Saturday, September 04 2010, 10:17PM

    “Oh Tracey, do give it a rest. You have ten a penny "skills" that anyone who has ended up stuck in retail has got, they aren't anything special.”

  • Profile image for This is Leicestershire

    by Tracey Anne Miller, Leicester

    Saturday, September 04 2010, 12:09PM

    “A few years ago, Ted Cassidy asked for interested members of the public to apply to be on the Board of the old Phoenix.

    Oooh, I thought. I'm a retired 40-something who worked for Next setting budgets & spending plans for new & old departments.

    I love film, I'm at the Phoenix sometimes 3 times a week, what with the film courses & with the screenings of cinema unavailable elsewhere in Leicester. There's going to be a big new building & they'll need big new ideas ! I've time on my hands & a barrow full of suggestions & strategies - I'll apply !

    The interview did not go well. I used words & phrases which were frowned upon :

    "You will need to dramatically increase footfall" I declared (falling back on my old Retail parlance) & offered a list of Marketing suggestions to help widen the demographic. "We will need to become more commercially* aware & increase the £ spend per customer to help make the new Phoenix self-sustainable".

    Ted Cassidy looked at me with distaste - I think it was the 'c' word* that did it. "This isn't just a cinema, it's a Digital Media Centre" he replied frostily.

    Both myself & a fabulous old Phoenix regular, who had been mentor to M&S's CEO Stuart Rose, were told we were 'unsuitable'.

    To whom are the current & no doubt eminently suitable Board accountable & how do we get them removed ?

    Who set the budgets for Phoenix Square which, without a marketing push. serious promotion & new customers, were frankly unachievable ?

    Was any of the £250k shortfall a 'Golden Handshake' for the previous CEO employed by Mr Cassidy as a 'Digital Media' expert ?

    Why has the decision been made to obliterate the Programming & Education departments which offer both a USP & increased revenue ?

    This is, potentially a terrific AND a profitable venue.

    I'm still happy to offer my time & expertise for free. A close friend, who runs a London PR agency has some cracking suggestions which will cost Phoenix Square nothing &, looking at the overwhelmingly constructive comments from the public - we care & we can help.”

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