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| Economy |
| Lawmakers worry Comcast-NBC merger would cut jobs |
| 2010-02-26 |
| Lawmakers are worried the merger of Comcast and NBC Universal will kill jobs in their districts. The concerns were raised by House members Thursday during a hearing on the proposed deal combining the nation's largest cable provider with the huge network broadcaster. "Universal Studios is located in my district," said Rep. Howard Berman (D-Calif.), a senior member of the House Judiciary Committee who represents Los Angeles. "It is a major employer. Not only Universal Studios but there are all kinds of other companies whose existence and well-being is related to the strength of the company. This is a jobs issue for me in a very real sense," he said. Comcast has insisted the deal will not result in massive job cuts, and CEO Brian Roberts, who testified Thursday, insisted the two companies have very few overlapping jobs. As a result, he said there will not be a need for workforce reduction. "This merger is to build and reinvest in Universal Studios, NBC and the great entertainment properties they have," Roberts said. Roberts said in a previous House hearing that he did not expect lay-offs after the merger. But Larry Cohen, president of the Communications Workers of America, says the $30 billion merger will put intense financial pressure on NBC, whose debt will increase by approximately $8 billion, to cut costs and jobs. "With official unemployment now at 10 percent, this is a time to evaluate all corporate transactions through a screen that assesses the impact on jobs," Cohen said. "We should not support a corporate deal that would eliminate good jobs." |
| Posted by:Fred |