Tag: ownership

Industry News

Salem Media Group to Sell Greenville-Spartanburg Signals

By TALKERS | by TALKERS
Salem Media Group announces it is entering into an agreement to transfer the ownership of Greenville-Spartanburg, South Carolina stations news/talk WGTK-FM, classic hits duo WRTH-FM and WLTE-FM toim
Educational Media Foundation for $6,775,000. Salem Media CEO David Santrella states, “We have enjoyed our years in the Greenville-Spartanburg market but have made the strategic decision to divest our interests there. As we do, we are grateful to be able to place these signals in the hands of Educational Media Foundation who share a like-minded mission with Salem through their music programming. We are also thankful to our Greenville-Spartanburg staff for their many years of service.”
Industry Views

NAB Out of Step on Non-Competes

By TALKERS | by TALKERS

By Walter Sabo
Consultant, Sabo Media
A.K.A. Walter Sterling
Radio Host, Sterling on Sunday

It’s tough enough for radio talent to navigate stable careers in these days of consolidated station ownership, personnel cutbacks and drastic salary reductions – but the NAB’s newly stated stance on non-competes adds insult to injury and is out of step with the interests of beleaguered professionals still hanging on for dear life in the programming sector of this industry. I understand that the National Association of Broadcasters is at heart a lobbying group representing the interests of the medium’s ownership but, c’mon – non-competes really are of another era and egregiously unfair.

This week the NAB announced that they were not in favor of the FTC ruling to ban non-compete clauses that prevent radio talent from crossing the street. The FTC is proposing the ban on non-competes for a broad section of industries compelling dozens of industry lobbies to sign a letter to Congress in opposition to the ban.

The lobbyists’ letter says that the FTC’s rule would invalidate millions of contracts around the country that courts, scholars, and economists have found entirely reasonable and beneficial for both businesses and employees. “Accordingly, we ask you (Congress) to exercise your oversight and appropriations authority to closely examine the FTC’s proposed rule-making.”

Government interference with the practices of any industry, especially in the area of freedom of competition, is never a good idea. The NAB and other industries believe banning non-competes constitutes FTC overreach. And that is a solid argument. However, the NAB also suggests that broadcasters present a unique case for non-compete clauses due to the “substantial investments broadcasters make in promoting on-air talent.” That’s where they are grossly behind the times.

Maybe in TV. But it has been decades since any radio company has made any investment in promoting their on-air talent. Do you have a $500 “name” jingle? Where are the billboards? Whatever happened to TV and newspaper ads?

Non-competes are deployed in most industries to protect trade secrets. All of radio’s trade secrets are on the air!

Walter Sabo, consultant, can be contacted at Sabo Media: walter@sabomedia.com. Direct phone: 646-678-1110.  Check out www.waltersterlingshow.com.