'Why does he hate newspapers?' Free Press publisher asks after Pallister slams subsidy

The publisher of the Winnipeg Free Press is questioning why Manitoba premier Brian Pallister is sounding off against a funding package to help Canada's struggling news media sector.

Without being prompted, Pallister told reporters Friday he was worried the independence of journalists would be compromised if a part of their paycheque is covered by Ottawa's coffers.

In response, Bob Cox said he was puzzled by Pallister's remarks.

"Everything this government has done has reduced support for newspapers," he said.

'Why does he hate newspapers?'

"They eliminated payment for recycling of newspapers, reduced government advertising in newspapers and they've passed legislation that would eliminate mandatory advertising in newspapers, so-called legal notices," said Cox, the latter referring to a section of government legislation the province has so far decided against proclaiming.

"Why does he hate newspapers? I mean, that's what I would question. He's constantly questioning any kind of public support for newspapers and I have to ask why."

Earlier this week, the federal government announced a $595-million package over five years to help non-profit and for-profit news organizations.

It's expected most of the expense will be for a new tax credit for organizations to support the labour costs of producing original news.

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The goal is for the program to be funded by the government but have no role for politicians to decide what constitutes a media outlet or who would be eligible. The full details won't be available until the next federal budget, after the government receives advice from an independent panel from the journalism community.

Another temporary tax credit will be created for subscribers to digital news websites.

Plus, the government will allow non-profit media organizations to apply for charitable status, enabling them to seek donations for which they could issue tax receipts. 

Pallister said he wasn't criticizing the Liberal government's plan or the news media, but said the idea should prompt reflection about long-term dangers.

Lacking authority to criticize

"How easy will it be for the media to criticize anybody else or any other group that is in receipt of federal funding in years ahead?" Pallister said.

"It would seem that there would be a crisis of principle at that point in time and I think there might be a natural reluctance to criticize the hand that is feeding one's organization."

He argued journalists may feel a "sense of obligation or a perceived sense" of duty to the government that funds them. 

It might harm the trust that news organizations strive for, Pallister said.

"It may erode the very thing that you treasure, and I think that your readers and viewers treasure."

Feds have history of supporting media

Cox, who serves as chair of the board of News Media Canada, said federal governments have long assisted a wide range of media organizations, such as the CBC, magazines, community newspapers and Indigenous publications.

"That money doesn't influence coverage so why would any new money to journalism influence coverage?" he said.

Cox supports the creation of an independent body to define journalism standards and determine eligibility for the tax benefits.

It's not outside the norm of what governments already do, he said.

"They give out money to various groups of various purposes and it does it at an arm's length," Cox said. "The Canada Council gives out arts grants based on the merits of applications. The government doesn't decide who gets an arts grant, but it funds arts."

Cox is hopeful the federal funding would cover around 10 per cent of his newsroom budget.

He expects the grant, at the least, to preserve current staffing levels, though he's optimistic the funding will help the Free Press expand coverage.  

There may obviously be exceptions to that rule, but far and wide I believe in the freedom of the press.- NDP leader Wab Kinew

When asked if current federal funding undermines CBC's objectivity, Pallister said other news organizations will begin to be cast in the same light.

"You're all, quite frankly, going to take on the appearance of the CBC to some degree with respect to their subsidization."

In a statement, CBC spokesperson Chuck Thompson said the broadcaster is encouraged by Ottawa's measures to address the economic challenges affecting all media and the government's commitment to assist the sector while safeguarding journalistic independence.

NDP leader Wab Kinew doesn't think the objectivity of journalists is at risk.

"Journalists, in my experience, are governed by official codes of conduct but, more often than not, personal and moral codes of conduct to be free and unbiased in their reporting," he said. "There may obviously be exceptions to that rule, but far and wide I believe in the freedom of the press."