News Corp Australia boss Kim Williams has abruptly exited the company after just 20 months in the job – to be replaced by the retired former head of the Murdoch empire’s Victorian operations.
It marks the end of a short but turbulent reign which has seen a major restructure of the company’s operations, major job losses and open political conflict with the federal government over media regulation.
His departure also comes less than two weeks after News Corp chief executive Robert Thomson dispatched New York Post editor Col Allan to Australia to provide “extra editorial leadership” to the company’s newspapers during the next three months.
The appointment was seen by many commentators as a sign Mr Williams’ position was under threat.
He will be replaced from Monday by Julian Clarke, who has not served in a management role with the company in six years.
Mr Clarke was managing director of the News Corp-owned The Herald and Weekly Times for 16 years until 2007, before serving as chairman of the company – a role he stepped down from in June.
But Australian Shareholders Association spokesman and media industry commentator Stephen Mayne believes Mr Clarke is a short-term appointment.
“He has been retired from management for more than five years so it’s certainly unusual,” he said.
“So I would think this would be a relatively short-lived appointment to smooth everything over after the massive restructure Kim Williams did.”
In an internal email to staff Mr Williams’ said he was leaving the company with mixed feelings.
“An action like this is always taken with a heavy heart and a mixed bag of feelings and reflections on a wide range of experiences with News Corp across almost 20 years,” he said.
“It is certainly not a decision made lightly, or without an awareness of the impact decisions like this inevitably have on many close colleagues, clients and diverse bodies within the media community.”
Mr Williams joined News Corp in 1995 as the CEO of Fox Studios Australia and was CEO of Foxtel for 10 years before being promoted to chief executed of News Ltd (later News Corp Australia) in late 2011.
News Corp executive chairman Rupert Murdoch thanked Mr Williams for his service to the company.
“Kim has been a steady and courageous leader at a time when our businesses have faced unprecedented pressure and economic challenges,’ he said in a statement.
“I want to thank him for his unwavering commitment, and the blood, sweat and tears he has put into News Corp Australia.”
News Corp chief Robert Thomson said Mr Williams had decided it was the right time to go and paid tribute to Mr Williams’ role in successfully opposing the Gillard government’s proposed media reforms earlier this year.
“His leadership against hastily conceived reforms ensured that the vigorous and vital debate that has characterised our country will endure,” he said.
Bur Mr Mayne said Mr Williams’ departure was the result of internal News Corp politics.
“I think he ended up losing a power struggle with some of the editors who are close to Rupert Murdoch.”