Up to 2,000 jobs under threat at USA Today owner Gannett

by Staff, Brand Republic 01-Jul-09, 09:00

NEW YORK - USA Today-owner Gannett is to cut between 1,000 and 2,000 jobs having already cut 10% of its workforce last year.

According to a report in the Wall Street Journal the cuts will come from its US Community Publishing division, which comprises Gannett's 80-plus local dailies.

Gannett, which owns the regional newspaper firm Newsquest in the UK, has around 41,500 staff in the US and has seen net income fall 60% in the first quarter as ad revenue fell 28%.

The cuts mark Gannett out as one of the most aggressive in reducing its head count in the face of the newspaper downturn. Last year it cut almost 5,000 jobs.

The publisher also asked employees to take several stints of unpaid leave in a bid to save costs.

The latest job cuts come after it was announced last month that CEO Craig Dubow will take several months leave as he recovers from back surgery.

In the meantime the company will effectively be run by chief financial officer, Gracia Martore.

There have also been changes at its flagship USA Today. Publisher Craig Moon resigned in March and was replaced by Detroit Free Press publisher Dave Hunke as ad revenue at the title fell 34% in the first quarter and circulation declined by more than 170,000 in the six months through March.

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Comments

Emily F - 02/07/2009

As all of you are painfully aware, the fiscal crisis is deepening and the economy is getting worse. Gannett's revenues continue to be severely impacted by this downturn, and its local operations are suffering. That is layoffs of its employees will be happening for the next few weeks. Gannett layoffs have been happening all over the country, as one of the largest chain of newspapers has been hard hit by the recession, and it seems no fast cash loans are going to be able to reverse the trend. The next round of layoffs for the newspaper conglomerate is going to be large, with numbers ranging from 1,000 jobs to 4,500 jobs are expected to be cut. Newspapers and other publications have taken an enormous blow during this recession. Papers seen as institutions have closed or gone entirely online, and it seems no <a rev="vote for" title="Gannett Layoffs Could Claim Thousands of Jobs" href="http://personalmoneystore.com/personal-loans/quick-loans/fast-cash/">fast cash loans</a> and bailouts are going to be made available, and no stopping more Gannett layoffs.