McClatchy to Cut 1,600 Jobs
March 9, 2009 by Stephen Kersey
Filed under Business
McClatchy Co. (the publisher of 30 daily newspapers) will cut 1,600 jobs or about 15 percent of its workforce. As newspapers are trying to stay in business with plummeting advertising sales, the job cuts weren’t that unexpected but they were drastic.
The company publishes a variety of papers around the country including The Miami Herald and Sacramento Bee.
Image: sxc.hu
“The effects of the current national economic downturn make it essential that we move even faster to realign our workforce and make our operations more efficient,” Chairman and Chief Executive Gary Pruitt said in a statement.
McClatchy will incur approximately $30 million in severance costs, which will start by the end of the first quarter, through severance packages and attrition, as well as other consolidation and outsourcing. The CEO and executive officers will also take 10-15% pay cut.
On a similar topic, check out this article from 24/7 WALL ST. about the 10 major newspapers that will fold or go digital next.
