New York Times Papers Reduce Staff, Salaries
March 27th, 2009by Glynn Wilson
The New York Times newspaper company is in such financial dire straights that it has announced a 2.5 percent salary reduction at its regional newspapers, which now includes The Tuscaloosa News and The Gadsden Times in Alabama since the company announced the sale of The Florence Times Daily last week.
This letter was sent out to Times employees via e-mail this week.
Dear Colleagues,
As you know, the global economic crisis is taking its toll on a broad range of businesses and sectors, here in the U.S. and around the world. We have reported in our own newspapers and on our own Web sites that the economy is likely to continue struggling throughout this year and possibly longer.
Given this economic outlook and the changes occurring in the media business, we, regrettably, must take even more steps to lower costs. We have been, and continue to, reorganize and reduce our staff, which means we are saying goodbye to many of our close colleagues. Now, in addition, we are lowering salaries through the end of this year for all remaining nonunion employees and, in exchange, providing additional time off. We plan to approach the Newspaper Guild in New York to ask for its participation in the program and to continue working with our unions in Boston and our other locations on lowering our costs, including wage reductions.
The salaries of all employees at The New York Times Media Group (with the exception of the IHT, which is working on other cost reduction measures), The Boston Globe, Boston.com and Corporate in New York will be rolled back by 5%, starting this April, and these employees will receive 10 additional days off to use before the end of the year.
At the About Group, Baseline, Globe Direct, International Media Concepts, Regional Media Group, Shared Services Center and Worcester Telegram & Gazette, the approach is similar, with salaries being rolled back by 2.5% with five additional days off. We made the distinction between the two groups by taking into account location and other factors. Next year, we plan to return salaries to their current levels. Of course, such a decision depends on the state of our business.
Many of you will have questions about these actions. Your manager or department head has been briefed with more details and is your best source of information.
This was a very difficult decision to make. The environment we are in is the toughest we have seen in our years in business. Across our Company, you and your colleagues have worked hard to introduce innovative products and services, reduce expenses and improve productivity. We are deeply grateful for your efforts and proud of your achievements. As we take these painful steps together, we remain confident that our great Company will keep moving forward to better times.
Sincerely,
Arthur and Janet
The Times announced last week it was selling its newspaper in Florence, the TimesDaily, to the company that publishes The Decatur Daily, an independently owned newspaper also in north Alabama.
Tennessee Valley Printing Co. Inc. also is purchasing the Florence newspaper’s companion Internet site, TimesDaily.com, and magazine.
Neither company disclosed the value of the deal, which was announced Tuesday, according to the Associated Press.
The TimesDaily was founded in 1889 as the Florence Times and has been owned by The New York Times since 1982. It has a daily circulation of 27,785 and a Sunday circulation of 29,171.
The Decatur Daily, founded in 1912, is independently owned and under its fourth generation of “leadership” from the Shelton family.
“We are confident this transaction will strengthen both newspapers through the synergies that we will achieve,” The Decatur Daily‘s general manager, Clint Shelton, said in a press release. “The long traditions of both newspapers of providing leadership in The Tennessee Valley will continue.”
“The TimesDaily is an outstanding newspaper with very talented employees,” Janet L. Robinson, president and CEO of The New York Times Company, said in a press release. “The Shelton family knows Florence well and values the role the TimesDaily plays in the community.”
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March 27th, 2009 at 1:39 pm
My opinion is these newspapers need to fire their do-nothing publishers and the Web designers who are overpaid to create crappy, unusable Websites.
I could do better in my sleep — and create better, more readable journalism too…
March 28th, 2009 at 8:46 am
Poor managers seem to be the last to go. Those who do the work – first. Preceded sometimes by salary cuts and loss of benefits.
I’ve seen it all my life, which is not inconsiderable in length now. Glynn, sending a pitiful little check to help keep the presses running next week, come to think of it. A good job is done here.
March 28th, 2009 at 9:35 am
Thanks. Now if only the rich lawyers would get off their duffs and come onboard we could proceed to change things around here.
The media managers are as guilty for the losses in the press as the managers at the banks and insurance companies. They get away without criticism for maintaining their profits and overblown salaries while cutting news workers and their salaries, why? Because they are in charge of what gets reported on the printing presses. It amounts to a coverup, and it is why more and more people are turning to the Web Press every day to find out the truth.
March 28th, 2009 at 9:53 am
Can’t help but agree with every word, there. Deregulation of communications industries have done a great disservice to consumers, and to Democracy itself. Monopolies allowed to flourish again have made it possible. Time to shrink some fortunes and some power.