New York Times to Trim Newsroom With Voluntary Buyouts

by Nate Wooley | December 3, 2012 12:18 pm

New York Times to Trim Newsroom With Voluntary Buyouts

the new york times building 630 300x181 New York Times to Trim Newsroom With Voluntary Buyouts[1]The New York Times (NYSE:NYT[2]) announced today that it’s planning to cut 30 positions in its newsroom.

The reduction will come in managerial and other nonunion positions at the newspaper, according to the paper’s media blog[3]. The company is looking for employees in those positions willing to take a voluntary buyout. The move comes as the Times is looking to reduce all expenses possible in the face of continuing difficulty in the newspaper industry (even on the digital side, with News Corp [NASDAQ:NWS[4]] also announcing today that it’s shutting down The Daily iPad app[5]).

The voluntary buyout request doesn’t apply to editorial department staff, which is separate from the newsroom. Thirty similar buyouts occurred recently in the advertising department. Also, union employees, while not asked to consider the buyouts, may choose to do so at their own discretion.

The New York Times has been under increasing business pressure in recent years. In spite of changing its online subscription model and making other cutbacks, the financial weight hasn’t eased. Print advertising dropped more than 10% in the last earnings report, and digital advertising dropped more than 2%.

Volunteers for the buyout have until January 24, 2013, to come forward. If the number choosing to take the buyout is insufficient, other steps will be taken. According to Executive Editor Jill Abramson, layoffs will occur.

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Endnotes:
  1. [Image]: http://investorplace.com/wp-content/uploads/2012/04/the-new-york-times-building-630.jpg
  2. NYT: http://studio-5.financialcontent.com/investplace/quote?Symbol=NYT
  3. according to the paper’s media blog: http://mediadecoder.blogs.nytimes.com/2012/12/03/new-york-times-seeks-buyouts-from-30-newsroom-managers/
  4. NWS: http://studio-5.financialcontent.com/investplace/quote?Symbol=NWS
  5. shutting down The Daily iPad app: http://investorplace.com/2012/12/news-corp-shuts-down-ipad-app-the-daily/
  6. CNN Goes Out on a Limb With Jeff Zucker: http://investorplace.com/2012/11/cnn-goes-out-on-a-limb-with-jeff-zucker/
  7. New York Times Gives Online Crosswords First Makeover in a Decade: http://investorplace.com/2012/11/new-york-times-gives-online-crosswords-first-makeover-in-a-decade/
  8. New York Times CEO Starts New Job Amid Scandal: http://investorplace.com/2012/11/new-york-times-ceo-starts-new-job-amid-scandal/

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