Gannett Shrinks Workforce By 1,000, Stock Goes Up

Gannett, the largest U.S. newspaper chain, is reducing its workforce by 1,000, according to a memo obtained by Reuters. The cuts amount to 3% of staffers in its Community Publishing unit, which accounts for most of the company’s papers other than USA Today. News of the cuts broke in a Gannett paper, the Louisville Courier-Journal, which will lose 15 positons as part of the cuts.

The company plans to can 600 people outright; the remaining 400 will come through buyouts, retirements and unfilled positions. And more could be on the way, the memo warns: “If advertising and circulation revenues continue to decline, further payroll reductions may be necessary.”

Gannett (GCI) shares rose nearly 9% to $20.90 in afternoon trading.

See Also:
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Gone: 3,500 Newspaper Jobs In Two Months, $3.9B In Newspaper Stock In Two Weeks

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