The New York Times Company warned Boston Globe union officials that it would close the newspaper if the unions didn’t agree to $20 million in concessions.
According to the Globe, those concessions include pay cuts, the end of pension contributions by the company, and the elimination of lifetime job guarantees that some older employees get. The Times says that the Globe will lose $58 million this year unless the cuts are made.
The Times will negotiate with each of the 13 unions involved individually to seek concessions.
These hardball tactics are now the standard Times Co. operating procedures–as they must be, if the company is to survive. NYTCO is warning the newspaper guild of the New York Times newspaper to take a 5% pay cut or else 70 people will be cut. So far the guild hasn’t buckled under the pressure in New York.
We’ll see how this plays out in Boston.