Among the papers making the offer today and yesterday: The Democrat and Chronicle in Rochester, N.Y.; The Courier-Journal in Louisville, Ky.; The News Journal in Wilmington, Del., and the Green Bay Press-Gazette in Wisconsin (left).Volunteers there and elsewhere in the 84-paper community newspaper division would get one week's pay for each year of service, up to 26 weeks. The deadline for applying is next Tuesday, according to publishers' memos forwarded to me.
Green Bay Publisher Kevin Corrado's memo says: "Gannett has given the OK for each site to explore voluntary eliminations," indicating this is, in fact, an option available to every paper. Yet, like Corrado, News Journal Publisher Curtis Riddle's memo cautioned that his paper won't necessarily grant all buyout requests: "We must also work to preserve our operational strength as we go forward, so I cannot guarantee that anyone who volunteers will be accepted, but your offer will seriously considered."
Reader: 'Weasels' in publisher's offices
The offer hasn't been made at all papers, however, a reader said this morning: "Why is it that publishers of some newspapers, such as Louisville, Wilmington, Honolulu and Rochester, take the high road and first look for volunteers to leave, thereby saving jobs for those who may not be willing or able to leave? To those of you who have publishers with at least that much compassion, consider yourselves lucky. The rest of us are left with weasels and worms in the publisher's office who will let the designated department hit men do the dirty work so they don't have to get their hands dirty."
Earlier: Major deadlines in fast-approaching 10% layoff
Has your publisher offered these buyouts? Please post your replies in the comments section, below. To e-mail confidentially, write gannettblog[at]gmail[dot-com]; see Tipsters Anonymous Policy in the green sidebar, upper right.
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You missed the comment about The Appleton Post-Crescent.
ReplyDeleteThe Reno Gazette-Journal is another one.
ReplyDeleteSo what, really, is the difference between the two? As we understand it, the terms are the same -- one's voluntary, one's not -- but nothing is different in your money, your severance pay, etc. If that is truly true ... what is the incentive to do this?
ReplyDeleteYou would do it to save the job of a co-worker who could ill-afford to lose it.
ReplyDeleteAll community publishers got the opportunity to send out the voluntary separation request email.
ReplyDeleteIt was left to the site publishers whether to offer it or not at their location.
If you realize there already is a target painted on you - i.e. poor performance, personality conflict, whatever - it could make sense to step forward.
ReplyDeleteIf you get fired in the next week or two, you get your accumulated vacation only. If you're fired for cause, you won't get unemployment either.
On the upside for the company, even though it pays severance, it saves your publisher from canning someone who doesn't have the issues brewing that you did. And one more body sacrificed for corporate helps fill that 10% cut.
So far, no voluntary offers at Brevard.
ReplyDeleteHere's a question:
ReplyDeleteIf you volunteer, do you still qualify for unemployment?
Westchester got their "voluntary severance" email today. Those interested have to put in their request by Tuesday, November 11.
ReplyDeleteBut....
"Of course, we must also work to preserve our operational strength as we go forward with this process, so I cannot guarantee that anyone who volunteers will be accepted, but your offer will seriously be considered."
This would also be a good deal for someone who JUST got another job offer. If you haven't put in notice, you could put yourself on the chopping block and perhaps come out of the deal with a few weeks extra pay. Or, if you're wishy washy on taking a job that pays a little less, this could help with the decision. Of course, I doubt very few people are in this position.
ReplyDelete6:23 AM
ReplyDeleteThose who have targets painted on them have other options if the targets were painted unfairly by things such as 18-month old performance appraisals, hostile work environment---wouldn't you think?
We received the e-mail this morning at the Asbury Park Press.
ReplyDeleteJim, could you take a look at possible repercussions of a layoff/buyout on 401k loans? I'm planning to research this myself, but it seems like it would be a worthy post for you. My impression is that when a person leaves a company, any loans against their 401k holdings could become due in full. Credit union loans for autos or other purchases would be different, I think.
ReplyDeleteHere's some info from BusinessWeek, which should be a pretty reliable source. I recall reading this info in other places, as well:
ReplyDeletePENALTIES. One situation in which you might want to stay with the old 401(k) is if you have an outstanding loan against it and your former employer will let you continue repayment after you leave. However, most companies require that the loan be repaid in full immediately upon termination, so it's a good idea to investigate other repayment options well in advance.
If you are unable to pay off the loan, the outstanding balance will be deducted from your account and subject to tax and penalty. For example, if your 401(k) totals $100,000 and you have an outstanding loan of $40,000, your employer will take $40,000 from the account and use it to satisfy the loan. The IRS then treats that money as a distribution on which you owe income tax--plus that 10% penalty if you're under age 59 1/2. The remaining $60,000 should be handled like any other 401(k) and left in the original account or rolled over into a new plan or IRA within 60 days.
Employees at retiring age would be getting an early exit gift
ReplyDeleteJim,
ReplyDeleteSo why is the offer in Honolulu double the weeks (2 vs 1) and capped at 52 weeks vs 26? Also, in Honolulu one year of medical is included....and it's not because of unions, non union employees received the same offer? What gives?
I'm pretty sure that all if not most papers got this offer. Our small Ohio daily did.
ReplyDeletewe got the offer today in Asheville
ReplyDeleteCincy Enquirer also got the offer.
ReplyDeleteHey 4:39 p.m. anonymous, if you are "small Ohio daily" you must be in that group run by the incompetent folks in Newark and Mansfield. True? Is it as bad there management-wise as we have heard? Are the salaries really in the mid-teens to start? Escapees from this "NNCO" bunch say it is a nightmare to work there, especially Newark, Mansfield and Chillicothe. True?
ReplyDeleteI interviewed at one of those Ohio sites a few years ago for a mid-level editing job. It was like a Gannett cult - my first exposure to all the Real People, Good News BS. They ran a list of Local People on the front page who were mentioned inside the paper - usually free art, dean's lists, etc. They also had an "assistant editor" whose sole duties seemed to be palling around with the editor. I'm still thankful I didn't get the job.
ReplyDeleteAs many as 30,000 being made the offer puts it all into perspective. This is huge. Is Gannett exempt from WARN requirements?
ReplyDeleteKevin Corrado here in Green Bay has been holding meeting with employees to answer any questions they might have. The one this moring went for like 90 minutes and Kevin was up front with what he knew. I haven't heard if any of the other publishers in our group have done this. I have to say Kevin has been a class-act the way he's handled this. Hopefully my fellow gannetters have a publisher willing to be as up front with them.
ReplyDeleteKevin is competent a class act and a great communicator. He won't last.
ReplyDeleteYou can add the Arizona Republic to the list of papers offering buyouts... Memo looks pretty similar to the others, so it seems like it's got corporate's OK but it's publisher's choice to offer.
ReplyDelete--------------
FROM JOHN ZIDICH (Republic publisher):
Just over a week ago Bob Dickey, president of the newspaper division, sent all employees a note outlining the difficult business conditions facing the company and steps being taken to manage through these tough times. Bob shared that across Community Publishing Division, newspapers will be reducing payroll expenses by approximately 10%. The decision on how the reductions are implemented is a local one. During the last week many of you have suggested ideas that could reduce cost. Those suggestions have been thoughtful and are under consideration.
Since the announcement I have met with each department head to review all aspects of our operations. The goal of these meetings is to determine the most effective way to manage job elimination and retain the core values of this company. Needless to say these decisions are difficult. Job eliminations are expected to take place in early December, although special circumstances may dictate deferring the effective date a few weeks. Those whose jobs are eliminated will receive severance, which will be 1 week of pay for each completed years of service, with a minimum of 2 weeks of severance and a maximum of 26 weeks of severance.
If any employee wishes to be voluntarily considered for this severance, you may submit your request to Mike Spector V. P. Human Resources or your department head no later than noon on Tuesday November 11, 2008. You would receive the same severance and timetable outlined above. Of course, we must also work to preserve our operational strength as we go forward with this process, so I cannot guarantee that anyone who volunteers will be accepted, but your offer will be seriously considered.
I appreciate your support in these difficult times.
John
Indianapolis made the same offer, nearly word for word.
ReplyDeleteDown south we haven't heard shit from our publisher. Which is nothing new.
ReplyDeleteThe Greenville News employees got the offer this week from publisher Steve Brandt, who is also a good guy. The wording was similar to what's posted above.
ReplyDeleteYes not sure about the offer if there is nothing better for the volunteer than what he will get if laid off. While I might be better able to handle a lay off than some others, I would still be in a tough position.
ReplyDeleteAny thoughts on whether a volunteer could negotiate a little better package? And what happens if you bring up the subject -- does that make you a target for lay off now or in the next round?
..."The company is now extending buyouts to as many as 30,000 newspaper employees..."
ReplyDeleteThe 30,000 figure has to be a mistake and should be corrected because of the wide readership of this blog
12:12 p.m.: Here's how I got that number. As near as I can tell, every paper in the community newspaper division has been given the option of offering buyouts to employees.
ReplyDeleteThe publishers' memos I've read so far have not said the buyouts are limited to certain departments; I take that to mean that the offer is going out to every employee at each newspaper where publishers are making it an option.
The newspaper division has about 30,000 workers, so if every Gannett publisher makes this option available, we're talking about "as many as 30,000 newspaper employees." (Note the cautionary language I use: "as many as.")
first paper to offer voluntary lay-offs was Springfield. You guys bitched because they did, it was heartless,bla,bla. Now you love the idea, what gives?
ReplyDelete