In his prepared presentation to last month's UBS media stock analysts conference, Dickey (left) outlines a series of cost-saving moves last year, from press closings to the creation of centralized copyediting hubs, and the planned development of central advertising production centers in Des Moines and Indianapolis. Then he says, referring to full-time equivalent jobs: "We protected front-line journalists and advertising account executives, yet were able to reduce FTEs by 24% in 2009."
In contrast, Martore (left) told the same group, in her more widely reported remarks about the outlook for 2010: "We expect headcount will be down in the high-single digits as a result of ongoing consolidations and primarily the carryover effect of 2009's actions."(Emphasis added in both quotes.)
While Martore is talking about the outlook for 2010, she says her figure represents "primarily" cuts made last year. There's a huge difference between high-single digits -- say, 8-9% -- and 24%. Can anyone clarify?
Please post your replies in the comments section, below. To e-mail confidentially, write jimhopkins[at]gmail[dot-com]; see Tipsters Anonymous Policy in the rail, upper right.
gannett is still paying severance for some let go in 2009 thus the carryover
ReplyDeleteThanks, 2:10 p.m. But how does that explain the two different headcount estimates?
ReplyDeleteHas anyone heard more news about the creation of more copyediting hubs?
ReplyDeleteMaybe Bob was talking about the US publishing division only, while GM was talking about the entire company.
ReplyDelete7:09 pm: I thought the same thing. But her full quote implies that the high single digits refers to USCP, because she speaks of "publishing." Here it is:
ReplyDelete"Through a number of consolidation and efficiency efforts, we have significantly reduced headcount in publishing over the past two years. At this point, based on our current thinking, we expect headcount will be down in the high-single digits as a result of ongoing consolidations and primarily the carryover effect of 2009's actions."
she's talking about 2010 - he's referring to 2009
ReplyDelete"We protected front-line journalists and advertising account executives, yet were able to reduce FTEs by 24% in 2009."
In contrast, Martore (left) told the same group, in her more widely reported remarks about the outlook for 2010: "We expect headcount will be down in the high-single digits
8:56 p.m.: Yet, Martore referred to "primarily the carryover effect of 2009's actions."
ReplyDeleteIn any case, if Dickey truly means that FTEs fell 24% in 2009, that would mean the newspaper division eliminated 7,000 jobs last year. How is that possible, given his assurance that July's layoffs would total no more than 1,400 jobs? What happened, then, to the other 5,600 newspaper jobs?
Dickey is speaking about his newspapers. There is Newsquest, USA Today, Detroit, Army Times, and others that are not part of his brand. So the two are talking about two distinctly different things.
ReplyDelete