[Updated at 4:48 p.m. ET with latest figures.]
The Cincinnati Enquirer has laid off 20 employees -- about 2.5% of the daily's workforce -- according to this story in Cincinnati's Business Courier, which quotes Mark Woodruff, vice president of market development. Meanwhile, The Courier-Journal in Louisville, Ky., just reported that it laid off 11 workers in five departments.
The cuts are part of an overall job reduction campaign across the U.S. newspaper division.
In Louisville, Publisher Arnie Garson blamed the economy for the cuts, telling the C-J: “There’s a lot of good things that are happening in our business and our industry and we’re optimistic about the future. . . . But the economy remains fragile, and it’s necessary for us to continue implementing efficiencies that make good business sense -- and that’s what this is all about.”
Gannett Bloggers have now reported as many as 164 jobs lost at 21 worksites in an unannounced cost-cutting campaign during recent weeks. Please check this spreadsheet to see if your site is included. And remember: We're counting jobs at all divisions, not just among newspapers.
Earlier: what top executives would earn for every job cut in November. Plus: Cincinnati Publisher Buchanan said unaware of first-quarter furlough plans.
The Cincinnati Enquirer has laid off 20 employees -- about 2.5% of the daily's workforce -- according to this story in Cincinnati's Business Courier, which quotes Mark Woodruff, vice president of market development. Meanwhile, The Courier-Journal in Louisville, Ky., just reported that it laid off 11 workers in five departments.
In Louisville, Publisher Arnie Garson blamed the economy for the cuts, telling the C-J: “There’s a lot of good things that are happening in our business and our industry and we’re optimistic about the future. . . . But the economy remains fragile, and it’s necessary for us to continue implementing efficiencies that make good business sense -- and that’s what this is all about.”
Gannett Bloggers have now reported as many as 164 jobs lost at 21 worksites in an unannounced cost-cutting campaign during recent weeks. Please check this spreadsheet to see if your site is included. And remember: We're counting jobs at all divisions, not just among newspapers.
Earlier: what top executives would earn for every job cut in November. Plus: Cincinnati Publisher Buchanan said unaware of first-quarter furlough plans.
"A lot of crying" in Cincy's newsroom today, I'm told. My sincere condolences to all.
ReplyDeleteGreg Watson Area Manager for circulation was let go from the Cincinnati Enquirer.
ReplyDeletei'm hearing things about Louisville....anybody else know about it?
ReplyDeleteHeard of four from the newsroom in Cincy
ReplyDeleteGone: Fenton, Amos, Holtgren, Tyndall, Reutter, Morgan
ReplyDeletePlus two in IT, a tech and the IT director
ReplyDeleteI'm shocked. Some amazing talent let go.
ReplyDeleteIs it over finally for this round? What happened to Campbell? Is Demaline OK?
Cincy Business Courier reports 20 jobs lost:
ReplyDeletehttp://www.bizjournals.com/cincinnati/news/2011/02/18/cincinnati-enquirer-lays-off-20.html
If it weren't for the blatant age discrimination, I'd say Washburn arrived at some of her layoff choices by throwing darts. Joe Fenton is an honest-to-God crack newsman who was the ONLY Enquirer editor respected by reporters. He was also the only news editor not pounded into mediocrity by a lifelong career with Gannett. Why Washburn didn't get rid of some of the all-talk dead-weight editors is beyond most of us. She's definitely gotten off to a bad start here.
ReplyDelete12 at Louisville were let go
ReplyDeleteIs 20 a final number? Day isn't over yet. Still night-siders reporting to work.
ReplyDeleteAnybody in sports at either location?
ReplyDeleteWashburn's officially been editor for only five weeks. Wonder how she got up to speed so quickly regarding who should be cut loose?
ReplyDeleteA puzzle: Cincy eliminated five positions in November -- then 20 this week. What happened in the past three months to cause management to come back for more? And what does this say about the health of Gannett's newspaper division as a whole?
ReplyDeleteGood luck moving forward with Washburn. She is very easy to work with if you remember -- it's her way or the freeway.
ReplyDeleteI totally agree about Fenton. So sad to see a real news person let go, especially in this era of twitter & facebook "news"
ReplyDeleteThe only reason there weren't more in Indianapolis, we're convinced, is that so many reporters got fed up and have left. Of course they aren't replacing them, leaving us depleted and #^@#&! off!
ReplyDeleteCincinnati isn't the only site that had layoffs in November and again this week. Jackson, Miss., did as well.
ReplyDeleteTo answer your 4:17 post Jim, try the 20th floor. HR played a lesser known role thru its insistence that all adhere to wage scale minimums that often ran above what the market demands, resulting in pay for some that further stressed already shrinking departmental budgets. One side says pay individuals “x” while the other side ultimately says you need to cut because your total budget spends too much.
ReplyDeleteGreg Watson, as in son of former Newspaper Division President Gary Watson?
ReplyDelete6:37 That would be a big boo-boo, no?
ReplyDeleteNo, that Greg Watson (son of Gary) is regional marketing director of the East Group Newspapers. The one that was laid off was Greg Watson in Cincy.
ReplyDeleteThis comment has been removed by a blog administrator.
ReplyDeleteIn 2007 there were at at least 22 people at the Cincinnati Enquirer's IT dept, now there are 8 dead men and women left walking (For Now). Other departments, good luck getting anything fixed, changed or hooked up, etc. You will call the Corporate Helpdesk and wait and wait and wait. It's truly the Titanic, get out while you can my IT and News friends.
ReplyDeleteThe folks in Jackson, Miss were told when their 5 were laid off this go round that "this isn't a company wide layoff"! I hate to see what a "company wide layoff" is!
ReplyDeleteYou will all hate to see it when it happens, and it will, once all the design hubs are up and running.
ReplyDeleteLeave it to Jim at 6:42 to try to run with yet another erroneous statement.
ReplyDeleteGood try there, Woodward, but yet another failure on your part.
Also, 8:21's post sounds a lot like a threat.
12:21 I think you are right about 8:21's comment, so I've removed it.
ReplyDeleteFor all Washburn's talk of wanting to improve the news coverage and the quality of writing, Fenton's dismissal sent a powerful (and troubling) message across the Cincy newsroom.
ReplyDeletei'm not one of those dinosaurs who pretends that news must be put in quotation marks next to any method of distribution that's been invented since 1980, BUT it is indeed true that Fenton was far and away the best newsman in a position of authority in Cincinnati. Every reporter wanted to work for him, and he was practically the only person left in the newsroom who really edited, not just play "copy traffic cop."
ReplyDeleteCanning him is all the proof we need that journalistic quality is not important to the Enqy or Gannett.
Unfortunately for both serious newspeople and readers in Cincinnati, Washburn has chosen to ally herself with someone whose only distinction upon taking over the top local news job was her service on the sports desk. By throwing Fenton under the bus, Washburn and Engebrecht are fated to rule over a news product whose continuing decline is all but assured.
ReplyDeleteThis is all just another reason to complain if the paper can actually BE delivered in Cincinnati.
ReplyDeleteI hope Bob Dickey reads this blog. He leads the USCP and one of his most important obligations as its leader is to keep the talent needed to create a quality product So why then if its so obvious to so many that Fenton was invaluable, why was he fired anyway? Washburn and others are just small bit characters. There's something else at play here.
ReplyDeleteI think leaders of this company like Dickey believe FT journalist aren't required anymore. Fire as many as you can and then most will have to freelance just to stay in the business they love. The company doesn't have to provide benefits, pensions or anything else of great value to an employee and expense to the company. It's the AOL/Huffington Post, Patch.com model and it's coming to a theatre near all of us.
If that's the plan Bob, then wield the final ax and let us scatter to wherever that ax sends us, still here or somewhere else. Get on with it, mr. leader. Fenton and so many others deserve your honesty.
While the Louisville paper reported its layoffs, I can't find a similar story on the Cincinnati paper's website about its layoffs. Or did I just miss it?
ReplyDeleteI don't personally know the news editor who was let go in Cincy but it doesn't surprise me that Washburn was clueless about how valuable and respected he was. She has always been a terrible judge of talent -- mainly because she never spends time actually getting to know her staff.
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ReplyDeleteA blind monkey with Alzheimer's could have gone through our newsroom and figured out the real rotten bananas on the staff.
ReplyDelete2:41 said: It's the AOL/Huffington Post, Patch.com model and it's coming to a theatre near all of us.
ReplyDeleteI say: Yes. You are exactly correct, 2:41. And I have said the same thing less succinctly in several posts here before. I predict you will see a link-up between GCI and another entity similar to the AOL-HuffPo link-up. Yahoo comes to mind, though there are other candidates, too. Will it be a merger or a buyout? Of course I do not know. But for purposes of (most) employees' careers, it does not matter. It will be bad news either way.
Why Jim does not undertake exploring this issue with one of his occasional reporting projects is a mystery to me. It is a big story, germane to all employees, hiding in plain sight. I suggest calling a few market analysts who cover media stocks and maybe a few industry watchers. (Newsosaur Alan Mutter comes to mind.) But it is Jim's site, and he can do what he wants.
My opinion: buy GCI stock at $17ish and cash out at $22ish to $25ish within 12 months. I would do exactly that, but already have a large position at much lower prices and it would be imprudent (for diversification reasons) for me to buy more now. But do you own due diligence. I have. Maybe Jim will help? You do not get if you do not ask.
campbell, for the user that asked, left cincy last summer for a gig at an ad agency in San Fran..Smart move by a smart guy.
ReplyDelete10:32 - The one big draw back to any merger is the golden parachutes the management team have.
ReplyDelete11:34: Don't know anything about the golden parachutes but will check it out. Thanks.
ReplyDeleteMeantime, consider these things: Yahoo (like AOL) is a fallen 'Net darling that has already dipped its toes into the waters of content provision (unlike others such as GOOG), is sitting on $2.9 billion in cash and equivalents with negligible debt and is run by a CEO several years into a tenure she promised would lead to a turnaround for the company that so far hasn't happened. The clock is ticking for Yahoo CEO Carol Bartz
Meantime the market capitalization of GCI (the value of all outstanding stock) plus debt minus balance sheet cash equals about $6.3 billion. The deal is doable and makes sense for the same reasons the HuffPo deal made sense for AOL. If Yahoo doesn't do it someone else will. Plus, Ms. Bartz is a UW-Madison graduate and everyone knows Bucky always does the right thing.
OK, just kidding with that last one but all else stands.
This comment has been removed by a blog administrator.
ReplyDelete10:32 I've never seen Gannett as a takeover/merger target, and have said so on several occasions. Why? For one big reason cited, ironically, by 12:17 in support of the idea of a combination:
ReplyDeleteIt would be too costly to any acquirer, given what it would return. Yes, GCi is still the dominant news and information provider in its 100-plus U.S. markets. But its brands -- principally, the U.S. community newspapers -- have been too damaged through cutbacks in recent years. Plus, look at the websites. Even with the new ContentOne template, they show no game-changing innovation. These are designs that look like throwbacks to something from 2006.
Consider the $6.3 billion figure cited by 12:17 pm. For half that, even a quarter, a Yahoo or some other acquirer could start its own version of Patch in GCI's markets, and beat the pants off the existing GCI newspapers and broadcast stations. A Yahoo could hire any number of journalists and sales people who would work for much less than GCi is paying its employees today. Plus, it wouldn't have GCI's other legacy costs: expensive real estate; pension obligations, medical care, etc.
Finally, there is the matter of golden parachutes -- the rich payouts owed to senior executives in the event GCI were sold. They are outlined in several sections of the most recent proxy report to shareholders; search for the term "change in control."
The amounts change from year to year depending on GCI's stock price. We'll get the latest estimates next month, when the proxy for 2011 is filed with the U.S. Securities and Exchange Commission. Based on the 2010 proxy, here's how much the following executives could get in the event of a change in control. (Note: The figures include excise tax gross-ups; in other words, the company also would pay any income taxes due on these payouts, such that these are the net amounts):
* Craig Dubow: $39.2 million
* Gracia Martore: $23.3 milion
* Bob Dickey: $11.6 milion
* Dave Hunke: $8.9 million
Following is an edited version of a comment posted by 8:36 a.m. today:
ReplyDeleteIf [Carolyn Washburn] wanted to land in Cincinnati and make an impression, she certainly blew her chance this week. Morale plummeted Friday and staff lost any confidence in her leadership. Many approached her Friday to tell her she made a mistake in laying off Metro editor, but she insisted it was too late to change that. Nothing is ever too late.
12:55 and others: I remove any comments that even barely hint at physical violence.
ReplyDeleteDoesn't 12:55 read like a threat, Jim?
ReplyDeleteThis comment has been removed by a blog administrator.
ReplyDeleteFollowing is an edited version of a comment posted at 2:01 pm today:
ReplyDeleteWhat happened to the Enquirer's only true journalistic editor on Friday, is unconscionable. Fenton was far and away the only passionate employee left in a position of power. But we all saw how Fenton was beaten down for months. [XXXXX.] Washburn told the newsroom that there were worse alternatives, and things on the table that were behind closed doors. But you can't convince me nor anyone else in the newsroom that there wasn't a worse alternative to Joe Fenton. ANY alternative would've been better. ANY editor would've been a better choice.
When the KY office was told of Joe Fenton's departure, they were angry. Even people who had never met the man knew that our last hope of journalism and storytelling at the paper had just walked out the door.
ReplyDeleteBig deal and who cares? There are 4,800 ore coming so what's the big deal?
ReplyDeleteThis comment has been removed by a blog administrator.
ReplyDeleteFollowing is an edited version of a comment posted at 3:10 pm:
ReplyDeleteJim, not sure why you edited my post (2:01). What you edited provides context and never even alluded to making any sort of threat, which is what one would assume you had edited out -- I wish no harm to anyone.
Jim responds: I edited your post at 2:01 and this one, too, not because it was threatening in nature (it wasn't), but because it read like too personal of an attack on an individual -- in this case, a certain newsroom editor. Generally, I try to avoid publishing such comments. It's a judgement call, and I don't always get this right; I hope you'll understand.
Jim: Thanks for your take on the possibility of a merger or buyout. You make the bear case well, though the parachute pay-outs are actually small change in the big picture no matter how much people here would hate to see that kind of cash payed out to those people. They look like big numbers, but are less in total than an average day's trading profits at Goldman Sachs.
ReplyDeleteI'll close my thoughts on this with this comment: Differences of opinion are what makes markets.
The 20 so far let go in Cincinnati include: 3 in finance; 6 in advertising; 2 in IT; 2 in production; 1 in circulation; and 6 in news. We were told the layoffs would continue through Monday; so I guess there may be people on furlough who will be let go on Monday.
ReplyDelete5:48 pm - do you have the initials of any of these people? I hadn't heard of any in finance, and honestly, since NNCO was decimated so the jobs could go to Cincinnati, who's going to do the work if no one is left in Cincinnati?
ReplyDeleteOTOH, why do I care? I've already been laid off. ........but I do.
CityBeat ran a story about this as well, including some names....http://www.citybeat.com/cincinnati/blog-1784-more-layoffs-at-the-enquirer.html
ReplyDeleteFor many in the Cincy newsroom, Fenton's dismissal was the final nail in the coffin for those who had any hope that the industry, the company and the newspaper might recover from the downward spiral of the past few years. It's clear now that office politics and hopelessly outdated profit margins are more important than adapting the news operation to the new media world. This is a company and a newspaper that are cutting its nose off to spite its face, and it isn't a pretty sight.
ReplyDeleteThe posts on here concerning Greg Watson in Circulation being laid off are entirely fictional and most likely a personal attack on him - he is still very much employed here in Cincinnati.
ReplyDeleteEasy now, 4:27. Fenton may have been many things, but he wasn't exactly leading the charge into the "new media world."
ReplyDeleteDoes anyone know who is leading the CincyBlogs.com and Enquirer Media partnership with Yahoo initiatives in light of the IT layoffs? Are those being off-shored? Who's supporting the new Cincinnati.com website?
ReplyDelete