The New York Times Company (NYSE: NYT) is laying off some 100 NYT business-side employees and cutting non-union salaries across the board. NYFishbowl has the memo, which also outlines a "temporary" 5 percent salary reduction for all non-union employees at the NYT. In an attempt at softening the blow, NYT execs say staffers can take an additional 10 personal days off over the next nine months. The memo contains a promise that salaries will return to current levels next year, adding, "Of course, such a decision depends on the state of our business."
Staci adds: The salary cuts affect all non-union employees across the companyincluding executive officersbut at varying degrees. NYTCo didn't mention layoffs in an SEC filing but said the salary cuts would cover executive officers as well. Effective April 1, the salaries of Chairman Arthur Sulzberger, Jr., president and CEO Janet Robinson and others will drop 5 percent.
The salary hits for non-union employees differ by division. From the filing: "The salaries of these employees at the Company's New York Times Media Group (with the exception of the International Herald Tribune), The Boston Globe, Boston.com and corporate employees at the Company's New York headquarters will be reduced 5% effective April 1, 2009, through December 31, 2009. In exchange, these employees, including the Company's executive officers, will be entitled to 10 additional days off to use before the end of the year. The salaries of employees of the About Group, Baseline, Regional Media Group, Worcester Telegram & Gazette and certain non-New York-based corporate and other departments will be reduced 2.5%, with five additional days off. The Company made the distinction between the two groups taking into account location and other factors."
It may sound a tad betterextra vacation days in lieu of salarybut it's essentially the same furlough concept being implemented by Gannett (NYSE: GCI) and others. One difference: since this will be treated like vacation and the timing can be spread across the year.
Guild: The company is asking the Guild to follow suit, as the memo puts it, "in a spirit of shared sacrifice and as a way to otherwise avoid layoffs in the newsroom."
More to come.
By David Kaplan