Troubled Gannett Announces Hiring Freeze, Unpaid Holiday Furloughs, Suspension Of 401K Match And Voluntary Severance
deadline.comThe nation’s largest newspaper chain, Gannett, continued its cost cutting measures today, announcing a hiring freeze, a mandatory unpaid five-day leave for every employee this December, a six-month sabbatical, a suspension of 401K matches from the company, voluntary severance offer for those who want to retire or leave the company and an optional four-day workweek. “While these actions are tough, they are critical to Gannett’s long-term success,” CEO and Chairman Michael Reed told employees during a Wednesday company-wide meeting that, according to at least one employee, lasted all of 15 minutes.
Reed said the moves “ensure we are prepared to withstand the uncertainty that lies ahead.” Reed also announced he would take a salary reduction through the end of 2023.
His base salary was $900,000 in 2021, USA Today reported. Reed’s announcement comes about two months after the company laid off roughly 400 employees — or 3% of its U.S.
workforce — at papers across the country, according to a report from flagship title USA Today. Gannett owns over 200 daily U.S.
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