Sigh. Another huge newspaper company is laying off its staff. This time, it’s Gannett, one of the biggest. They are laying off 1,000 positions. In other words, 3 percent of its total workforce or 600 people will lose their jobs, reported MarketWatch.
The worst part is the company’s stock rose almost 10 percent when this announcement came out. That’s sickening.
Gannett has historically been regarded as a prudent, well-run company. But Wall Street on Thursday isn’t rewarding the company for once having the optimism and long-range strategy of launching USA Today in 1982. Nor is the Street hailing Gannett for its years of expertise and strong management.
Instead, Wall Street is thanking Gannett for cutting costs, big time
It’s sad when a company cuts costs, Wall Street rewards those moves by increasing its stock. I don’t exactly understand why. Perhaps because it’s helping the company not lose any more money. Less people equals less paychecks and bills to pay.
Eventually, we will end up with no reporters. There will be a few, maybe, left writing for the Web. Where will the rest of us go? Public relations or advertising?
I guess instead of bemoaning the state of the industry, I’d rather think about where reporters will go. Online media is fascinating. What kinds of new and interesting sites can we think up? The Huggington Post Chicago
recently opened up. I am really looking forward to seeing how that goes.
What do you think about where reporters will go? I think there will always be a place for good writers. It’s just a matter of where.