Newsday Layoffs 2018: Outsourcing to The New York Times to Cut 72 Jobs

Newsday Layoffs 2018
iStock.com/Mitrija

Newsday, Melville’s daily newspaper, has confirmed that it will cut jobs to save costs. Newsday’s Worker Adjustment and Retraining Notification (WARN) notice, filed on February 8, 2018, states that the company will cut 72 jobs from its total staff of 1,431 employees.

In an e-mail this month, Newsday co-publishers Debby Krenek and Edward Bushey wrote that they had “entered into an agreement with The New York Times to handle Newsday’s printing and distribution.” As a result, these Newsday layoffs in 2018 are part of the company’s plans to outsource its print and distribution functions for its print publications: Newsday, AM New York, and Hometown Shopper.

These New York layoffs will occur during a 14-day period starting on May 14, 2018, and will impact the majority of union employees belonging to the Graphic Communications Conference of the International Brotherhood of Teamsters Local 406C.

As per the latest “Alliance for Audited Media” report, Newsday is the sixth-largest newspaper in the country. Its daily print circulation was around 229,000 in November 2017 and has since dropped to less than 175,000. Since 2014, Newsday’s print circulation has declined 24%.

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Newsday Focusing on Content, Relocating to Cut Costs

In November 2017, management informed employees that Newsday could leave its Melville headquarters in 2018 after outsourcing its printing and distribution operations to another company. This was part of its downsizing and cost-cutting measures.

In an e-mail that same month, Krenek and Bushey said that Newsday would get out of the business of printing and distribution. Instead, it would focus on investing in content, audience, and sales. This would enable the company to relocate to a more cost-effective and up-to-date office space.

Newsday’s Vice President of Public Affairs Paul Fleishman said through a November 2017 email that they were in the initial stages of conversations with the union leadership about the possible changes, but that it was hard to predict how they would work out.

The company occupies less than two-thirds of its 300,000-square-foot headquarters in Melville. Newsday was planning to relocate to a more cost-effective location and was searching for new office space along Route 110 for editorial, advertising, and administrative staff. As part of its agreement with The New York Times, Newsday will move from its Melville headquarters to a new location on Long Island.

The recent trend of increasingly digitized newspapers is a prime factor responsible for the decline in print circulation and has contributed toward the Newsday layoffs in 2018.

Sources

Newsday to be printed and distributed by The New York Times,” Newsday, February 7, 2018.

WARN notice,” New York State Department of Labor, February 8, 2018.

Newsday Eyes Move, Outsourcing Drivers and Printing,” Long Island Press, January 18, 2018.

Newsday eyes major downsizing,” Long Island Business News, November 7, 2017.

Newsday closing in on deal to outsource printing, delivery,” New York Post, November 30, 2017.

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