The Layoffs Begin at the DMN
We told you recently about the News‘ plan to batten down the hatches. The battening has begun. After the jump, a memo just out from Jim Moroney:
This morning, an announcement was made to Classified Call Center employees regarding a major change in the strategic direction of the department. This change will also significantly impact the job responsibilities of call center employees. Historically, Call Center employees responded to inbound calls. However, effective May 2, 2008, the Call Center will be fully integrated into an inbound/outbound strategy designed to better serve our advertisers and to drive incremental revenue through the acquisition of new business.
I want to clarify something I said at the employee meeting on February 22, 2008 about there not being any planned reductions in our workforce. While there are no plans for broad scale reductions across DMN, we will continue to assess our business strategies at the department level and make organizational changes as needed. Some of these organizational changes at the department level may result in smaller staffs.
10 Comments to “The Layoffs Begin at the DMN”
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What else can you expect at a paper that no longer represents the values of the people they proport to serve?
Oh, and what values would those be, Mr. Carpenter???
well they didn’t exactly represent the values of 47% of us that voted against the trinity toll road. subscription canceled.
Look, kids, these people measure profit in bad times in the $400 million range…Don’t believe that all the heirs are living on ketchup soup and second-hand tea bags….
NEW YORK, Feb 13 (Reuters) - … The company, which is spinning off newspaper group A. H. Belo, said revenue fell 6.8 percent to $407 million but came in slightly ahead of analyst expectations.
I know a move like this makes people nervous but it’s necessary! The economy is struggling and any move to improve utilization just makes sense.
it’snotpersonal:
Revenue ≠ profit
GTBD:
A move like this doesn’t make people nervous. It makes people unemployed.
Belo/DMN is like any other newspaper company right now, claiming the poor house while still making a 20 percent profit. When papers start losing money, then they can start firing employees.
The DMN is still selling its candy bars for 50 cents a piece but it’s now a bite-sized morsel.
Kirk, you’re right. But, you know…they just never seem to be actually hurting for spare change…Try this report and get out your crying towels for these people as their lifestyles and the childrens’ fate are threatened… Then remind yourself that between “revenue” and “profit” there’s a legion of Belo-employed experts doing desktop magic in the ledger to make profits vanish …
Note the word “billion” in this from money.cnn.com:
Belo had earned a profit through the first nine months of 2007. The heavy write-downs in the fourth quarter led the company to post a loss of $262.8 million, or $2.57 per share for all of 2007, compared with a profit of $130.5 million, or $1.26, the prior year.
Full-year revenue slipped to $1.52 billion from $1.59 billion in 2006.
Combine this with the layoffs at D Magazine and People Newspapers and it looks like there won’t be anyone working for a local magazine or newspaper
The Dallas Business Journal recently reported:
About $4 million in “retention and special bonuses” is being paid to five of A.H. Belo’s chief executives, with the president of the newly minted newspaper company tapped to receive $3 million.
The Belo board of directors, based on the recommendation of the Belo compensation committee, approved bonuses of $3 million for Robert W. Decherd, and $400,000 for Dallas Morning News publisher, Jim Moroney. Securities filings show the board and committee wanted to reward them for their “strategic roles” in separating the newspaper company, A.H. Belo Corp., from the television company, Belo Corp. — which happened on Feb. 8.
Retention bonuses — grants to dissuade key team members from leaving — are earmarked for three newspaper group executives: $372,000 for Donald F. “Skip” Cass Jr., A.H. Belo executive vice president and secretary; $175,000 for Alison K. Engel, senior vice president, chief financial officer and treasurer; and $144,000 for Daniel J. Blizzard, senior vice president.