At a time when local journalism is more important than ever,Gannett is asking its staff to make a “collectivesacrifice,” reportsThe Daily Beast. In an email to staff, Gannett Media CEO Paul Bascobertannounced the company will make significant unpaid furloughs and pay cutsacross the entire organization, despite a recent surge in online traffic and subscriptions.Bascobert blames a deep decline in advertising revenue from the coronaviruspandemic for the cuts, which could begin as early as this week.

According to GregoryHolman of USA Today on Twitter (@GregHolmanNL),unpaid furloughs will be for one work week per month for the months of April,May and June, and will apply to journalists making more than $38,000. To helpease the sting, Bascobert said he will not draw a salary and some Gannettexecutives will take a 25% cut in pay until the furloughs and pay reductionshave ended.

“Our plan is to minimize long-term damage to the business byimplementing a combination of furloughs and pay reductions. By choosing acollective sacrifice, we can keep our staff intact, reduce our cost structure,deliver for our readers and clients and be ready to emerge strong and withopportunity to grow when this crisis passes. Following this announcement, youwill hear from your leadership on the specific actions to be taken in yourarea, many of which will begin as soon as this week,” Bascobertsaid.

“We realize these actions will put economic hardship on allof you and I don’t take these measures lightly,” Bascobertadded in his memo to employees. “I would simply and humbly say ‘thank you.’Our goal is to ensure that when we get through these difficult times, we emergefully able to continue our important role serving our readers, clients andcommunities.”

The Arizona Republic Guild, a union representingGannett-owned Arizona Republic, spoke out on the issue on Twitter yesterday aswell. They mention several cost-saving measures, which are in line with whatBascobert has proposed.

In a related concern, two full-time reporters forAZCentral.com have no health insurance, no paid time off and no job protections.The Guild is asking Gannett to make this right, especially because thepublisher says it values the health of its employees. To garner support forthese reporters, who are environmental fellows, the Guild is asking Gannett togive them equal benefits through an onlinepetition on The Action Network.

Gannett was acquired by private equity New Media InvestmentGroup, parent company of GateHouse, in November. The combined companiescomprise the new Gannett. For the fourth quarter of 2019, Gannettposted a $95.1 million loss. Just weeks after the merger, Gannett announcedits firstround of layoffs in an effort to cut costs and efficiencies. These cuts areseparate from the company’s overall plan to identify operational synergies andeliminate positions.

Insider Take:

As the coronavirus wreaks havoc on our country and the world, journalists and support staff are critical to sharing important information and resources with the public. This is not the time to cut staff or reduce their pay, but Gannett is not alone. Other media outlets are suffering right now too, and they do not have the reserves to keep things running as usual: The Stranger (Seattle), Eugene (Oregon) Weekly, Weekly Alibi (Albuquerque, New Mexico), BuzzFeed, Future PLC and others. Many of the businesses that supported these publications through advertising dollars are in dire straits themselves. We don’t know what the answer is, but we question whether the coronavirus outbreak is a convenient excuse for Gannett or if it is truly out of resources to pay its staff while asking them to literally put their lives on the line to cover the pandemic.