Exclusive Gannett Update: Memo from Republic publisher

By Nick R. Martin | January 14th, 2009 | 11:44 am | 2 Comments »

HEAT CITY has obtained a memo sent to Arizona Republic employees by publisher John Zidich this morning regarding the week-long, unpaid furlough everyone in the company is being forced to take before the end of March. Here it is:

The announcement today of a mandatory one week unpaid furlough for every Community Publishing Group employee is one step to minimize further company wide job reductions. The furlough does present operational challenges. Your managers were only made aware of the furlough this morning, so I ask for your patience as we develop a game plan to accomplish this task.

Over the next few days each department will review their structure, assess workloads and determine the most efficient manner to roll out and manage this action. Managers will work with you to determine furlough priorities. However, the goal for the furlough that we all must have at the top of our list is to maintain quality and customer service at every level of the company.

I fully understand decisions like this furlough are difficult. Communication will be at a premium throughout this process. I encourage each and every one of you to offer suggestions and support your co-workers and manager to insure we successfully navigate this process.

Thank you for your commitment and support.

JZ

HEAT CITY has received more leaked memos from Gannett employees. Other websites have already published them, but I’ll post them here after the jump.

Memo from Bob Dickey, the head of the Gannett chain’s newspaper division, to employees:

VIA E-MAIL | Jan. 14, 2009

To: All US Community Publishing employees

From: Bob Dickey

The national recession is worsening and companies across America, inside and outside of our industry, are taking bold steps to help offset the current situation.

Like others, Gannett has had to make some very difficult decisions over the past year. Having to reduce staff, reformat newspapers and end delivery to some customers has had a deep impact on our company and all of us. We have consulted with many of you on how to minimize the impact on our readers and customers.

With your help and commitment, we have continued publishing quality products and populating Web sites daily. We are innovating and growing our digital businesses. We are working to emerge from this downturn with new energy and new solutions for our customers. Due to our financial management, Gannett remains an industry leader.

Unfortunately, the advertising environment is still difficult and the economic issues unprecedented. We must take additional steps even as we focus on growing our local readership and market share revenues.

As a result of your feedback, and in an effort to minimize the need for more layoffs, I have decided to take another approach as we enter 2009. To that end, every non-represented employee in the USCP division will be furloughed for five business days during this quarter. That includes me, your publisher, everyone. Unions will be asked to accept furloughs in lieu of layoffs. We all will be sharing the financial hardship.

To be clear, a furlough means you will not work and will not be paid for furlough days.

Exempt, salaried employees must take one full payroll week within the pay period. Non-exempt, hourly employees may take five days at any pre-approved time before the last weekend in March.

If you are not sure which category you are in, check with your Human Resources representative. Also, a fact sheet is attached that should answer any questions you may have. If not, talk with your supervisor or email me at rdickey@gannett.com.

I am determined to maintain our operations, provide the best local news and information for our readers and help keep Gannett a healthy company. I thank you in advance for joining me in achieving this goal.

Memo from Craig Dubow, the president and CEO of the chain:

Today Gannett is implementing a furlough program across all U.S. divisions and at corporate headquarters. This means that most of our U.S. employees – including myself and all other top executives – will be furloughed for the equivalent of one week in the first quarter. This furlough will be unpaid. Unions also will be asked to participate.

We are doing this to preserve our operations and continue to deliver for our customers while confronting the issues raised by some of the most difficult economic conditions we have ever experienced.

After much consideration, we decided a furlough program would be the fairest and least intrusive way to meet these fiscal challenges in the first quarter, which is traditionally the lightest time of the year. We sincerely hope this minimizes the need for any layoffs going forward.

As the day goes on, you will be receiving information from your division presidents explaining the program, including some FAQs to help answer any of your questions and address your concerns about pay and benefits.

We have made some very difficult decisions this past year, all with the goal of keeping Gannett strong and preparing for the future. I understand I have asked a great deal of you, and I regret adding to your burden with this program.

But my sincere hope is that this step removes the need to do anything more drastic, and that business conditions improve. As always, I thank you for your patience and loyalty to Gannett.

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  • Andrea Aker

    I bet a lot of reporters will need to work during their unpaid furloughs. Reporters are bogged down with emails everyday. I am interested in finding out what Republic employees think should be cut from the budget.

  • Andrea Aker

    I bet a lot of reporters will need to work during their unpaid furloughs. Reporters are bogged down with emails everyday. I am interested in finding out what Republic employees think should be cut from the budget.