Local Journalists Laid Off As Media Conglomerate Suffers Heavy Losses | Eastern North Carolina Now | Media conglomerate Gannett announced on Friday that it would lay off staff at local news outlets across the United States following a dismal earnings report.

Coronavirus Disease 2019 (COVID-19)
    Publisher's Note: This post appears here courtesy of the The Daily Wire. The author of this post is Ben Zeisloft.

    Media conglomerate Gannett announced on Friday that it would lay off staff at local news outlets across the United States following a dismal earnings report.

    The company, which owns USA Today and more than 250 local outlets, reported total revenues of $748.7 million and a net loss of $53.7 million in its second quarter - reflecting a 7.2% decline in margins.

    "Our second quarter results and updated full year outlook reflect industry-wide headwinds in digital advertising as well as rising costs and pressures on consumers which are impacting our near-term performance," Gannett CEO Michael Reed said in the earnings report. "During the quarter we experienced a rapidly tightening macroeconomic environment caused by rising inflation coupled with distribution labor shortages and price sensitive consumers which has affected our traditional print business."

    Gannett President Maribel Perez then told staff in an email that the firm would begin "necessary but painful reductions to staffing" while eliminating some open positions, according to media nonprofit Poynter. Journalists at several outlets - including the St. Cloud Times in Minnesota, the Monroe News-Star in Louisiana, the Panama City News-Herald in Florida, and the Courier-Journal in Kentucky - began announcing on social media that they had been dismissed.

    "We've been transparent about the need to evolve our operations and cost structure in line with our growth strategy while also needing to take swift action given the challenging economic environment," Gannett spokesperson Lark-Marie Anton told Poynter.

    It is unclear how many total positions at Gannett were affected. Amid inflationary pressures that have propelled the United States into a technical recession, companies in other sectors have slowed hiring or introduced layoffs.

    Gannett also laid off staff in the spring of 2020 and offered a round of voluntary buyouts to all employees in the fall of 2020. Roughly 500 buyouts were accepted, with 60 editors, 19 photojournalists, and 124 reporters leaving the company, according to details obtained by Poynter.

    The layoffs at Gannett continue the progressive decline of local journalism. More than 360 newspapers closed their doors between late 2019 and the spring of 2022, according to a recent report from Northwestern University, meaning that the United States is on pace to lose one-third of its local newspapers between 2005 and 2025.

    Likewise, 7% of the nation's counties now have no local newspaper, while 70 million Americans live in an area with either no local news organization or a local news outlet that is at risk of folding.

    "Invariably, the economically struggling, traditionally underserved communities that need local journalism the most are the very places where it is most difficult to sustain print or digital news organizations," Northwestern visiting professor Penelope Muse Abernathy said of the report.

    Indeed, newsroom employment in the United States has declined 26% since 2008, according to Pew Research Center. Though total employment at newspaper publishers has dropped from roughly 71,100 to 30,800 between 2008 and 2020, employment at digital-native outlets has grown from 7,400 to 18,000 over the same time horizon.

    Nearly 2,800 news outlets received paycheck protection loans amid COVID and the lockdown-induced recession, with most remaining below $150,000, another analysis by Pew Research Center found. Because companies with more than 1,000 employees were not eligible for the benefits, Gannett and other conglomerates did not receive funds.
Go Back


Latest Op-Ed & Politics

More sever penalties for those who profit from drugs are needed
Babylon Bee CEO Seth Dillon revealed that the Christian satire outlet ultimately gained a broader audience by refusing to delete a post that caused the former management of Twitter to shutter its account.
The United States' soccer match against England ended in a tie, handing the U.S. team victory as the country which last beat the other in a war wins the tiebreaker.
The Biden administration is close to granting a license to Chevron to resume pumping oil in Venezuela, following previous reporting that President Joe Biden would ease sanctions on the socialist country to allow the U.S. oil company to continue production.
As inflation comes home to roost for many American families preparing to celebrate Thanksgiving, leadership at one of the largest poultry producers in the nation is denying that households will shift from turkey to other alternatives.
N.C. State Treasurer Dale Folwell discussed issues surrounding several towns in the state Tuesday during his monthly “Ask Me Anything” virtual press conference.
Elon Musk may release information on Twitter’s internal discussions regarding censorship of stories about Hunter Biden’s laptop prior to the 2020 election, the newly-established CEO suggested Wednesday.
A new Civitas Poll of North Carolina parents has new information on their views of teachers and what is happening in the classroom
Disney fired CEO Bob Chapek in a dramatic development Sunday, bringing back its former boss and ending a disastrous tenure that saw the entertainment giant become a value-hemorrhaging caricature of wokeness.


A local retailer is making waves after announcing its most dramatic Black Friday sale ever, in which every item in the store is marked down to whatever the price was before Biden became President.
Readers know that when you watch CBS News, much of what you see is spin, but a report regarding Hunter Biden’s infamous laptop from the legacy media network on Monday really takes the cake.
Famed author Salman Rushdie lost the use of one hand and an eye after an attack in August by a man who stormed the stage and stabbed him in the neck and torso several times — his agent confirmed last week.
Cooper makes state personnel office like Soviet political commissars
On Tuesday, Nov. 1, North Carolina’s Democrat Gov. Roy Cooper held a press conference at the Executive Mansion announcing the creation of a new commission tasked with reforming the University of North Carolina System’s governance.
President Joe Biden (D) responded to questions about his age and fitness for office during an interview that aired Sunday morning by saying that he could “drop dead tomorrow.”
Biblical scholars have come to a unanimous conclusion that the food for which Esau sold his birthright was actually a marshmallow & Jell-O salad.
Notable figures from around the world expressed shock after images emerged late on Friday night of Chinese communist dictator Xi Jinping having his predecessor, former President Hu Jintao, taken out of the Chinese Party Congress.
Former President Barack Obama took a passive shot at Florida Governor Ron DeSantis (R) in an endorsement video Friday of DeSantis’ gubernatorial opponent Charlie Crist (D).


Back to Top