Big Media cuts show independent news still essential
Thursday, June 26th, 2008Last week newspaper publisher McClatchy Co., which owns five South Carolina newspapers, announced it is cutting 10 percent of its workforce. Columbia’s The State said cuts would affect about a dozen newsroom positions. The Sun News of Myrtle Beach said it would shed nine jobs, or about 3.6 percent of its staff. The Herald of Rock Hill said it would not eliminate any positions. The Beaufort Gazette and The Island Packet of Hilton Head have not said whether they will cut jobs.
What does this mean for readers? Chris Kromm, editor of Facing South, published by the Institute for Southern Studies, offers this analysis.
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Reports that newspaper publisher McClatchy Co. is slashing 1,400 jobs this month — 10 percent of its national workforce — sent shockwaves through the media industry and served as a grim reminder of the precarious state of newspapers.
But McClatchy’s massive bloodletting raised a bigger question: When newspapers don’t have reporters, who’s keeping the public informed and shedding light on the state of democracy?
The cuts will be especially hard in the South, where McClatchy owns 15 newspapers. And although McClatchy insists cuts in news reporting will be less than seen at Gannett and other chains, newsrooms will definitely feel the knife.
A survey of the carnage: The Charlotte Observer will cut 123 jobs, or 11 percent of its workforce. The Miami Herald plans 250 job cuts, 17 percent of workers there. The Herald-Leader in Lexington, Ky. is dropping 17 positions. In Raleigh, N.C., the News & Observer is cutting a total of 70 jobs, 16 of them in the newsroom.
But not all will suffer equally. As the Lexington Newspaper Guild pointedly observed, McClatchy gave CEO Gary Pruitt an $800,000 bonus last year and just hired a new corporate vice president, even as the company’s stock was spiraling downward:
The Guild does not believe it is humane when employees who have put in a lifetime of service to McClatchy and KnightRidder are thrown to the curb, while McClatchy’s excessive corporate bureaucracy remains untouched.
McClatchy’s corporate mindset — so common in today’s Big Media — offers clues to the real problems facing newspapers. It’s not necessarily readership: As McClatchy admits, online readership grew 41 percent in the first quarter of 2008. The problem is an economic mismatch between declining ad revenues and shareholder demands for high profit margins on one hand, and the money needed for in-depth reporting on the other.








