The average pay cut would be 7.75 percent. If the reduction lasts through the end of 2009, it would have the effect of an average pay cut of 4.5 percent for the full year.
Rick Daniels, CEO of GateHouse Media New England, said the broad pay cut was a necessary step to ensure the Needham-based publishing group, a division of GateHouse Media Inc. of Fairport, N.Y., will remain profitable in the face of steeper-than-expected advertising declines.
“We know what happens to newspapers who are no longer cash-flow positive, and we’re committed to not let that happen,” Daniels said. “We understand this is a sacrifice for our employees, and a serious one. But we think, in light of keeping this company stable and strong, that it’s one worth making.”
I have no information that anything like this is being considered for area GateHouse Media newspapers, including The Carthage Press, Neosho Daily News, and Pittsburg Morning Sun. Anyone with information, send me an e-mail, or leave a comment.