April 16, 2024
Business

NEWS lays off 19 staff members Higher costs, lower revenues cited

BANGOR – The Bangor Daily News laid off 19 people Monday, or about 6 percent of its work force, in an attempt to bring rising operating costs in line with a decline in revenues.

Workers were notified Monday morning and were presented severance packages. The layoffs were companywide, with nine of the positions eliminated from the editorial department. In addition, a number of vacant positions will remain unfilled.

No other layoffs are anticipated. The NEWS, one of the Bangor area’s largest employers, has more than 300 workers remaining.

Publisher Richard J. Warren said the newspaper is experiencing some of the same financial strains other publications are facing – a decline in advertising revenues, particularly help-wanted ads, and an increase in operating costs, such as for newsprint, health care and energy. Several area businesses that were sources of advertising revenue, such as Berlin City Auto, have closed.

“I deeply regret that the challenges to the business required laying off valuable employees but we are confident this restructuring will allow the NEWS to continue to provide a quality newspaper and excellent service to its readers and advertisers,” Warren said.

Besides the staff reductions, the NEWS will undertake several cost-cutting measures, Warren said. Those include conserving newsprint, which is the company’s second-largest expense, and doing away with MaineCall, its audio text service.

Layoffs in the newspaper industry have been staggering since the national economy started experiencing a downturn about a year ago. The New York Times, The Los Angeles Times and others have cut their staffs by thousands of employees in recent months because of a decline in revenues and an increase in newsprint costs.

In Maine, the Portland Press Herald/Maine Sunday Telegram last month eliminated more than 55 positions, or approximately 10 percent of its 570-person work force. Some of those employees were laid off while others were offered early retirement packages.


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