Congress is considering several measures to help local news outlets, including subscription and ad subsidies. Any owner that ships jobs out of the country should be ineligible.
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At the dawn of the Trump presidency four years ago, the journalist James Fallows offered a prescription for overcoming the anger and divisiveness that had given rise to Donald Trump’s toxic brand of right-wing populism: a renewed engagement with community life.
“At the level of politics where people’s judgments are based on direct observation rather than media-fueled fear,” Fallows wrote in The Atlantic, “Americans still trust democratic processes and observe long-respected norms.”
Fallows and his wife, Deborah Fallows, later wrote an entire book on the topic. But their advice was not heeded. President Trump sucked up every bit of oxygen and energy, from the Resistance to impeachment, from COVID and economic collapse to his racist rhetoric, his cruel policies and his sociopathic Twitter feed.
“We need a world in which we talk less about the president,” lamented Cardozo School of Law professor Ekow Yankah last week. “It’s not healthy.” That Yankah was being interviewed on a podcast called “Trumpcast” suggests the depth of the problem. Even now, Trump is dominating the news to a far greater extent than President-elect Joe Biden — and not in a good way. Rather than living locally, we spend all our time thinking nationally. It’s exhausting and leaves us feeling angry and alienated.
Our media in many ways are a reflection of our politics. The Trump years were very good for national news organizations like The New York Times, The Washington Post, NPR and, God help us, cable news, especially Fox. And they were very bad for local media, especially community newspapers.
To renew civic life, you first need to renew local, independently owned newspapers and other media. I’m not talking about major regional newspapers, public radio or local TV newscasts. I’m talking about the hard but rewarding work of keeping tabs on city councils, school committees, zoning, police, development, neighborhoods and racial justice.
“There is a direct correspondence between the closing of newspapers and the polarization of people formerly served by those newspapers,” wrote Marc Ambinder, a senior fellow at the USC Annenberg Center for Communication Leadership and Policy, in a recent essay for MSNBC.com. He added: “If we want a society where we can accurately understand the preferences and behaviors of everyone, we need more local journalism.”
Unfortunately, it has become nearly impossible to pay for such journalism. The causes are familiar, from the collapse of digital advertising for everyone except Google and Facebook to the rise of corporate and hedge-fund ownership that bleeds local newspapers dry.
The COVID pandemic has made the financial situation facing news organizations that much worse. According to CNN reporter Kerry Flynn, two major publicly traded chain newspaper owners, Gannett and Tribune Publishing, are near collapse. Gannett’s ad revenues were down 38% in the second quarter over the previous year and down 23% in the third quarter. Tribune was down 48% in the second quarter and down 38% in the third.
Between them, the two companies own hundreds of local papers that had been hollowed out even before the pandemic. And unlike national papers like the Times, the Post and The Wall Street Journal, these companies have barely gotten started on charging readers for digital access.
So what is to be done? As I’ve written a number of times previously, I think we need a variety of solutions; one approach is not going to work in every community. For-profit, nonprofit, cooperative ownership, even volunteer-driven projects are all doing good work in cities and towns across the country. But they remain the exception, and the overall picture continues to darken.
Rick Edmonds of Poynter reported recently that Congress is considering a number of ideas, including tax credits for subscribing to a local news source, tax relief for publishers, advertising subsidies, and an antitrust exemption that would allow the news business to negotiate as one in an attempt to extract some revenues from Google and Facebook.
“Congress has pretty much decided it should come to the aid of local news,” Edmonds wrote. “The question of how remains, together with making the help timely.”
In Massachusetts, a bill that would create a special commission of journalists, academics and legislators to study the extent of the local-news crisis has gotten bogged down in committee, though I’m told that it could pass before the end of the year. (Disclosure: I’ve worked on the measure with state Rep. Lori Ehrlich, D-Marblehead, and would be a member of the commission.)
Needless to say, a commission isn’t going to fix what’s ailing local news. Yet if we’re going to have any chance of revitalizing civic engagement and closing the chasm that has come to separate us, we need to find a way.
In late October, The Inquirer and Mirror of Nantucket announced that the longtime editor and publisher, Marianne Stanton, along with a local businessman named David Worth, were buying the paper back from Gannett, which had owned it for a number of years.
“I think it’s pretty cool that two Nantucketers, both descendants of the early settlers, could work together to pull this off,” said Stanton in the announcement.
I think it’s pretty cool, too. It’s hard to know what, if anything, it will lead to. But it was a step in the right direction as well as very good news for the civic life of one community. Maybe it will be the start of something.
Right on the heels of Gannett’s selling The Inquirer and Mirror of Nantucket and The Pine Bluff Commercial of Arkansas, the giant chain has now announced that it’s offloading its business-to-business subsidiary, BridgeTower Media, to a private-equity firm.
BridgeTower’s local holdings include Massachusetts Lawyers Weekly, Rhode Island Lawyers Weekly and Color Magazine, which “highlights topics of interest revolving around professionals of color.” The new owner, Transom Capital Group, is based in Los Angeles. Its self-description is so hilariously awful that it’s worth quoting:
Transom Capital Group is an operations-focused private equity firm in the lower-middle market. Our functional pattern recognition, access to capital, and proven ARMOR℠ Value Creation Process combine with management’s industry expertise to realize improved operational efficiency, significant top-line growth, cultural transformation and overall distinctive outcomes.
It’s too early to hope that the debt-addled Gannett chain, which has a stranglehold on most of the community newspapers in Greater Boston, Rhode Island and southern New Hampshire, is in the midst of a selloff. But if you’re thinking of making an offer on your local Gannett-owned newspaper, it looks like this might be a good time.
I don’t suppose this is the beginning of a trend, but it’s great news nevertheless: The Inquirer and Mirror of Nantucket has been sold to local owners.
According to an announcement on the weekly paper’s website, Gannett (the part that’s formerly GateHouse Media) has agreed to sell the paper to a group put together by editor and publisher Marianne Stanton and a local businessman named David Worth.
“I think it’s pretty cool that two Nantucketers, both descendants of the early settlers, could work together to pull this off,” said Stanton. I think it’s pretty cool, too.
No sooner did I tweet about this than I learned that Gannett had also sold The Pine Bluff Commercial to the Arkansas Democrat-Gazette, which is itself independently owned. So maybe it is a trend. Or a mini-trend.
Gannett essentially gave the Pine Bluff, Arkansas, paper @pbcommercial to the owner of the Arkansas Democrat-Gazette a few weeks ago.
Meanwhile, the perpetually downsizing Gannett continues to struggle. Chief executive Mike Reed announced last week that the chain would embark on another round of voluntary buyouts.
So if you’d like to acquire the Gannett paper in your community, it sounds like it might be a good time to make an offer.
Among those of us who follow the business of local news, there is a tendency to lump the two most notorious corporate chain owners together. Gannett Co. and Alden Globe Capital, after all, are both notorious for slashing their newsrooms to the bone. Their newspapers and websites in too many instances fail to meet the information needs of the communities they purportedly serve.
Yet there is a difference. And I was reminded of that difference recently by Rick Edmonds, who analyzes the media business for the Poynter Institute.
After a decade’s worth of cuts, Gannett is planning to bolster its reporting corps in the near future, Gannett chief executive Mike Reed told Edmonds — although he didn’t provide any numbers. Currently, Gannett employs about 5,000 journalists at its properties, which include USA Today, about 260 regional dailies and many other weekly papers and websites, including dozens in Greater Boston.
“We need to get even better,” Reed was quoted as saying. Well, OK. I would replace “even” with “a lot.” Still, such talk would be unimaginable at Alden Global Capital, whose MediaNews Group chain of about 200 papers has sparked newsroom revolts as well as demands from 21 U.S. senators that the company stop its “reckless acquisition and destruction of newspapers,” according to a recent story by Sarah Ellison in The Washington Post.
The difference between how Gannett and MediaNews are perceived may have something to do with their ownership structures.
The current Gannett is the result of a merger late last year between Gannett and GateHouse Media. Despite keeping the Gannett name, it was clearly GateHouse that got the better of the deal: Reed was the chief executive at GateHouse before assuming the same position at Gannett. The new Gannett immediately embarked on an estimated $400 million in cuts in order to pay down the debt it had taken on in financing the merger, according to the media-business analyst (and newly minted entrepreneur) Ken Doctor at Nieman Lab.
Gannett is a publicly traded corporation, which means that Reed’s ultimate goal is long-term growth and sustainability — albeit with as little journalism as the company can get away with. Reed hopes to do that by leveraging Gannett’s media holdings with digital marketing subsidiaries the company owns as well as an events business, which is obviously on hold during the COVID pandemic.
If everything works out over time, it is possible to imagine Gannett’s local news outlets staffing up and providing better, more comprehensive coverage than they have in recent years. As good as what would be offered by independent newspapers and websites? Almost certainly not. But any improvements would be welcome.
Alden Global Capital, on the other hand, is a hedge fund. And as best as anyone can tell, the company has no strategy for MediaNews Group beyond extracting as much money as it can for as long as it can. Its Massachusetts papers, the Boston Herald, The Sun of Lowell and the Enterprise & Sentinel of Fitchburg, operate on a shoestring. The Fitchburg office was closed several years ago. The Herald’s office in Braintree was recently shut down as well, although it’s unclear whether that was a temporary, COVID-related move or something permanent.
In Ellison’s Washington Post article, Alden managing director Heath Freeman tried to portray himself as a savior of journalism. “I would love our team to be remembered as the team that saved the newspaper business,” he was quoted as saying. Ellison, though, ran through a list of MediaNews papers across the country that have been so gutted that they have virtually no one to cover the news.
“Don’t buy the idea that Alden is trying to save newspapers. I don’t think any idiot would buy that,” said Dean Singleton, the owner of an earlier iteration of MediaNews Group whose own reputation as a cost-cutter looks benign by today’s standards. Freeman’s retort: “We’ve saved the very newspapers that Dean Singleton ran into bankruptcy, so take his recriminations with a grain of salt.”
Stop me if you’ve heard me say this before, but quality local news can be a key to reviving civic engagement, which in turn could help us overcome the hyperpolarization that defines our culture nationally. According to a recent survey by Gallup and the Knight Foundation, 70% of Americans believe the news media play a “critical” (30%) or “very important” (42%) role “in making residents feel connected to their local community.”
“While national press was perceived by residents of all political backgrounds as distant, privileged, and dismissive of local culture,” she wrote, “it was not uncommon for residents to have first- or secondhand interactions with local reporters. So while participants could identify shortcomings, there was a base-level familiarity and trust.”
Those interactions are important — but they are becoming increasingly rare at the local news organizations being run by Gannett and MediaNews Group. At least there’s some reason to hope that the situation might improve at Gannett. As for MediaNews, a former reporter for the chain, Julie Reynolds, put it this way in The Nation several years ago: “Don’t just blame the Internet for journalism’s decline. Old-fashioned capitalist greed also strangles newspapers.”
Last fall I asked the lone full-time reporter for the Medford Transcript if he would take part in the mayoral debate I was helping to organize for the Medford Chamber of Commerce. He told me that he would have liked to, but that he couldn’t because he’d be covering it. A reasonable answer, although it also spoke to the Transcript’s lack of resources.
Not long after, he left the paper. The debate was covered by a part-time stringer. And today, more than a year and a half later, that full-time position still hasn’t been filled.
The Transcript does assign stringers to cover a few stories. They do a good job, and nothing I write here should be taken as denigrating their work. But in a city of nearly 58,000 people, we have enough news for a staff of two full-time reporters. Or four. Even when we had one, the young journalists who filled that position managed to write some important stories before moving on to bigger and better jobs. Zero, though, is just untenable.
Today Medford is very close to being a news desert, joining hundreds if not thousands of communities across the country that have so little coverage that they lack the reliable news and information they need to participate in local affairs in a meaningful way. Instead, we rely on Facebook, Nextdoor, Patch (which does have a little bit of original reporting), email lists, messages from the mayor, texts from the police department and reports by citizens who have the time and the inclination to sit through public meetings on Zoom and write them up. (Update: Since publishing this essay, I’ve learned about a free paper called the Medford News Weekly. Despite its name, there’s a lot of Somerville news in it, and the content is mostly press releases. Still, it’s worth keeping an eye on.)
As a longtime journalist and academic who studies the business of news, I want to share some thoughts on what might be done to solve the problem. Over the past few years, I’ve had several conversations with people in Medford about how to fill the gap created by the hollowing-out of our local newspaper. But solving the problem is a daunting task and, frankly, those conversations didn’t lead anywhere. First, though, a bit on how we got here.Continue reading “Together, we can do something about local news coverage in Medford”
How much support do newspapers owned by cost-cutting corporate chains deserve? It’s a dilemma. On the one hand, the people who live in communities served by those papers need reliable news and information. On the other hand, subsidizing them with money and resources could be considered a reward for bad behavior.
Last week Report for America, or RFA, announced that it would send 225 journalists to news organizations in 46 states and Puerto Rico during 2020-’21. With local news in crisis even before the COVID-19 pandemic, it was a welcome piece of good news. Most of the organizations that will host these young journalists are either independent or part of small chains, and they include a sizable number of public broadcasters, nonprofit start-ups, the Associated Press and the like. Locally, The Bay State Banner will be getting a reporter.
But in looking over the list, I also noticed a substantial number of newspapers that are part of corporate chains. By my count, 15 papers are part of McClatchy, which recently declared bankruptcy after staggering under unsupportable debt for many years. Twelve are part of Gannett, recently merged with GateHouse Media; both chains are notorious for slashing their newsrooms, and not just since COVID-19 reared its head. One reporter is even going to Cleveland.com, the website of The Plain Dealer and the scene of a recent union-busting effort on the part of Advance Publications.
As I said, it’s a dilemma. If you attempt to punish chain owners for squeezing out revenues at the expense of newsroom jobs, you wind up hurting communities.
I contacted Report for America co-founders Steven Waldman, who serves as RFA’s president, and Charles Sennott, who’s the chief executive officer and editor of The GroundTruth Project, of which RFA is a part. Their answers have been lightly edited. First Waldman:
My general answer is: Yes, half of our placements are in nonprofit, and others are in locally owned commercial entities. But we do indeed have some placements in newspapers that are owned by chains. Our primary standard is: Will this help the community? So we have on occasion accepted applications from newspapers with the problems you mentioned if we were convinced that they would use the reporter to better serve their readers. If we can be a positive force in helping those newspapers tip more in the direction of great journalism, we view that as a real positive step…. [Ellipses Waldman’s.] In effect, we’re creating hybrid nonprofit/for-profit models that provide even better local journalismBy the way, we have always had newspapers like that in the program, as part of the mix. That’s not new.
Now Sennott:
One of the stronger papers in our original Report for America class of 2018 was the Lexington Herald-Leader, a McClatchy paper in Kentucky. They pitched us on reopening the Pikeville Bureau in the heart of coal country in Eastern Kentucky, a bureau they had been forced to close 10 years earlier. They felt they were not serving well the community there. We placed RFA corps member Will Wright there and he became one of our true stars, breaking a story on a water crisis in which tens of thousands of residents did not have access to clean drinking water. His reporting turned a spotlight on this issue and helped the community force the county officials to repair the work and restore the access to clean drinking water. I went to Pikeville to work alongside Will Wright on this story and saw his incredible impact in that community with my own eyes. That is what we care about, serving the communities in these under-covered corners of America. And that’s why we have always been proud of our work with the Lexington Herald and why we did not rule out McClatchy as a place for us to look for RFA host newsroom partnerships, even if it is a chain that is going through hard economic times.
We did an enterprise project with Will Wright and two other reporters in rural Appalachia. Here is a link to the project, which was also featured on GroundTruth, as home of RFA:
Also, we got news today of a full-page ad was taken out by Republicans and Democrats thanking McClatchy for its service to Kentucky.
And adding a poetic new chapter to the story, Will Wright has been accepted by The New York Times for its very competitive fellowship. And no, we are not leaving them high and dry. In this new class, we will have three journalists (two reporters and one photographer) at the Lexington Herald.
Sending an RFA journalist to a Gannett paper isn’t going to lead directly to a layoff. More public-accountability coverage is in everyone’s interests. And the chains, unfortunately, have a monopoly in many parts of the country, so it’s not like RFA could send someone to another news organization in that community.
Overall, I think RFA is doing the right thing — even if it makes me a bit queasy.
The already-barebones Gannett newspaper chain has announced massive COVID-19-related cost reductions through June, according to a memo to the staff from Maribel Perez Wadsworth, president of news and publisher of USA Today.
Employees making more than $38,000 will be furloughed for five days during each of the three months. Wadsworth says she will take a 25% pay cut, although I don’t know what she’s making now.
Wadsworth’s portfolio includes Gannett’s local newspapers and websites, including the former GateHouse properties in Eastern Massachusetts, Rhode Island and New Hampshire. Here is a list. The memo, which I obtained from a trusted source, was accompanied by an FAQ, which you can read here. The full text of her email is as follows:
All,
Let me first acknowledge all the incredible work you’ve done in the face of this pandemic that is, without a doubt, also taking a toll on your personal lives. Our strong audience and subscriber response this month show how much people rely on our news and information to make key, critical decisions that impact themselves and their loved ones.
As you’ve seen the havoc wreaked on our nation’s and the world’s economy, so too, is the uncertainty around the coronavirus outbreak increasing financial pressure on our own company. As businesses close and live events cancel across the globe for the next few months, we are seeing many advertisers and sponsors reducing or even eliminating their marketing spend. With the current pressures and so much uncertainty, it’s difficult to chart our next steps for more than the next few months.
To meet this unprecedented challenge, we are instituting a series of immediate cost reductions, including a furlough program in April, May and June across our division.
We do not take this action lightly; we know furloughs cause hardship. All of Gannett’s divisions are approaching this challenge differently, but after careful consideration of other options, we felt this was the best approach for our team.
Importantly, we will not furlough employees who earn less than $38,000 annually, and different policies will apply to a few teams whose business was impacted more severely by recent events. We are asking union representatives for their support of the furloughs as well. Senior leaders whose absence would put our integration timeline and key business operations at risk have agreed to a pay cut in lieu of a furlough (but equal to the amount each month). I will be taking a 25 percent reduction in salary during the quarter.
Furloughs will be for five business days each month of the second quarter. Exempt employees must schedule each furlough for the full business week, while non-exempt employees can be scheduled by the week or in full-day increments. Managers will approve furlough schedules to balance business needs during this time.
Your supervisor will be sharing more specifics and working with you to schedule your furlough as soon as possible. The attached FAQ should also help answer many of the questions you might have. You will see an invite from me momentarily for an Ask Me Anything session this afternoon at 2 p.m. Eastern. Please join if you can, and please submit any questions in advance to xxx.
We will get through this unprecedented challenge together. We will emerge stronger. We will continue to do important, impactful, essential journalism to serve our readers and communities. I am deeply grateful to each of you.
The devolution of Tucker Carlson. The MIT Media Lab’s entanglement with career sex criminal Jeffrey Epstein. The ever-present threat to free speech. And, above all, the ongoing corporate-fueled crisis afflicting local news.
These are the themes that emerged in my most-read commentaries for WGBH News from the past year. We live in difficult times, and my list might provoke pessimism. But given that four of my top 10 are about the meltdown of local news, I’m at least somewhat optimistic. People really care about this stuff. And that’s the first step toward coming up with possible solutions. So let’s get to it.
10. Whatever happened to Tucker Carlson?(March 12). When Fox News talking head Tucker Carlson began his journalistic career in the mid-1990s, he built a reputation as a smart, unconventional conservative, a stylish writer and (as I can attest) a charming lunch companion. Today he is a racist, sexist hate-monger and a full-throated apologist for President Trump. What happened? Although I can’t read Carlson’s mind, it would appear that he values fame and fortune over principle. In that sense, Carlson is a metaphor for nearly the entire conservative movement, with the few conservatives of conscience having been exiled to #NeverTrump irrelevance.
9. Corporate newspaper chains’ race to the bottom (Jan. 16). One year ago, the cost-slashing newspaper chain Gannett was fighting off a possible takeover by Digital First Media (now MediaNews Group), owned by the hedge fund Alden Global Capital and generally regarded as the worst of the worst. Gannett avoided that grim fate. But by the end of the year, Gannett had merged with another bottom-feeder, GateHouse Media. The first order of business: Cutting another $400 million or so from papers that had already been hollowed out, including titles that serve more than 100 cities and towns in Eastern Massachusetts and Rhode Island.
8. The move from no-profit to nonprofit journalism (May 15). A brief period of hope greeted Paul Huntsman after he bought The Salt Lake Tribune in 2016. Instead, the cutting continued, as Huntsman discovered that 21st-century newspaper economics were more of a challenge than he’d imagined. Then, last spring, he announced that he would seek to reorganize the Tribune as a nonprofit entity. Several months later, the IRS approved his application. Nonprofit ownership is not a panacea — the Tribune still must take in more money than it spends. But by removing the pressure for quarterly profits and keeping the chains at bay, Huntsman might point the way for other beleaguered newspaper owners.
7. Fact-checking and the dangers of false equivalence (Sept. 18). We have never had a president who spews falsehoods like President Trump. Much of what he says can be chalked up to old-fashioned lying; some of it consists of conspiracy theories from the fever swamps of the far right that he might actually believe. Fact-checkers at The Washington Post, CNN, PolitiFact and other news organizations have diligently kept track, with the Post reporting several weeks ago that Trump had made more than 15,000 “false or misleading claims” during his presidency. Yet the media all too often remain obsessed with balance in this most unbalanced of times. And thus Democratic presidential candidates, including Bernie Sanders and Joe Biden, are inevitably held to a higher standard, being branded as liars for what are merely rhetorical excesses or even disputed facts.
6. Yes, millennials are paying attention to the news (July 24). Millennials are often, and wrongly, caricatured as self-absorbed and caring about little other than where their next slice of avocado toast is coming from. It’s not true. A study by the Knight Foundation, which surveyed 1,600 young adults, “shows that 88 percent of people ages 18-34 access news at least weekly, including 53 percent who do so every day.” The findings matched what I’ve seen in many years of teaching journalism students: they’re dubious about the news as a curated package, but they’re well-informed, highly quality-conscious and not wedded to the notion of loyalty to specific news brands. Can we put them in charge now, please?
5. Stop letting Trump take up residence inside your head(Jan. 2). I kicked off 2019 with a list of five ideas for de-Trumpifying your life. Unfortunately, the president’s bizarre, hateful rants and policies can’t be ignored completely — but surely we can save our outrage for his truly important outbursts. Looking back, I think my best piece of advice was to pay more attention to non-Trump news, especially at the local level. We live in communities, and making them work better is a great antidote to our dysfunctional president.
4. Post-Jeffrey Epstein, some questions for the MIT Media Lab (Sept. 11). Joi Ito, a celebrated star in the media world, was forced to resign as director of the MIT Media Lab after his modified limited hangout about his financial entanglements with serial rapist Jeffrey Epstein, who committed suicide while in jail, turned out to be far more extensive than he had originally admitted. That, in turn, brought the Media Lab itself under scrutiny. In the post-Ito, post-Epstein era, questions remained about exactly how dependent the lab had become on Epstein’s money — and whether it was really producing valuable work or if some of it was smoke and mirrors aimed at impressing its mega-wealthy funders.
3. Don’t blame the internet for the decline of local journalism(Nov. 27). Following yet another round on academic Twitter arguing that we need new forms of journalism in response to the damage that the internet had done to local news, I was mad as hell and couldn’t take it anymore. Yes, technology has done tremendous harm to the business model that traditionally paid for the news. But equally to blame is the rise of chain ownership intent on bleeding newspapers dry before discarding them and moving on. From Woburn, Massachusetts, to New Haven, Connecticut, independent local news organizations are thriving despite the very real economic pressures created by the rise of Craigslist, Google and Facebook. Local news isn’t dying — it’s being murdered by corporate greed.
2. Calling out New England’s enemies of free expression (July 2). Since 1998, I’ve been writing an annual Fourth of July round-up of outrages against the First Amendment called the New England Muzzle Awards. For many years, the Muzzles were hosted by the late, great Boston Phoenix. Since 2013, they’ve made their home at WGBH News. The 2019 list included school officials in Vermont who tried to silence the high school newspaper (and lost) and a police chief in Connecticut whose officers arrested a journalist during a Black Lives Matter protest to prevent her from doing her job. And don’t miss the 2019 Campus Muzzles, by Harvey Silverglate, Monika Greco and Nathan McGuire, which focus on free-speech issues on college campuses.
1. GateHouse decimates its already-decimated newspapers (June 5). As I noted above, the Gannett newspaper chain managed to fend off the depredations of Alden Global Capital. But Alden, Gannett and GateHouse Media danced around each other all year. In the spring, GateHouse, already known for taking a bonesaw to its newspapers, eliminated about 170 positions at its papers nationwide and merged 50 of its smaller weeklies in Greater Boston into 18, a surefire way to undermine customer loyalty to the local paper. “We remain positive about the future for local media but certainly acknowledge that the business model for community news is under pressure,” GateHouse CEO Kirk Davis told me. But by year’s end, GateHouse had merged with Gannett, Davis was gone — and the cutting continued.
So what will 2020 bring? Call me crazy, but I think we’re going to see some good news on the local-journalism front. As for what will happen nationally, I think I can safely predict that the political press will continue to focus on polls and campaign-trail controversies at the expense of substance, continuing a trend documented recently by my colleagues Aleszu Bajak, John Wihbey and me at Northeastern University’s School of Journalism.
Finally, my thanks to WGBH News for the privilege of having this platform and to you for reading. Best wishes to everyone for a great 2020.
Paul Bascobert, chief executive officer of Gannett Media Corp. (apparently number two to Mike Reed in the reconfigured New Media-GateHouse-Gannett structure), has issued a memo to the troops about the just-announced layoffs.
Tom Jones of Poynter relays the news that employees have apparently been ordered to sign non-disclosure agreements as a condition of receiving severance, and that employees have been told to stop tweeting about their corporate overlords.
A copy of Bascobert’s email floated in through a window at Media Nation a little while ago. The full text is as follows:
Team,
Over the past few days, we implemented a series of staff reductions across the company. I wanted to personally let you know this happened and give you some context for the months ahead.
First, to colleagues who are leaving, I want to offer a sincere thank you for your contributions to our company. There are no easy words to say here and I am sure “thank you” probably rings a bit hollow. Please know this is not related to performance. This is the reality of trying to create an operating structure that can support our journalistic mission of protecting, connecting and celebrating local communities.
For our remaining colleagues, I would ask you to be considerate and supportive. As I have said in my town halls, we may not be able to change the reality of staff reductions, but we can define ourselves by the care and professionalism we show in the process. Please be there for people. Reach out to friends who may be hiring. Let’s take it on ourselves to get our colleagues settled into new roles as soon as possible.
The natural question at this point is “are we done?” The honest answer is No. I have tried to be very transparent with you all and not spin things in a way that you wouldn’t believe anyway, so let me tell you where we are.
We just named our leadership team and while we were able to identify this reduction, the new team will need some time to finalize their organizations and I expect there will be some additional reductions. It will take a few months to work through this process and I expect this will conclude the bulk of the synergy actions. There will be some projects that could extend beyond this time but we should be able to provide visibility to those as well.
Longer term, it should be no surprise that we will always be looking for ways to run the business more efficiently. That’s our obligation, not just to shareholders but to our employees who want us to invest in a sustainable future and our customers who want the best value in a competitive market.
These necessary actions enable us to invest in the digital talent, products and services that I have alluded to in our town halls; this is how we plan to reverse the cycle of revenue declines. We will be launching some new products over the next few months as we start to build the foundation for future growth.
In closing, I remain very optimistic and confident in our return to growth. For today though, my thoughts are with all of you during this period of transition. I can’t thank you enough for your continued dedication to delivering for our customers and for each other. It is with this kind of commitment to excellence that we build our bright future together.