McClatchy to Cut 10 Percent of Workforce

June 16, 2008 6:27:18 AM PDT
McClatchy says it will cut 10 percent of its workforce in a move to save $70 million a year as the newspaper publisher continues to struggle to attract advertising dollars. Sacramento, Calif.-based McClatchy Co., which publishes the Kansas City Star and Miami Herald, will trim about 1,400 employees.

The staff reductions, as part of a plan to reduce overall expenses by $95 million to $100 million over the next four quarters.

McClatchy said in April that it swung to a loss in the first quarter as a weakening economy and competition from online rivals led to a 15 percent plunge in advertising revenues at its newspapers.