Laura Lang, CEO of Time Inc., just dropped the hammer on every employee of the company. The New York Post reports that in a memo to staffers, Lang said none of them — about 8,000 people — will be getting a raise this year.
“While we are evolving, the publishing business in the short term remains challenged,” wrote Lang. “These are unavoidable facts. As we position ourselves for growth in the future we must continue to aggressively manage costs. After much thought and discussion, we have decided we must eliminate the annual merit increase in 2013.”
Those who don’t get raises will probably feel lucky though, because insiders at the publishing house are expecting about 700 staffers to get the axe come February, when Time Warner is due to announce its fourth quarter earnings.