Post-Dispatch Agrees To 6% Pay Cut

st louis post dispatch.gifThe St. Louis Post-Dispatch has agreed to a five year contract that cuts pay by 6 percent in the first two years, Editor and Publisher reports.

Newsroom, advertising, and janitorial employees will also take three weeks of unpaid furloughs.

If the paper’s revenues rise by at least 2 percent a year, wages will rise by 2.5 percent a year in each of the last three years of the contract. Which amounts to a tenth of a percent of a raise a year until 2015.

The contract, which publisher Kevin Mowbray said was necessary “for immediate cost reductions as we continue to be negatively impacted by the most unprecedented economic downturn since the Great Depression,” also includes a six-month moratorium on layoffs.

This contract also ends nearly a year of negotiations, as the last contract expired in June 2009 and negotiations begun in May. It also represents a slight improvement for workers compared to the original offer submitted by the company.