Hearst-Owned CDS Global Slashes 280 Jobs
Subscription fulfillment provider CDS Global, which is owned by Hearst, has cut 280 jobs as part of recent restructuring within the company. CDS and other such providers have been facing economic obstacles as of late, with 44 of the titles CDS serviced no longer in existence. And, it seems, more and more subscribers are using the internet rather than mail to order subscriptions.
As part of these changes, CDS Global is closing its Iowa-based mail processing facility within 60 days, leaving 180 people without a job. Furthermore, about 70 staff members have been let go from the company’s Des Moines headquarters, with an additional 30 losing jobs in two other letter shops.
Folio reports that, in a letter to clients, CDS CEO Malcolm Netburn described the changes and resulting layoffs:
It’s complicated and difficult to do what we did. But simple for the reasoning.
The company has, however, created the Product Management Group, which took on 19 employees transferred from other departments within CDS. And, there’s reason for hope in the near future – Netburn did allow for the possibility of acquisitions and growth further down the road.
