Why More Media Companies Are Cutting Salaries Instead of Laying Off People
It's a sign publishers expect business to resume quickly
Newsrooms have started to tighten their belts by reducing employees' pay rather than layoffs.
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Key insights:
- Salary reductions keep everyone in their roles to handle business when it returns.
- It's one option publishers actually have to tighten their belts.
- “This year is about getting through to next year."
Some media companies, no strangers to mass layoffs in the face of unstable funding models, are approaching the economic uncertainty caused by the coronavirus differently. Instead of adding to the layoffs that have seemed to hit consistently since the 2008 financial crisis, publishers are opting to scale back employees’ pay this time around—at least so far.
