Gannett Co. Inc., the largest newspaper publisher in the United States and the parent company of outlets like USA Today, is offering employees voluntary buyout packages.
“Given our static revenue trends, we need to adjust our organization to effectively meet the needs of our business today and position ourselves for sustainable growth in the future as we continue to use AI and leverage automation to realize efficiencies,” longtime Gannett CEO Mike Reed said in a memo to staff on Thursday.
And saying Gannett’s revenue has been “static” in recent years is charitable; the company’s annual sales decreased from $3.21 billion in 2021 to $2.51 billion in 2024, with revenue dropping each year along the way.
Reed, in his memo, which was obtained by Deadline Detroit, added that Gannett was offering a “voluntary severance package to eligible employees to reduce our overall cost structure as we strive for revenue growth.”
Those eligible employees do not have a ton of time to make their decision, either; staffers must indicate they will accept the offer by July 30 and be willing to work through Sept. 5. Gannett reps did not immediately respond to TheWrap’s request for details on the buyout packages.
Gannett has already seen a large slice of its workforce exit in recent years. The company had 8,900 employees at the end of 2024, down 11% from the year prior, and down 20% from where it was at the end of 2022.
Gannett Chief Communications Officer Lark-Marie Antón, in a statement shared with TheWrap, echoed Reed’s comment on using AI and automation to boost the business.
“As Gannett continues to focus on revenue growth, we are proactively making strategic decisions to embrace innovation, which includes leveraging automation to realize efficiencies and adapt our organizational cost structure,” the CCO said. “This [voluntary severance] allows us the near-term flexibility to drive improvement while recognizing the value of our employees.”
The company owns more than 200 papers, including The Arizona Republic, The Detroit Free Press and The Indianapolis Star.
