While its financial picture has "darkened considerably over recent weeks," global media outlet NPR plans to fire around 100 people, or 10% of its existing workforce.
NPR CEO John Lansing stated in a note to workers that "the global economy remains unpredictable at a time when we are performing some of our most ambitious and important work."
NPR's hiring restriction
Last year, NPR declared a hiring restriction as part of a cost-saving strategy.
In the message, Lansing said that the advertising sector has weakened and that they are dealing with a dramatic drop in corporate sponsorship revenues.
"We had created a plan to address a $20 million sponsorship revenue falloff for FY23 but we are now projecting at least a $30 million shortfall. The cuts we have already made to our budget will not be enough," he wrote.
"Unlike the financial challenges we faced during the worst of the pandemic, we project increasing costs and no sign of a quick revenue rebound. We must make adjustments to what we control, and that is our spending," he added.
NPR joins the team
NPR joins several media houses that have laid off hundreds of employees, including NBC News, MSNBC, CNN, Paramount Global, The Walt Disney Company, Sports Illustrated and others.
The NPR CEO said that they reached a point "where we can no longer protect all jobs".
"We fought hard to avoid this. We have already cut $14 million in expenses, including freezing the majority of vacant jobs, suspending paid internships and fellowships, and restricting non-essential travel," he said.
"We will need to reduce filled positions by approximately 10 per cent. The final percentage will primarily rely on how many of the open roles, going forward, we are able to eliminate. To work out this process, we will be having conversations internally and bargaining with our unions," said the CEO.
Amid the big tech layoff season, the media and entertainment industry worldwide has been hit with job cuts as advertisers reduce spending amid the global economic slowdown.
With inputs from Agencies.
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