Boston Globe Announces Layoffs and Benefit Cuts Due to “Significant” Revenue Impacts

Boston Globe Announces Layoffs and Benefit Cuts Due to “Significant” Revenue Impacts

The Boston Globe is the latest newspaper to announce more staff cuts.

The Globe is owned by billionaire financier John Henry and his wife Linda Pizzuti Henry. Many of Henry's holdings like the Boston Red Sox, Liverpool FC, and his Roush NASCAR team are all in limbo due to the coronavirus shutdown.

In a memo to staff on Wednesday, the Globe’s ownership wrote, “After taking some time to assess which areas of the business are most likely to experience a longer-term period of productivity decline, we determined that we also had to take the very difficult step of eliminating some positions across the company. All of those impacted were notified earlier today. These are always incredibly difficult decisions to make, made more so by the circumstances we find ourselves in outside the four walls of the Globe."

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The paper also told employees that effective in 30 days the 401(k) for all non-union employees will be cut from 5% to 2%.

The memo also asked staff to cut expenses.

The memo is signed by the BGMP Executive Team.

The Globe made more than 100 staff reductions in March. This is just the latest hit for newspapers across the country that have been hammered by the downturn.

“The Boston Globe is laying off nearly 50 workers at its Taunton mailroom, and is offering buyouts to 55 more, in conjunction with a plan months in the making to outsource its work mailing out Globe Direct,” according to Don Seiffert of Boston Business Journal.