Gannett Co. Inc. GCI, -3.93% informed staff on Wednesday that it’s temporarily suspending its 401(k) match from Oct. 24 and mandating five days of unpaid leave in December, as part of a latest round of cost cuts. In a memo circulated by Editor & Publisher, Chief Executive Mike Reed said the publisher is also offering voluntary severance and will pause hiring apart from for key revenue and operating roles of others deemed critical. Further voluntary measures include a shorter work week or unpaid sabbatical from 1 month to six. “I recognize that these decisions take a financial and emotional toll but mitigating these economic pressures now will benefit Gannett’s future,” Reed wrote. Gannett is the publisher of USA Today and more than 220 other dailies that are struggling. The company’s last earnings release showed a 7% decline in revenue from a year ago and a loss of about $54 million. It subsequently cut about 400 jobs. The stock was down 4.6% Thursday, and has lost about 75% in the year to date, while the S&P 500 SPX, +2.51% has fallen 24%.
