The Associated Press said Monday it will begin offering buyouts and lay off selected employees as part of a plan to reduce the news outlet’s staff by about 8% and accelerate the transformation into a digital-first organization.
The move is part of what is expected to be a disappointing year-end for the news industry, which is beset by trade troubles Which goes back years. The end of the busy presidential election cycle was also expected to accelerate restructuring plans.
The AP said those eligible for the buyout will learn by the end of Monday about the offer, which will include severance pay and partial health coverage for 18 months. Those whose term is about to expire will know their fate in the next few weeks.
The AP, once considered the world’s largest newsgathering organization, no longer makes this claim and does not disclose the size of its staff. As a result, it was impossible to say on Monday how many people would be affected. The AP said less than half of the anticipated cuts would involve its news staff, with the majority taking place within the US.
The News Media Guild said its 121 members would be offered a buyout. The AP said the job cuts would be fewer than those expected by union members, without giving an estimate.
The AP, which prides itself on being an unbiased news source, provides news stories, pictures, video, audio and interactive content direct to consumers through the website apnews.com. But the bulk of its business comes from selling its journalism to other news organizations that use it.
Earlier this year, two major news chains, Gannett and McClatchy, said they would stop buying news From the AP A relationship that spans more than a century is coming to an end in Gannett’s case. AP has diversified its revenue streams in recent years, including accepting charitable fundsBut the news is still hurt by the overall problems of the industry.
“We all know this is a time of change in the media sector,” AP President and CEO Daisy Weerasingham said in a note sent to staff members early Monday. “Our customers – both who they are and what they need from us – are changing rapidly. That’s why we’re focused on delivering digital-first news reporting. We now need to accelerate this path.”
Broadly, this means an increased emphasis on visual journalism – photos and videos and the digital content that incorporates them into storytelling.
An AP spokeswoman said Weerasingham was not available for an interview.
AP remains a central part of the news industry ecosystem, especially when it comes to US elections. Veerasingham said that during its election coverage earlier this month, the AP made unprecedented use of its live video, election data, visuals and interactive products.
AP said it has reached a tentative agreement with its union to offer buyouts, but it is subject to ratification by its members. The head of the AP’s union did not immediately respond to a message seeking comment Monday.
