The newspaper also plans to cut some editorial and business positions. The plan is to offer buyouts and resort to "layoffs if enough people do not leave voluntarily." They are also cutting the NYT opinion mobile app that has not brought in as much revenue as expected. Other news sources, like The Wall Street Journal, have cut jobs this year as well. The New York Times executives are trying to control costs, maintain profitability, and secure the ability to invest in digital media as technology and tastes change. Despite job cuts several times in recent years, the New York Times actually has a nearly record high number of employees because of "adding jobs for digital efforts, like web producers and video journalists." The company will continue to invest in "initiatives that supported its growth strategy, like digital technology, audience development and mobile offerings."
This is an interesting example of structural unemployment. As the media industry changes to become more internet based, journalists are losing jobs. The company is allocating money instead to workers who can further their digital expansion. I hope the print news industry never dies but it is inevitably shrinking. I also think it is interesting that the New York Times reported about laying off their own workers.
Source:http://www.nytimes.com/2014/10/02/business/media/new-york-times-plans-cutbacks-in-newsroom-staff.html?src=me
I think you did a nice job of relating this example back to structural unemployment. While journalists and editors who work with print newspapers are losing jobs due to the digital revolution, individuals with more technology-based media skills are being hired. Hopefully news companies are able to make up for the money they're losing on print news and advertising with their up-to-date news apps and websites.
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ReplyDeleteI have a relative that worked for a company that produced newspaper printing presses. The company filed for bankruptcy this year due to the recent shift from printed news to online news. My relative is now unemployed which is a direct testament to this article. Not only does the shift from printed news to online news impact employment within companies like the Wall Street Journal, it also impacts the employment in companies that are utilized in the process of producing a newspaper.
ReplyDeleteI agree with the fact that this an example on structural unemployment as it shows how as technology takes over people in the media business lose jobs as day by day print media is being replaced by electronic media. I,however, feel like eventually the print industry will die and many employees will be a victim of structural unemployment.
ReplyDeleteSadly, this is not entirely unexpected in this line of work. Shifts in technological advancement will always lead to some kind of impact on the economy, especially for those employed in that particular line of work. Unfortunately, the workers must adjust to the new requirements of the industry if they want to stay in it.
ReplyDeleteWhile it is unfortunate, I think unemployment comes with any technological advancement. Horses lost their jobs when cars came along and factory workers lost their jobs when machines that could do the same work were invented. In both cases, productivity went way up and I think we were better off for it. It isn't easy to be unemployed but it's good to see NYT adapt to the times so they can stay alive. I hope the workers can find jobs and if they can, we will all benefit from this movement to faster, more interactive news, just like in the advancements of the past.
ReplyDeleteGreat example of structural unemployment. A lot of different industries may experience this as social media and technological skills have become essential to so many jobs. However, technology and media being used so much can open up different jobs and employ a different set of people.
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