Meredith plans to eliminate 1,000 jobs with Time Inc. merger
DES MOINES, Iowa (AP) — Magazine and broadcasting company Meredith laid off an additional 200 workers on Wednesday and announced it would eliminate another 1,000 jobs over the next 10 months as it integrates the operations of Time Inc., which it bought six weeks ago.
Meredith CEO Tom Harty said in a statement Wednesday that the 200 employees were notified their positions were being eliminated. Last month, the company announced 600 jobs in a Time subscription fulfillment center in Tampa, Florida, would be eliminated with the center’s closure.
The 1,000 additional reductions planned for the next 10 months do not include the impact of any potential divestitures. The company employs about 9,500, a spokesman said.
Harty also announced Wednesday plans to explore the sale of the Time, Sports Illustrated, Fortune, and Money brands.
“These are attractive properties with strong consumer reach. However, they have different target audiences and advertising bases, and we believe each brand is better suited for success with a new owner,” he said in a statement.
The layoffs are a key to Meredith’s strategy to eliminate duplicative positions and consolidate certain functions at the company’s headquarters in Des Moines, where operational costs are significantly less, Harty said.
Meredith is based in Iowa. Time’s headquarters was in New York.
A spokesman said most of the layoffs Wednesday and those in the next several months are in areas of duplication created by the combination of the two companies including finance, legal, information technology and human resources. Some magazine publication jobs in circulation and production may also be included.
Meredith bought Time for $1.8 billion in January, saying it expected to save up to $500 million in the first two years by combining operations. Its women- and lifestyle-focused magazines and websites include Better Homes & Gardens, Family Circle and Allrecipes.
Meredith also owns 17 TV stations that reach 12 million U.S. households.