Paying journalists' pensions the latest hurdle for newspapers: Carr
The New York Times’ media columnist David Carr’s Monday column takes a look at another daunting problem facing newspapers: paying journalists’ pensions. Dwindling revenue, an industry in distress and bad decisions have left companies “scrambling for exists that don’t exist,” Carr says. He continues:
Those of us who work inside the racket like to think of our business as unique, but with underfunded pension plans, unserviceable debt and legacy manufacturing processes and union agreements, the newspaper industry looks a lot like, well, steel, autos and textiles.
Well, it was a mere few decades ago that newspapers had 20 per cent profit margins, right? Surely those in charge were wise enough to be investing for the future? Not so, says Carr: management in many companies put money in “ill-advised stock buybacks, along with lucrative dividends and executive compensation.”
Check out Carr’s column in full here.