Amid a round of voluntary buyouts, there is at least one high-profile new hire at the Los Angeles Times — even as sources say the newspaper has slipped deep into red ink.
Chris Stone, who was forced out at Sports Illustrated as part of shake-ups when Maven began running the media operations for SI’s new owner in October, has landed as the executive sports editor of the Los Angeles Times. Stone had a 27-year run at SI, including the last four as its top editor.
As to the voluntary buyout, staffers learned about it last week, and in an unusual move, those with only two years of full- or part-time employment will be able to apply.
“Since the transition to local ownership, we have invested more than $100 million in staff, technology and infrastructure, and as we continue our transformation of the Times, we shall continue to invest,” the company said in an email from Executive Editor Norm Pearlstine and three other executives on Feb. 19.
“We are already working on deploying our resources strategically,” the memo continued, “Buyouts will help us accelerate this process.”
Dr. Patrick Soon-Shiong paid $500 million to acquire the LA Times and San Diego Union Tribune from Tribune Publishing in June 2018. Sources said the LA Times was making $55 million a year in 2017. Soon-Shiong embarked on a hiring spree that pushed the editorial roster close to 600 staffers, reversing years of decline and turmoil.
But one source said the construction of a new HQ and the rapid expansion pushed the losses to $50 million last year. Soon-Shiong, whose worth is listed as $19.1 billion, has been pegged as the second-wealthiest person in LA behind Elon Musk, with $22.6 billion, according to Los Angeles Magazine — but even multibillionaires apparently have limits.
So far the News Guild, which organized under the Tribune but only signed its first collective bargaining agreement in October, is keeping an open mind.
“Management has told the newsroom that the buyouts are not a precursor to involuntary layoffs,” said Anthony Pesce, president of the LA Times Guild. “Because buyouts can be an unfortunate reality of our industry, we bargained to ensure a fair, standardized process with a competitive severance package. The Guild will watch for any further developments and work to protect the future of the LA Times and its journalists.”
