Hearst Tightens The Purse Strings, Layoffs On The Table, A Hiring "Chill" is In Effect

HEARST MAGAZINES PRESIDENT DAVID CAREY ORDERS REVIEW AND MONITORING OF ALL BUDGETS

HEARST MAGAZINES CHIEF DAVID CAREY

Hearst Magazines president David Carey is facing something that he's never faced before since taking the helm at the company. During his time, there has never been any mass layoffs on his watch. But that may soon change as print advertising and subscription revenue continue to collapse not just for Hearst but for other publishers. Mr. Carey and his team are deeply concerned about the downward trend and so nothing is off the table including layoffs. For now Mr. Carey has rolled out what he calls a hiring "Chill" meaning the company is slowing down taking on any new hires.  He's also ordered his editors and publishers to rein in their spending and has put budgets under close monitoring.

The news follows the closing of the publisher’s September issues. For fashion magazines, September is the biggest print revenue driver of the year. Hearst, which owns several titles that rely on luxury advertising, including Harper’s Bazaar, Elle, Marie Claire, Town & Country and to a lesser extent Esquire and Cosmopolitan, the month is important, to say the least.

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