MaineToday Media announces initial layoffs
MaineToday Media, the parent company of the Portland Press Herald and other newspapers, announced five layoffs last week, according to a top union official.
Tom Bell, president of the News Guild of Maine and a Press Herald reporter, told the Maine Public Broadcasting Network that he’s concerned more layoffs could be on the way after Reade Brower, the company’s prospective buyer, takes ownership on June 1.
"The sale was structured in a way so that the buyer does not recognize the contract, and the buyer is imposing conditions that would reduce the cost of outsourcing people's jobs, and that's what our No. 1 concern is," he said. "Essentially people's job security will be much less under the new company than under the existing company."
News of MaineToday Media’s first round of layoffs comes after the company’s CEO, Lisa DeSisto, issued an internal memo last week to employees indicating that Brower, a Camden media executive, may not rehire all of the company’s employees.
The company is expected to send out job offers on Friday to employees Brower wants to rehire, according to the memo, which was obtained by Mainebiz shortly after it was sent.
MaineToday Media announced in late April that philanthropist and financier S. Donald Sussman has reached an agreement to sell the company through an asset sale to MTM Acquisition Inc., a company that has been set up by Brower.
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