RD cuts staff, imposes mandatory vacations

Reader’s Digest Association, which includes the Canadian arm, announced it is cutting eight per cent of its staff and forcing remaining staff to take mandatory, unpaid vacation days, according to magazine industry blog Canadian Magazines.

RD president and CEO Mary Berner said in a memo to staff, that print advertising fell sharply in fall and winter and and significant cuts will be necessary.

Some of the planned cuts include:

  • About 8 per cent of 3,500 current full time positions are being cut ( U.S. layoffs will be announced Jan. 29, for international divisions by March 15)
  • Cash incentive programs will be suspended until further notice
  • No merit increases will be given through the 2010 fiscal year
  • Mandatory, unpaid vacation days that will total one week over the next year
  • Travel will be curtailed and what air travel is done will be economy class