OLD Media Moves

Consumer Reports lays off 17 staffers

June 17, 2015

Posted by Chris Roush

Consumer Reports logoConsumer Reports has laid off 17 staffers this week, sources confirmed Wednesday.

Six of those laid off were managers while 11 were members of the News Guild.

Consumer Reports is also said to be creating six new guild positions in its IT department.

“Discontinuing two of our niche print publications as part of the realignment we announced on May 27 is a very targeted and strategic pivot to position us for the future,” said spokesman Bob McEwen in a statement to Talking Biz News. “Investing significantly in digital technology and mobile web products and apps — while still affirming our commitment to Consumer Reports magazine, our flagship print publication — is strategically imperative if we want to remain relevant to the consumers we exist to serve, and continue to have marketplace impact on their behalf.”

The News Guild took a different stance about the layoffs and said that one person not laid off was reduced to a part-time job from full-time work.

“The main problem with the layoff – besides the obvious – is that the new management team at Consumers Union, the non-profit parent company of Consumer Reports, is going about it in a way that lays off certain employees who, under our contract, shouldn’t be laid off,” said Peter Szekely, secretary-treasurer of the union. “Two veteran employees, for example, are exempt from layoffs because of their hire dates. Other employees in certain job titles were laid off even though the company is seeking to fill job vacancies in those exact same job titles.

“NY Guild President Bill O’Meara and Guild Rep Anthony Napoli of our staff met with several dozen members at Consumer Reports earlier today (looked like more than 50 from the pictures I saw) to discuss future job actions and other responses,” added Szekely. “Needless to say, the members are very upset about this.”

The layoffs come less than a month after the company announced a new editor for its flagship publication and that it was discontinuing ShopSmart magazine and its Money Adviser newsletter.

The company’s editorial side has been in turmoil for several years now. It has gone through three editors in the past three years and has struggled to revamp its operations to focus more on digital.

Consumer Reports magazine has 3.6 million subscribers. There also are more than 3 million subscribers to Consumer Reports Online.

New York Guild members at Consumer Reports overwhelmingly voted in March for a one-year contract extension that raises all salaries and locks in, for two years, their new adjustable pension plan.

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