GateHouse guts Peoria Journal Star newsroom

Sep 13, 2018 by

GateHouse Media announced the layoffs of five Peoria Journal Star journalists represented by the United Media Guild last week, adding to its massive reduction of that newsroom workforce.

The casualties included reporters Chris Kaergard, Thomas Bruch and Aaron Ferguson as well as copy editor Shannon Countryman. Copy editor and page designer Wes Huett, will be laid off on September 21.

Veteran reporter Pam Adams left previously and the Journal Star also lost sports editor Kirk Wessler, editorial page editor Mike Bailey and assistant city editor Brad Erickson.

These cuts mirror the relentless cost-cutting that has diminished other GateHouse newspapers, including the Rockford Register Star, State Journal-Register and Pekin Daily News.

This all is part of the GateHouse Media business plan, as devised by Wes Edens and Co. at Fortress Investment Group. GateHouse slashes costs to maximize cash flow — which its parent company, New Media Investment Group, uses to pay big dividends, fund new acquisitions and pay hefty external management fees to Fortress.

These cuts accelerate the decline in circulation and advertising, which leads to more cuts . . . which maintains the cash flow to pay dividends, fund new acquisitions and pay hefty management fees to Fortress Investment Group. Wash, rinse, repeat.

At this rate once-vibrant newspapers in the GateHouse chain won’t be viable within a few years. Community after community will lose essential news-gathering operations and our society will suffer greatly as a result.

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