A second Los Angeles area NPR affiliate is navigating financial challenges by introducing a voluntary buyout program aimed at reducing its workforce while attempting to avoid layoffs. LAist (KPCC) is trying to reduce the effects of a multi-million dollar budget shortfall.
The buyout is available to all full- and part-time employees who work a minimum of 24 hours per week. LAist Chief Content Officer Kristen Muller sent an email to station members detailing what is projected to be between a $4 million and $5 million deficit over the next two years.
In the email, shared by LAist reporter and Union steward Caitlin Hernández, Muller writes, “Sustaining high-quality journalism is becoming increasingly difficult. Everyday costs are going up; annual dues to bring you national programming increase yearly and local costs are rising too. The traditional financial models just don’t work anymore. Most advertising dollars that once supported us are now heading to giant tech platforms like Facebook and Google, resulting in a significant drop in sponsorship revenue — a tough pill to swallow.”
“When you spend more than you make, you either lower your costs, tap into savings, or raise revenue. We are working on all three fronts with urgency and have reduced all non-salary expenses as much as possible. Still, a gap remains.”
Muller continues by asking for increased donations, which make up more than two-thirds of LAist funding.
This development at LAist is reflective of broader trends in journalism, particularly public radio. In January, Santa Monica’s KCRW, which also serves the Los Angeles market, made staff reductions via buyouts and a programming cut to make up the difference of a $3 million budget short. Up the coast, the Bay Area’s KQED offered a similar program in April.
Additionally, Boston’s WBUR, Chicago Public Radio, WAMU in Washington DC, New York Public Radio, and CapRadio in Sacramento have also experienced layoffs within the past year.
