The Wall Street Journal reports that the Newark Star Ledger will shutter its operations on January 5th 2009. An agreement with the truck drivers’ union, Teamsters, is unlikely.
Publisher George Arwady states, “we still are far from an agreement with the Drivers’ union… the lack of progress makes it doubtful the two sides will reach an agreement by the Oct. 8 deadline”. The following mail notices will be sent out in accordance with Federal and New Jersey state law.
To: All Star-Ledger Employees
From: George Arwady
Date: September 16, 2008
Re: Update
As I have previously told you, there are three conditions that must be met in order for The Star-Ledger to remain in business under its current ownership. Although we are making progress toward meeting two of our three conditions (the Mailers have a ratification vote scheduled for September 22), we still are far from an agreement with the Drivers’ union.
Accordingly, since it is doubtful that the Drivers will ratify an agreement by October 8, 2008, we will be sending formal notices to all employees this week, as required by both federal and New Jersey law, advising you that the Company will be sold, or, failing that, that it will close operations on January 5, 2009.
It is most unfortunate that we have to send out this notice, but the Drivers have left us with no choice.
George Arwady, Publisher
Personally I feel that the Newspaper will not fold. The Newhouse organization just redesigned all of its newspaper websites (they share a common platform). NJ.com hosts all the Newhouse newspapers for New Jersey.
* The Star-Ledger
* Times of Trenton
* Jersey Journal
* Hunterdon Democrat
* Somerset Reporter
* Suburban News
* Independent Press
* Warren Reporter
* Horse News
* Gloucester County Times
* Today’s Sunbeam, Salem
* Bridgeton News
I think the truckers union will come to an agreement before the October 8th deadline. The incentive to retain their jobs is greater than the opportunity of striking and having to find other union work in the current economic climate.
If there is no agreement, expect Newhouse to run The Star-Ledger through their NJ.com website and “sell” the print product to a non union buyer. The printed product will continue under a non-union enterprise.