HarperCollins to reduce US workforce by 5% 

HarperCollins is set to cut 5% of its North American workforce, according to an internal memo from c.e.o. Brian Murray announcing job reductions and cost-cutting expected to take place before the end of the publisher’s financial year, the middle of the calendar year. 

Publishers Weekly reported some jobs were eliminated on Monday 30th January. Murray said in the memo: “In addition to implementing a variety of cost-saving measures, we will be reducing our workforce across North America by 5% before the end of the fiscal year.”

The memo, sent on 30th January and published online by the Instagram account ‘xoxopublishinggg’, outlined a decision that a number of employees were being laid off that day but that additional reductions were still to come.

It continued: “As noted last October, HarperCollins continues to experience unprecedented supply chain and inflationary pressures resulting from the pandemic, including increased paper, manufacturing, labour and distribution costs. Coupled with declining sales over the last few quarters, these issues have resulted in us having to make difficult decisions to realign the needs and resources of the business.”

Moreover, Murray wrote that sales had slowed significantly following the pandemic-driven surge in business. “We must pause to recognise the depth of the cost issues we face. We continue to experience unprecedented supply chain and inflationary pressures resulting from the pandemic.

"Some of our impacted colleagues were notified earlier today and I want to use this opportunity to thank them for their service to the company."

In October HarperCollins US cut a small number of jobs due to continued cost pressures. Last week the publisher reached an agreement with the union to engage an independent mediator “in the hope of clearing a path forward” after strikes.