While forgoing layoffs like other companies for now, Cumulus Media told employees on Tuesday that it will institute a series of rolling furloughs beginning next week.
Employees will be split into one of three groups. The majority of employees will take 3 weeks of furlough spread out over 15 weeks starting April 20. Others will have a 90 day pay cut instituted while a others will be placed on a 90 day furlough. Cumulus executives are taking a 25 percent pay cut and will forgo all incentive packages, with CEO Mary Berner taking a 50 percent reduction in salary.
Robert Feder quotes Berner as saying in her video message to employees outlining the plans as stating, “Even though these are intended to be temporary actions, I know they are going to land hard — really hard — and that is in the emotional and financial toll that a furlough or salary cut will take on each of you, but also in terms of the increased workload the vast majority of you will have to take on during your co-workers’ furlough weeks. I am truly sorry and sad about this announcement. None of you deserves this.” Feder also noted that SAG-AFTRA objected to Cumulus’ intentions that they “cannot unilaterally implement changes upon union represented staff.”