• May 16, 2001

Two major newspapers - the San Jose Mercury News in California and USA Today - are making staff reductions, the latest to hit the industry as a sudden decline in advertising revenue and higher newsprint prices squeeze profits.

The Mercury News announced to its staff Monday that it was planning to cut 120 jobs, or 8% of its work force of 1,560, through voluntary buyouts and early retirement.

Separately, USA Today laid off six newsroom employees and seven people from its online division Tuesday. The newsroom layoffs were the first for the paper since it was founded in 1982.

All told, USA Today has eliminated a total of 100 jobs, or 5% of its staff, since the beginning of the year, mainly through attrition, spokesman Steve Anderson said. The paper, owned by Gannett Co., also laid off circulation staff earlier this year, but Anderson declined to say when or how many.

- AP