2 Major Newspapers Cutting Staff

Two major newspapers are making staff reductions, the latest to hit the industry as a sudden decline in advertising revenues and higher newsprint prices squeeze profits.

The San Jose Mercury News plans to cut 120 positions--about 8% of its work force--through buyouts and early retirement.

About 25 posts probably will come from the newsroom, which employs more than 400 reporters, editors and clerks.

The company laid off more than a dozen non-newsroom employees last month. And the paper’s publisher, Jay Harris, resigned in March to protest expected newsroom layoffs, which never materialized.

Also on Tuesday, the newspaper’s parent company, Knight Ridder, said Jean H. Mordo, who became chief financial officer in March, had resigned; Controller Gary Effren was named to succeed him.

Separately, USA Today laid off six newsroom employees and seven people from its online unit Tuesday.

The newsroom layoffs were the first for the paper since it was founded in 1982. All told, USA Today has eliminated about 100 jobs, or 5% of its staff, since the beginning of the year, a newspaper spokesman said.