Mag Printer Cuts 550 Jobs, Reduces Capacity
Quad/Graphics CEO calls for industry-wide cutbacks.
In an effort to match print demand, Sussex, Wisconsin-based commercial magazine printer Quad/Graphics has decided to reduce production by shutting down what it says is the equivalent of one plant’s worth of capacity. The reduction is effective immediately.
As a result, Quad/Graphics has eliminated 550 jobs across five states. The staffing reduction represents roughly 5.6 percent of its U.S. workforce. The cuts will come from production and administration, the company said.
Stressing the need for industry-wide capacity reductions, president and CEO Joel Quadracci called the company’s reductions strategic. “While I had hoped to see some better indicators as we entered the New Year, it’s clear that this economic downturn is going to be much longer and more severe than we expected, and so we are taking appropriate and prudent steps to reset our own capacity,” he said.
Quad/Graphics reduced its workforce by 100 late this summer. At the time, a spokesperson told FOLIO: the cuts were “necessary given volume fluctuations” caused by the down economy.
According to Quadracci, the capacity reduction removes redundancies and will not affect business with customers.