Multnomah rides ebb and flow

Multnomah Publishers periodically scales back production and lays off employees in order to gain ground in a tough market.

The company on January 8 announced the elimination of 15 positions -- meaning 15 people laid off --and a restructuring of the company (The Nugget, January 28, page 3).

In this industry, books equal employees. As book production tapers off, staff is stripped down as well. Kyle Cummings, Senior Vice President, explained that the number of positions Multnomah employs is directly impacted by the number of products they produce and the net revenue they generate every year.

According to Cummings, the layoffs "were spread across all departments." Multnomah didn't respond specifically to a question about administrative layoffs.

In past years Multnomah has put out about 120 titles a year. It has slimmed that figure down to 50 new titles and 25 reissued titles a year. Cummings has indicated that this is a move to generate quality and move away from an emphasis on quantity.

"This was both a pro-active and reactive move on our part," he said. "Proactive in that it allows us to put more effort and resources into each individual product release; reactive in that the perception of many book retailers is that too many books are being published every year."

Multnomah Publishers currently employs 84 people at the Sisters headquarters. This number is not static, but is dependent on the fluctuations of profit margins at the publishing house.

"As net revenue increases, additional positions will likely be added," said Cummings.

One way that Multnomah Publishers is looking to expand that profit margin is to consolidate all offices and facilities into one building. Right now Multnomah is spread around Sisters in at least three different addresses. The publishing house would like to concentrate itself in the former Weitech building in the Sisters Industrial Park.

In the November 26, 2003 edition of The Nugget, Multnomah announced that it was trying to acquire the Weitech building in a trade. Those plans have gone forward.

"We are currently buttoning up the final details of this transaction. No closing or move-in date has yet been set. Assuming this transaction occurs we would be able to consolidate our office usage into one facility, which would result in reduced operating costs and increased synergy for the company," said Cummings.