December 7, 2009
A Tough Year Ahead for Thomson Reuters? Legal Division to Cut 240 Jobs; Operating Profits Decline in Legal and Tax and Accounting Divisions
The Wall Street Journal is reporting that Thomson Reuters is cutting 240 jobs in its legal division because the division's performance has been hurt by layoffs and cost cutting at law firms. About 120 employees will be laid off in Eagan according to a Twin Cities report. The 120 Eagan jobs include writers, marketers, managers and technology workers in the software part of the business. Most of the rest of the layoffs will come from the legal division's offices in Rochester, N.Y., and Los Angeles.
Legal and Tax & Accounting Divisions Operating Profits Down. Twin Cities reports that the operating profit for the Company's legal division declined approximately 1 percent to $887 million from $895 million in the first nine months of 2009. That compares with a 4 percent decline in the tax and accounting division. The Wall Street Journal reports that the demise of several Wall Street firms and a decline in the the financial community's purchase of terminals and news services have hurt the Company's performance.
In Thomson Reuters Girds for a Tough 2010, Stephen Arnold adds this comment to the news:
My hunch is that the addition of legal content to Google Scholar will put significant pressure on Westlaw and other for-fee legal publishers. Job cuts may help… temporarily. The longer term may require more severe actions; for example, shifting from the legacy approach to legal information to a more software centric approach. In a footrace, will Google win or will Thomson Reuters? Place your bets with your retirement fund.
On the plus side, Thomson Reuters' health care and science divison's operating profit is up 23 percent increase for the first nine months of this year according to published reports. [JH]
Yes the lay offs are definitely hurting, my husband was laid off and we are suffering!
Posted by: Accounting Classes Los Angeles | Feb 25, 2010 12:17:13 PM
Not a very good year for employees under the lay off's list. If the economy does not pick up, more employees would suffer the same fate.
Posted by: Postergal | Dec 7, 2009 10:51:48 PM