Facing $12 Million Budget Shortfall, San Fran’s KQED Cuts 15% Of Staff.

The loss of federal dollars to public radio and television stations could bring staff cuts, especially at smaller stations. But one of the largest outlets in the country is also under financial pressure, and that is bringing a fresh round of layoffs at KQED San Francisco. The public radio and television powerhouse is facing a $12 million shortfall, which is leading to staff cuts and other moves to save money.

“KQED is in the midst of one of the most difficult moments in the 71-year history of the station,” the broadcaster said in the announcement. The organization has notified 45 people that they will be laid off, which represents a 15% reduction in KQED’s workforce at both its radio and TV stations. Another 10 open positions are not being filled, and there are additional expense reductions, including the elimination of its entire video division and the sunset of its annual Youth Takeover educational program. The pubcaster says the reductions result in around $13 million in annualized operating expenses.

“These are heartbreaking cuts to make, especially for an organization like KQED,” the station says in a statement. “Our service is rooted in our staff, and we’re losing talented, devoted people who put our mission and their communities first. But by making these adjustments now, we are on a more sustainable path to serve our communities.”

The belt-tightening may come ahead of any impact from the loss of federal support, but KQED says the political fight over that funding is only part of its problem. The public media group also blames “market conditions” and the possibility of a recession for what it says have been “downward trends” in the key revenue areas of corporate sponsorship and underwriting, as well as foundations and grants. The deficit has grown even larger as the station has also continued to make investments in its infrastructure, digital capacity, content and platforms. “Those investments have not yet resulted in adequate revenue streams needed to support this expansion in service,” management says.

The latest round of layoffs follows staff cuts made last year when KQED instituted a voluntary buyout program and also laid off about two-dozen employees after not enough people took the offer when it faced an $8 million deficit.

KQED had $100.6 million in revenue, according to the most recent filings available and could face an even larger financial hole going forward. The station says it received $7.6 million last year in Corporation for Public Broadcasting funding. In addition to non-commercial news/talk KQED (88.5), which is simulcast on KQEI Sacramento (89.3), KQED also owns and operates PBS affiliate KQED-TV.

Despite the reductions in its workforce, KQED has also been making investments in its future. The group spent $94 million to renovate its San Francisco headquarters between 2019 and 2021, which it said transformed the headquarters “from an industrial-style building into a vibrant, accessible state-of-the-art center for civic and cultural engagement, live events, and locally focused journalism.”

KQED also struck a deal in 2023 to acquire the public radio program and podcast series Snap Judgment and the podcast series Spooked. The two shows, both of which are produced by Snap Judgment Studios, have become part of KQED’s portfolio of nationally and locally focused podcasts and public radio programs.