Fairfax Media will be cutting 1,900 jobs over three years and also give the two high-profile news papers a new compact format, the news reports said.
The two newspaper websites namely The Age and The Sydney Morning Herald will also unveil pay walls from next year.
As a part of the cost-cutting drive, the two printing units in Melbourne and Sydney will also be closed by 2014.
The Australia-based company also said it was taking decisive actions to fundamentally change the way they were doing the business.
Fairfax Chief Executive Greg Hywood said, “No one should be in any doubt that we are operating in very challenging times.” Mr. Hywood also said, “Readers’ behaviors’ have changed and will not change back.”
The decision to cut workforce is expected to save Fairfax A$235 m ($237m , £151m) annually by mid 2015, the company said in a statement. The company also said the editorial standards and the content of the 2 news papers will not change despite the new format.
The cuts are also anticipated at Fairfax’s biggest rival Rupert Murdoch-owned News Ltd, the news reports stated.
Fairfax Media Limited is Australia’s largest diversified media companies. Its operations include news papers, magazines, radios and digital media operating in Australia and New Zealand. This media company was founded by Fairfax family namely John Fairfax and Sons.