About 600 people probably will be laid off as part of the cuts, the memo said. The remaining cuts will come from retirements, resignations and other vacancies that will go unfilled.
Gannett , which is based in McLean, Virginia, sent the undated memo to publishers of its more than 80 community newspapers, asking them to notify employees by August 15.
The company, which publishes USA Today, is the latest U.S. newspaper publisher to slash headcount because of falling advertising and circulation revenue. McClatchy, The New York Times, The Washington Post and Tribune all have cut their employee rolls, either through buyouts or layoffs.
U.S. newspaper publishers have been battered by a steep fall in classified advertising revenue brought on by wider economic woes spurred by the housing crisis as well as a steady migration of readers seeking free news on the Internet.
At Gannett, publishers are getting a reduced payroll dollar amount that they must meet based on the unit's financial performance and previous reductions, and have several options to reach their targets such as leaving open vacant positions, normal resignations and retirements, and layoffs.
"We would prefer no more reductions, but... we must keep expenses in line with revenue," the memo said. "If advertising and circulation revenues continue to decline, further payroll reductions may be necessary."
At the Gannett -owned Courier-Journal in Louisville, Kentucky, Publisher Arnold Garson told employees that 15 of them will lose their jobs, and added that the company does not see the revenue declines easing any time soon, according to an article posted on the paper's website.
Gannett publishes newspapers in more than 30 states, including The Arizona Republic, The Green Bay Press-Gazette in Wisconsin, The Honolulu Advertiser in Hawaii and The Courier-Post in southern New Jersey.
Gannett shares rose $1.56, or 8 percent, to $20.82 on the New York Stock Exchange. Many other newspaper shares rose as well on Thursday.