Sotheby's to implement layoffs, salary reductions

NEW YORK - Sotheby's auction house says the company has approved a restructuring plan which will result in salary reductions and layoffs, due to lower-than-expected earnings.

It is unclear how many people are losing their jobs. New York-based Sotheby's says the plan will affect its North American operations, where it employs 605 people.

In a Thursday filing with the Securities and Exchange Commission, the company said the restructuring "will reduce annual salaries and related costs by approximately $7 million, when compared to 2008 levels."

Its rival, Christie's, also said Friday it is reviewing its strategic plan "in light of the current global economic environment and our sale results for this autumn."

Christie's said it expects the reorganization to lead to layoffs.

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