Report: UFC to cut 'under 15 percent' of total staff
The UFC's new owners have made their takeover official with a significant amount of layoffs.
The WME-IMG-owned promotion will reportedly cut "under 15 percent" of its 400 employees, including half of its staff in Asia and a still undisclosed number of employees from its Las Vegas headquarters, an industry source told MMAjunkie's Steven Marrocco.
Multiple sources have described the morale at UFC HQ in Vegas as "very bad." One equated it to "a morgue." Lots of uncertainty these days.
— Ariel Helwani (@arielhelwani) October 18, 2016
Despite heavily slashing its contingent in the Far East, the promotion has no intention of shutting down any of its international offices, Marrocco adds, citing an industry source. The bulk of the layoffs will affect sponsorships, licensing, public relations, and production.
The $1.8-billion debt the new brass incurred to meet the $4-billion price tag likely factored into the layoffs. In a report detailing the financial nuts and bolts of the matter, promises of cuts were made in an effort to sway investors and restore the promotion's earnings before interest, taxes, depreciation, and amortization (EBITDA) to the customary range.
The staff cuts will reportedly not affect the UFC's schedule.