Endeavor, led by CEO Ari Emanuel, had a heavily leveraged strategy which led to an IPO plan that was scrapped last September.
Neilson Barnard/Getty ImagesAs all of Hollywood continues to struggle to survive the closures caused by the coronavirus pandemic, Endeavor is gearing up for lay offs, furloughs and pay cuts across all divisions and company holdings.
The cuts, which have already begun in some businesses, will affect up to one-third of the company, which staffs 7,500 people worldwide, and will take place through May. They will affect every division of Endeavor and its holdings, including talent agency WME, Professional Bull Riders and modeling agency IMG.
“The long-term prospects for Endeavor remain unchanged, but like other companies, we are taking a variety of actions to mitigate the impact of this pandemic. Since late March, we have been rolling out cost-saving measures in phases across our companies and geographies and intend to complete most of this process in late May,” an Endeavor spokesperson told The Hollywood Reporter. “Approximately a third of our population will be impacted by reduced pay for reduced work, furlough, or position elimination, with the majority affected by reduced work and furlough.”
Endeavor had an initial round of layoffs in late March that impacted about 250 staffers that worked at positions that could not transition to remote roles. At the time, in a companywide memo, CEO Ariel Emanuel said that “additional measures” would take place that would affect both pay and employment. Emanuel and executive chairman Patrick Whitesell have forgone the remainder of their 2020 salaries.
