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As WWE prepares for its takeover by Endeavor in the coming months, substantial personnel cuts are anticipated within the new organization. The announcement of this takeover deal came the day after WrestleMania 39, with plans to merge WWE and UFC into a single company.
Similar staff cuts were expected, mirroring the situation when Endeavor acquired UFC, and the individual set has now confirmed this to become WWE President within the new company. In a conversation with LightShed Partners, Nick Khan revealed that aggressive cuts are on the horizon for WWE, with conservative estimates suggesting a staggering $50 million in savings.
Khan stated, "If you look at what Endeavor was able to take out, cost-wise, from UFC in 2016 or shortly after that deal was done, we have the same expectation here. We think 50 (million) is a conservative number. We have integration teams now; we will get those in shape.
I think we'll better understand it in a month or two."
Khan Ensures Efficiency Focus
Khan emphasized their commitment to ensuring the organization remains as efficient as possible for shareholders and the company, relying on Endeavor's resources to make up for the cuts.
He added, "We're going to be pretty aggressive with them to ensure that our organization is as lean and mean as possible for our shareholders and our company, and we're going to rely on the Endeavor flywheel to make up the rest." Khan also clarified that the impending cuts target backstage and office staff, as the company does not intend to reduce its roster further.
He said, "The most important thing is to leave the product untouched. Untouched, meaning, if Triple H and Kevin Dunn want to evolve it, great, but that's not what we want to do regarding cutbacks there." This significant restructuring will undoubtedly impact the internal workings of the new company.
Still, the primary focus remains on preserving the essence of WWE's product while benefiting from the merger with UFC and the resources of Endeavor.