Australasian Leisure Management
Sep 21, 2020

NRL announces ‘brutal’ job cuts as it looks to slash $50 million in costs

By Nigel Benton

In a dramatic move to achieve $50 million in annual savings, the NRL has announced that one-quarter of its staff across all roles are to be cut.

Described as a move “to keep the business afloat after COVID-19” by the ABC and “brutal” by Nine’s Wide World of Sports, NRL Chief Executive Andrew Abdo informed the game's more than 400 staff members of the changes yesterday morning.

Advising that the cuts were a result of the financial hardship caused by the COVID-19 pandemic, Abdo stated “our business has been hit by a hurricane called COVID which caused substantial damage. Our strategy moving forward is to stabilise, renovate and grow.”

With staff members to be told this week whether they will be among those to lose their jobs, Abdo acknowledged it will take years for the game to recover from its reduction in income this year – which reports have suggested may be as much as $130 million.

Commenting on the departures, Abdo explained “we will lose some talented people.

“This is a painful but necessary process to survive, we all want to leave the game in a stronger position.”

The cuts are in addition to a prior reduction to the NRL's executive team, already downsized from 11 members to eight during the COVID-19 pandemic and the departure a number of senior executives have already this year, including former Chief Executive Todd Greenberg

Looking forward, Abdo said the League will prioritise two strategies: delivering world-class sports entertainment and investing in participation and community growth.

Here he noted "in order to stabilise, we must secure revenues and reduce our expenses to ensure a strong foundation.

“(To ensure this) we will renovate by making our products more entertaining and dynamic for fans and develop bold plans for growth, looking at new products, new markets and how we can grow the game internationally.

"Our game is part of the sports entertainment industry and we are aiming to transform faster than others to remain competitive in a dynamic market.”

The NRL's cuts follow those made by the AFL, Football Federation Australia and Rugby Australia.

Lower image: NRL Chief Executive Andrew Abdo (left) with Australian Rugby League Commission Chairman Peter V'landys.

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