Why is WWE cutting off its employees? Exploring the ‘mass layoffs’ after UFC merger

WWE and UFC recently merged to form TKO Group Holdings. This week’s Monday Night Raw was the final episode of the promotion under the management of the McMahon family. The new merger will now jointly head the operations of both companies.

Fans are very eager to know that the merger will bring something new and unique to them. However, the first step taken by the merged company doesn’t seem to have been too good, as there were several employee layoffs.

Why is WWE cutting off its employees?

WWE’s deal with the UFC resulted in the formation of TKO Group Holdings last week. With the new formation, a lot of changes are set to happen, and some are already happening. The first change that is currently taking place is the layoff of employees. With the change in ownership of the promotion, Nick Khan, the president of WWE, has started sending out messages and emails to the employees.

Last Thursday, an email was sent to the staff by Nick Khan announcing the impending layoffs. According to a copy obtained by a Pro Wrestling Insider, it states, “As part of WWE’s transition into the newly formed TKO Group Holdings, we are evaluating our existing operations and systems to identify potential synergies across the business. This effort includes workforce reductions. and we ensure all conversations are handled privately and respectfully.”

The staff were told to work from home for privacy issues and also to allow the company’s human resources department to do the layoffs privately. The main reason behind this termination of Employees is to reduce costs, targeting a substantial reduction between 50 and 100 million dollars.

WWE fired over 100 employees in a day after UFC merger

Some recent reports claim that key figures within WWE, which include Nick Khan, Kevin Dunn, and Triple H, received extra bonuses from the merger with UFC. The President of the promotion got a whopping 15 million dollars, while Triple H received 5 million dollars from the merger, according to many sources.

The promotion might appear to be at its peak, with huge profits and opportunities for growth. But recent updates revealed a whole different scenario for WWE. Following the completion of the merger of WWE and UFC into TKO Holdings Group, there was a storm of employee layoffs. Reports from Pro Wrestling Insider suggest that over 100 employees were terminated suddenly from different sections within WWE. But no talents were released for now. However, there is no telling what the future holds.

Do you think WWE will start releasing wrestlers to cut costs? Let us know your views on it in the comment section below!