WWE Announces Future Roster Cuts, Executive Pay Cuts Amid COVID-19 Pandemic

WWE plans to trim its roster amid the COVID-19 pandemic, the company announced Wednesday.

In addition, some employees could be let go or placed on furlough, while board members and WWE executives will have their pay cut.

"The Company's reductions of employee compensation and headcount result in an estimated monthly savings of $4 million along with cash flow improvement of $140 million primarily from the deferral in spending on the Company's new headquarters," WWE said.

WWE wasn't on shaky financial footing prior to the pandemic, but questions arose when it fired co-presidents George Barrios and Michelle Wilson in January.

That resulted in a hit to WWE's share price, and the damage grew larger when the company said it missed hitting its revenue target for the final quarter of its 2019 fiscal year.

The promotion has continued to operate throughout the pandemic, albeit on a limited scale. Weekly programs and pay-per-views have moved to the WWE Performance Center in Orlando, Florida, with fans unable to attend.

Shows can continue at the Performance Center after Florida Gov. Ron DeSantis determined WWE to be an essential business. Still, the company is unable to collect its usual revenue from live-gate and merchandise sales.

According to The Hollywood Reporter's Georg Szalai, WWE may have lost anywhere from $15 million to more than $20 million as a result of moving WrestleMania 36 from Raymond James Stadium in Tampa, Florida.

The collapse of the XFL will undoubtedly hit WWE's bottom line as well. As part of the XFL's Chapter 11 bankruptcy filing, it revealed WWE owned 23.5 percent of the league's Class B shares, per Rick Porter of The Hollywood Reporter.