Phillies Start Making Salary Cuts To Offset Projected $100M In Losses
Phillies Managing Partner John Middleton projected a "loss of 'substantially more than $100 million'" this year and announced "salary cuts, effective immediately, for anyone on the business or baseball side of the organization who was due to make at least $90,000 this year," according to Scott Lauber of the PHILADELPHIA INQUIRER. Middleton in a letter to employees yesterday wrote the salary reduction plan "does not come close to eliminating our 2020 losses." Lauber notes the percentage of the cuts "will be determined by salary level." While the highest-paid employees "will receive the most substantial reductions," employees who make less than $90,000 "won't have their salaries reduced." Middleton also informed employees that he will "forgo his salary for the remainder of the year." Though other teams have furloughed employees, the Phillies are "sticking to a May 8 decision to protect jobs for full-time staff through at least October," and those employees also will "continue to receive all benefits, including health insurance, pension, and 401(k)." Middleton wrote that he is "still 'hopeful' that the Phillies will play this season" (PHILADELPHIA INQUIRER, 6/2).