Thursday, July 14, 2011

NBA cuts workforce by about 11% in cost-cutting move

The National Basketball Association reduced its workforce by about 11 %, or 114 jobs.

Mike Bass, the league spokesman said on Thursday that the NBA cuts are not directly linked to the labor dispute but rather part of a $50 million cost-cutting plan.

"The layoffs are not a direct result of the lockout but rather a response to the same underlying issue; that is, the league's expenses far outpace our revenues," said the spokesman.

"The roughly 11 percent reduction in headcount from the league office is part of larger cost-cutting measures to reduce our costs by $50 million across all areas of our business."

NBA officials have said 22 of the league's 30 clubs are losing money which they claim to be $300 million.

 

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