Media

ESPN asks highest-paid commentators to take pay cut amid employee furloughs

ESPN, the home of "SportsCenter." RICH ARDEN

By Ben Strauss, Washington Post

April 13, 2020

2 minutes to read

ESPN has asked its highest-paid commentators to take a voluntary salary reduction in the wake of the sports hiatus caused by the novel coronavirus pandemic. The three-month, 15 percent pay cut would affect roughly 100 of the company’s highest-paid broadcasters, writers and analysts.

The request from ESPN President Jimmy Pitaro comes on the heels of the company informing a number of employees who work on game production that they will be furloughed while sports are on hold.

“Today, I am asking you something that I never imagined I would,” Pitaro wrote to the selected employees Monday in an email that was shared with The Washington Post. “We are reaching out to about 100 of our on-air talent and commentators to ask that, at this time, you join our ESPN executives in taking a temporary reduction in pay. We are requesting that you take this reduction on for a three-month period.”

The pay cut amounts to 3.75% of annual salary, which Pitaro wrote could help save the jobs of more financially vulnerable colleagues. The salary reduction would affect some of ESPN’s best-known talent, such as Stephen A. Smith, who reportedly earns around $8 million. The pay cut has been requested of anyone making more than $500,000, according to two people familiar with the situation.

The news of ESPN’s request was first reported by Sports Business Journal.

ESPN executives have already had their pay cut by between 20 and 30%, depending on seniority. Those reductions do not have an end date, and do not affect the stock options and bonuses many receive.

Earlier this month, ESPN’s parent company, Disney, announced that it would furlough thousands of employees across the company with key aspects of its sprawling business affected – from theme parks to movies to live sports. Those furloughs take effect later this week.

A number of ESPN employees who work on game production have already been informed they will be part of the furloughs, according to a person with knowledge of the decision.

ESPN, the largest sports media company in the country, is heavily dependent upon the live games for which it spends billions of dollars each year to televise. In a normal year, the company would be getting ready to broadcast the NBA playoffs, but has had to resort to replays of old games and gimmicks like a game of H-O-R-S-E between NBA and WNBA stars to fill programming hours.

“Please understand that we did not make this decision or request lightly,” Pitaro wrote in the email. “We need your help. I am asking for your support, and I hope that you will rise up to this challenge.”