Amid the COVID-19 pandemic, the Trail Blazers administered cost-cutting actions Wednesday.
In a release sent out by the team, the Trail Blazers announced that the NBA franchise had been working on various cost-cutting measures.
The initiative includes salary reductions and layoffs.
Due to the global pandemic, the Trail Blazers organization has been substantially impacted in our ability to host live events for the foreseeable future. As a result of these unprecedented circumstances, the organization has instituted a series of measures to prepare including a reduction in our full-time workforce. – Trail Blazers Organization
As reported by Joe Freeman of the Oregonian, roughly 40 employees from the business side of the Trail Blazers operations have been laid off, which equates to about fifteen percent of its workforce, while every employee who is in a director role, which includes VPs and Presidents, have taken a reduction in their salary.
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The Trail Blazers were faced with the challenges that many other companies have faced. With zero live events at the Moda Center and Rose Quarter, it has meant no revenue coming in for months.
It was back on March 19th when the Trail Blazers announced their plan to offer financial assistance to Moda Center's game night employees.
To assist game night employees impacted by the NBA's postponement, Jody Allen and the Portland Trail Blazers are committing more than $1.4 million towards COVID-19 relief effort. This includes paying part-time Rose Quarter employees for nine postponed Trail Blazers games.
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On Wednesday, the tough decision was made and one that didn't come lightly.
Live events continue to be threatened in the coming months and into next year. The likelihood of hosting large gatherings remains bleak until a vaccine to thwart COVID-19 is made available. The NBA will resume on July 31st in Orlando, Florida.