Manchester United Implements Cost-Cutting Measures
Manchester United has announced a significant shift in its operational strategy, aiming to save approximately £1 million annually by eliminating free lunches for staff. This decision is part of a broader review of the club’s charitable activities and a new round of cost-saving measures. Chief Executive Omar Berrada revealed on Monday that the club is contemplating the redundancy of an additional 150-200 jobs, following a previous reduction of 250 positions last year.
As part of these changes, many employees based at Old Trafford will be relocated to the training ground at Carrington, where the provision of free lunches will be discontinued. Additionally, the club plans to decrease bonuses and implement a new pay structure that is performance-related.
In a related development, the club is currently in discussions with the Manchester United Foundation regarding their charitable contributions. However, a source emphasized that “significant support will continue,” including their annual donation of £40,000 to the Manchester United Disabled Supporters’ Association (MUDSA).
United asserts that these strategic changes are intended to create a “more lean, agile, and financially sustainable football club.” Berrada expressed regret over the impact these decisions will have on affected employees, stating, “These hard choices are necessary to put the club back on a stable financial footing. We have lost money for the past five consecutive years, and this cannot continue.”
He further elaborated on the club’s commitment to success, saying, “We have a responsibility to put United in the strongest position to win across our men’s, women’s, and academy teams. Our two main priorities as a club are delivering success on the pitch for our fans and improving our facilities. We cannot invest in these objectives if we are continuously losing money.”
Looking ahead, the club aims to modernize Carrington, positioning it as the core of their football operations, while also reducing their presence in London. Recently, their office was relocated from Mayfair to Kensington.
In addition to these changes, Manchester United has welcomed their new Chief Business Officer, Marc Armstrong, from Paris Saint-Germain. After extensive negotiations between the two clubs, Armstrong, who previously held the role of Chief Revenue Officer at PSG, will be responsible for sustaining United’s significant commercial power in a more cost-effective environment.
