Texas Tech Announces Cost-Cutting Measures Across Athletics
Sep 1, 2020 @ 6:31pm
The athletics department will eliminate 40 positions and implement salary reductions due to COVID-19
LUBBOCK, Texas – Texas Tech announced Monday a series of cost-cutting measures across the athletics department, including the elimination of 40 positions as well as a structured scale for salary reductions among employees. The eliminated positions will be effective on Sept. 30.
“Today was an extremely difficult and challenging day for Texas Tech Athletics,” Director of Athletics Kirby Hocutt said. “COVID-19 has had a major financial impact on our athletics department, and it was necessary to make these very difficult decisions. We will continue to support our student-athletes and each other as we move forward.”
Due to a limited capacity inside Jones AT&T Stadium this season and other factors, Texas Tech is currently projecting a $25 million shortfall in revenue compared to the 2019-20 fiscal year. The decision to eliminate 40 positions and reduce salaries throughout the department is estimated to save Texas Tech roughly $4.49 million over the course of the next 12 months.
Texas Tech will institute salary reductions for all employees earning at least $30,000 per year with progressive decreases ranging from 3 to 14 percent based on each employee’s compensation level. All hourly employees making $30,000 or less annually will not be financially impacted by this decision.
In addition to the decisions made Monday, Texas Tech previously reduced its operational budgets for most of its athletics programs and individual units earlier this summer based on its revenue projections. At that time, all coaches across every sport as well as Hocutt voluntarily agreed to withhold any performance bonuses over the next fiscal year.