Cricket Australia's $40 million budget slash causes more than 200 people to lose jobs
The outbreak of the Coronavirus pandemic has wreaked havoc across the world and Australia has also suffered. It is now being reported that Cricket Australia (CA) has announced the loss of 40 jobs across state and territory associations, taking the total number of job losses across state boards to 200.
Cricket Australia has also slashed about $40 million from its annual budget in a bid to ensure long-term stability and growth of the game. However, the budget slash will not impact the money-making Big Bash League and Women's Big Bash League as they will have the same number of games.
As reported earlier by Sportskeeda, the step by Cricket Australia seemed long overdue as the board had predicted huge losses of revenues for the current financial year.
Before the outbreak of COVID-19, CA had expected a figure of $407 million. However, once the pandemic hit, CA estimates have suggested that the figure would diminish to around $200 million.
"We recognise that this is a difficult time for Cricket Australia employees, particularly for those staff members affected by these redundancies and their families," Cricket Australia chairman Earl Eddings said in a statement.
Cricket Australia in turmoil—both financially and politically
Despite the financial turmoil engulfing Cricket Australia, politics seems to have continued at the forefront with CA chief Kevin Roberts being unceremoniously sacked on Monday.
The interim CEO Nick Hockley said that the cuts would "help create a more sustainable financial position to manage four-year cycles that can involve annual revenue swings of $100 million depending on the cricket schedule".
The Australian Cricketers' Association (ACA) is also wary of the developments and had lodged a formal dispute regarding Cricket Australia's ominous revenue forecasts.
A 50 percent reduction in revenue equates to the slashing of $56 million in player wages, and this is what has agitated the Australian players.
India is scheduled to play four Tests, three T20Is and three ODIs in Australia later this year. Any tour involving India boasts the potential for huge revenue. Thus, it is shocking to gather that even that particular rubber might not help Cricket Australia recover the costs.