Tag: NBA league offices

NBA Labor Basketball

NBA lays off 114 employees, says not due to lockout


Today there are 114 more civilian casualties to the NBA lockout war… except the league says these are not casualties at all.

We’re not buying that.

So you can get the facts as presented, here are the key parts of the Associated Press report.

The NBA has laid off about 114 people over the last two days, planned cost-cutting moves that a league spokesman says are “not a direct result of the lockout.”

The laid off employees represent about 11 percent of the league office workforce in New York, New Jersey and internationally.

Spokesman Mike Bass tells The Associated Press on Thursday the layoffs are “a response to the underlying issue that the league’s expenses far outpace our revenues,” not because of the work stoppage that began July 1.

Here is the league’s official statement:

The layoffs are not a direct result of the lockout but rather a response to the same underlying issue; that is, the league’s expenses far outpace our revenues. The roughly 11% reduction in headcount from the league office is part of larger cost-cutting measures to reduce our costs by $50 million across all areas of our business.

The NBA did lay off about 100 people (nine percent) of their workforce a couple years ago, at the depths of the national recession. Certainly things around the nation are not good now, but even the skeptical admit things are better than they were a couple years back.

So, why the next round of layoffs this week? Well, the obvious answer is that it is directly tied to the lockout, the kind of layoffs we are seeing with teams around the league as they trim payrolls during the lockout.

But the league says that is not the case. I have a hard time believing they need to cut costs this deeply right now just as the league is starting to move on a real upswing in terms of national interest (and with that revenue)… unless you needed it to look like things were bad and the budget was way in the red ink. For example, like if you were in a lockout with serious CBA negotiations taking place.

Maybe I’m too cynical, but I don’t believe this is coincidental. Not in the least. In the end, this is just more innocent people getting hurt while the owners and players argue over how to split up the fans’ money. Sometimes I wonder if the two sides really appreciate the mood around the nation and how badly a lockout that costs games would hurt the image of the league right now. Both sides give that plenty of lip service, but their actions speak otherwise.