UNIVERSITY PARK, Pa. (WTAJ) — Penn State University has made salary reductions in its athletics department for the 2020-21 fiscal year due to COVID-19.
According to our media partners at the Centre Daily Times, most employees were forced to take a 5-10% pay cut. The anonymous source told the Centre Daily Times that the cuts were based on a sliding scale and that those making over $150,000 will see the largest cut at 10%.
Another source told the Centre Daily Times that coaches might not see cuts due to contractual issues and have been asked to take voluntary pay cuts as a result. It is not yet known what coaches have agreed to voluntary cuts.
Penn State Athletics issued the following statement:
“Penn State Intercollegiate Athletics has analyzed its budget and revenue shortfalls for the 2020-21 academic year due to the COVID-19 pandemic. As a result of our analysis and based on our current financial circumstances, we made the difficult decision to make reductions in salaries across the department for this fiscal year. The savings generated by these reductions, as well as decreases in our operation budgets, will assist in minimizing our currently anticipated revenue shortfall for this year.”PSU Athletics