According to an exclusive report from Wrestlenomics on Monday, as WWE continues to see record numbers with financial results following its merger into TKO, the company’s staff say that they are seeing cutbacks in benefits and fewer promotions than expected.
Several current WWE employees who spoke with Wrestlenomics under anonymity. These employees noted morale has declined due to reduced benefits, limited pay increases, and heavier workloads as the company integrates with UFC. WWE employees also pointed to a growing disconnect between messages sent by the corporate office and their day to day experiences in the company. Even though WWE management emphasizes the value of its workforce at town hall meetings, multiple staff told Wrestlemonics they feel increasingly undervalued.
WWE is experiencing its hottest period in consumer business perhaps since the “Attitude Era” from the 1990s and early 2000s. Additionally, WWE employees told Wrestlenomics financial success has not translated into meaningful pay raises.
Multiple staff members told Wrestlenomics they received a 3% cost-of-living raise this year, which they say doesn’t keep up with the continued rising costs of living in Connecticut and New York.
One the main reasons for the merger with UFC was to improve profitability of WWE overall with the consolidation under the Endeavor umbrella. Endeavor holds the majority of TKO’s ownership. However, as with any merger, significant layoffs within WWE took place after it was finalized in September 2023.
The company’s stock purchase program ended following the finalization of the merger The initial program allowed employees to buy WWE shares at a 15% discount. Since the merger was completed, the stock price has jumped up to more than 50% over the past 18 months, which translates to employees loosing access to a benefit that would have allowed them to invest in the company’s growth at a discounted rate.
In addition Wrestlenomics notes that the removal of the “WWE Superstar” program—a peer-recognition initiative which allowed employees to reward each other with points redeemable for cash bonuses, gift cards, or experiences, has also been a source of frustration within the company. Furthermore, WWE also no-lover provides complimentary live event tickets for its employees, which the past has was a long-standing perk.
Wrestlenomics notes that WWE did not respond to a request for comment and said that it is possible the company would point to increased ticket demand as a reason for the decision. Attendance for TV events is at its highest its been in years. The company, however has cut the number of house shows from what it has held in the past.
WWE employees told Wrestlenomics that those with strong performance reviews were told that despite those positive ratings, they would not get more than a cost-of-living adjustment due to budget constraints set by WWE’s upper management. Some had expected significant raises or promotions based on past company practices, but were informed that the company was not in a position to offer pay raises due to the merger.
It should be noted that at time of Wrestlenomics’ report the WWE corporate website, for those looking to apply for a job on the “Total Rewards” benefits section, still shows the recognition program, stock purchase plan, and complimentary tickets among the rewards that future employees may be eligible for.
WWE Staff told Wrestlenomics, that many in the company who are frustrated by all of the unwelcome changes since the merger do have respect for the company, but felt that they were obligated to speak up about how how they feel because they want fair compensation for the work they have performed. Furthermore, employees added they are surprised at the direction WWE has taken, especially since the company continues to be a hot following the merger. Many of the employees worked with the WWE during periods when the company’s business was at a low point.
Wrestlenomics stated that concerns raised to lower and middle-level managers reportedly been passed along as decisions made at the executive level.
WWE’s new $5 billion, 10-year streaming deal with Netflix took effect in this past January. The company also announced that as part of its partnership with Saudi Arabia’s General Entertainment Authority, next year’s Royal Rumble will take place in the country. It was also noted that the Saudi government pays WWE around $100 million annually for two-yearly premium live events. Many of the recent PLE’s continue to set new records for arena gates. The premiere of Raw on Netflix, which took place at the Intuit Dome in Inglewood, CA had the biggest arena gate in company history, with $4.8 million. Back on February 1, WWE said Royal Rumble at Lucas Oil Stadium in Indianapolis, Indiana was the company’s biggest non-Wrestlemania gate ever, with roughly over $17 million.
As WWE’s financial outlook continues to climb, Wrestlenomics said that WWE employees told them they have seen an increase in workloads, with some staff working around 50 to 60 hours a week and have also been assigned to UFC related tasks as well.
Furthermore, some employees are concerned with TKO now acquiring the Professional Bull Riders (PBR), On Location, and IMG, WWE staff will be expected to take on even more work without additional compensation and dwindling benefits. TKO is also now looking into the possibility of entering in the professional boxing world as well.
TKO will report fourth quarter and full year 2024 earnings this Wednesday. Wrestlenomics says that the parent of WWE and UFC has guided investors to expect adjusted EBITDA – its preferred measure of profit, which is said to be between $1.22 billion and $1.24 billion for the year, with annual revenue projected to be between $2.67 billion and $2.75 billion.
In the same report, Wrestlenomics lists the bonuses that TKO and WWE Executives received following the merger in September 2023.
-TKO CEO Ari Emanuel received $20 million in cash related to the merger, plus a stock award of 388,162 shares, the latter now worth around $60 million (based on the 2/21/25 closing share price of $158.82).
-TKO COO Mark Shapiro was awarded $5 million, plus stock grants totaling 313,400 shares, equity currently valued at about $50 million.
-WWE President Nick Khan received a $15 million cash bonus.
-WWE Chief Content Officer Paul Levesque was awarded $5 million.
It was also noted that TKO’s top executives are compensated not only with a base salary but with millions more in bonuses which are determined by the TKO Board, that is based on the company’s financial performance. It was added that this practice is not at all unusual for a company the size of TKO, but further highlights how all the executives are getting financial incentives, while the main employees are not.
TKOiInvestors have also been rewarded. Just this past October, TKO announced a stock buyback program, pledging to repurchase up to $2 billion worth of shares, which is said is something that usually makes share prices increase. TKO said that they expect the buyback program to take place over the next three to four years. In addition, TKO will begin paying out quarterly dividends to the non-Endeavor shareholder class, with payments totaling $75 million every three months, with the first payment scheduled for March 31, 2025.
Wrestlenomics did say, they are not aware of any bonuses that were awarded to WWE employees following the merger.
One WWE employee noted to Wrestlenomics that morale has suffered to the point that some staff are less willing to go above and beyond in ways they once did.