Rugby Australia (RA) is to cut a third of its full-time staff in the coming months as the organisation attempts to stay afloat amid the coronavirus pandemic.
RA has been hit hard by the suspension of rugby, with the organisation having previously had to stand three-quarters of their workforce down, while players have taken pay cuts.
Last month RA claimed a World Rugby bailout would provide “certainty for the next 12 months”, but on Monday it announced it would be making 47 of its 142 full-time staff redundant.
The redundancies will not come into immediate effect but will take place over the months to come, while senior staff who have been retained have been asked to take a five per cent pay cut.
With all international tours scheduled for July having been cancelled, it is unclear if the Rugby Championship will be able to take place later in the year.
It is expected that the redundancies and pay cuts will reduce RA’s wage bill by $5.5million.
“Today was an incredibly difficult day for the organisation with many people affected by changes that are necessary to ensure the viability and sustainability of the organisation as a result of the devastating impacts of the pandemic,” interim chief executive Rob Clarke said in a statement.
“We have delivered the news to staff this morning and told them that Rugby Australia values the contribution of each and every one of them, some of whom have given significant service to Rugby Australia and to the game over many years.
“This is a difficult time for a lot of very passionate, hard-working rugby people and we are committed to helping those people find their next opportunity, whether it be within the game or elsewhere.”
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