(CelebrityAccess) – CAA has announced companywide pay cuts of up to 50% on a progressive scale amid the ongoing struggle to curb the spread of the coronavirus.
While the agency says there will be no layoffs, its top earners will be subjected to the high end of the percentage pay cut scale. Additionally, CAA co-chairmen Richard Lovett, Bryan Lourd, and Kevin Huvane will forgo their salaries for the year.
“In this time of tremendous uncertainty for individuals, businesses, governments and communities, it is incumbent upon us to look closely at what measures help ensure CAA always remains the strongest company for our employees and clients,” a statement from the agency read. “Making cost reduction decisions is always a thoughtful and deliberate process for us, never more so than under these extraordinary circumstances. We are implementing, among other actions, a reduction in pay among employees across all levels of the agency, with our highest compensated colleagues shouldering a greater responsibility. We deeply appreciate not only the understanding that employees across the company have demonstrated since this unprecedented global crisis began, but also the remarkable support and compassion colleagues have shown one another, clients, and many in the community in need.”
CAA is the latest of the major agencies to announce pay cut measures in the face of the pandemic. UTA, WME, and Verve have already rolled back company salaries, while Paradigm announced “temporary layoffs” of upwards of 250 people, including some of its most prominent agents, last week.