Sweeney: “Our detailed scenario modelling shows there may be a short-term impact of £107m in lost revenues and we also know there will be a much longer-term effect”
Last Updated: 06/07/20 1:05pm
Bill Sweeney has confirmed the RFU plans to make 139 staff redundant as it looks to cope with £107m in lost revenues in the wake of the coronavirus pandemic.
A consultation process has begun at Twickenham and nearly a quarter of all RFU staff could lose their jobs under the proposals.
RFU chief executive Sweeney says it could take the governing body five years to recover from the financial impact of the coronavirus pandemic, which has heavily disrupted the 2020 rugby calendar.
“As you will be aware the long-term financial challenges are significant for the whole economy,” said Sweeney, in an open letter to the rugby community on Monday.
“We like many rugby clubs rely on revenue from matches and events at Twickenham Stadium and we re-invest this revenue back into the game.
“Our detailed scenario modelling shows there may be a short-term impact of £107m in lost revenues and we also know there will be a much longer-term effect.
“We are projecting a 4-5 year recovery with cumulative revenue reductions of around 20 per cent.
“We are having to make difficult decisions on what we can continue to invest in as well as what is the right size and shape of our business for the future.
“To ensure we have a sustainable RFU we have announced to colleagues that it is proposed that the total number of roles across the organisation will reduce by 139.”
“This will be a difficult process, but we will be consulting with colleagues in a fair way to completely remodel our business.”
More to follow….