TKO’s Real Goal Behind WWE Pay Cuts Explained

In the past few weeks, WWE and TKO Group Holdings have released approximately 40 wrestlers from their contracts.

Fightful Select recently provided an extensive report on the situation, revealing the major reason behind the decision.

According to the report, TKO instructed WWE to cut millions from its payroll, which directly led to the recent wave of releases. Some talent were asked to take significant pay cuts (in some cases even seven figures) to remain with the company.

Moreover, the way contracts were presented raised concerns. Wrestlers were sometimes approached during overseas tours about new deals, and in some cases were given very limited time to review new contracts. Offers also came earlier than expected, limiting proper evaluation. This is believed to have pressured talent to sign quickly.

Several wrestlers were given just two days to either accept pay cuts or leave. No specific names were revealed regarding who accepted the cuts within WWE. Additionally, several longtime veterans, including some currently dealing with injuries, were also asked to take pay cuts.

Backstage Reaction to The New Day’s WWE Exit Revealed

Fightful Select report also detailed The New Day’s exit situation. The duo was presented with new contracts on less favorable terms and therefore chose to leave rather than accept the reduced terms.

The report noted that Kofi Kingston and Xavier Woods walked away from millions of dollars left on the remaining years of their contracts. It was also mentioned that Kingston, Woods, Santos Escobar, among others, were frustrated, as they had recently signed new deals with WWE.

The New Day’s exit became public mainly after they were moved to WWE’s alumni section, making their exit easier to confirm. One WWE source expressed disappointment that the company did not publicly acknowledge New Day’s contributions.

However, the source also noted that internal praise was given privately. A joint public statement was expected but was never released. Moreover, multiple individuals have reportedly pushed for All Elite Wrestling to sign New Day following their WWE departure.

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