15 October 2024 , 12:49
419
0
Sir Jim Ratcliffe and INEOS have made the ruthless decision to end Sir Alex Ferguson’s ambassadorial contract with Manchester United as part of cost-cutting measures at Old Trafford.
The legendary Scot served as United manager for 26 years, winning 38 trophies before retiring in 2013.
Since then, Ferguson has retained a role as a global club ambassador and club director. Ferguson’s post-retirement role was included in the club’s 2014 accounts and received £2.16million for his duties with that arrangement remaining in place over the last decade.
Ratcliffe and INEOS have been relentless in their efforts to reduce costs at United with their latest push shifting focus to Ferguson, 82.
The Athletic report Ratcliffe and Ferguson met in a face-to-face meeting where the former manager was informed United are no longer prepared to make those payments.
The meeting is reported to have ended ‘amicably’ with Ferguson, who still regularly attends United games in the director’s box, set to remain on as a non-executive director.
Ferguson will not be receiving payments from the club beyond the end of the 2024-45 season.
The club’s majority owners, the Glazer family, are said to be have been satisfied with the arrangement with Ferguson, believing the success he delivered during his years in the dugout has continued to be driving factor behind the club’s considerable value.
Ratcliffe and INEOS took minority control of United in February this year and have led a series of cost-cutting measures since assuming control of football operations.
250 jobs were cut in July, saving the club a reported £10million a year while senior executives have had club credit cards taken from them. Among other measures, the club’s employee Christmas party has also been cancelled.
Amid cuts off the pitch, United were the second-highest spenders in the Premier League during the summer, spending over £200million on five new signings.
That spending has done little to lift the club who are languishing 14th in the table after seven games with pressure again growing on Erik ten Hag.