During this stressful time, companies both large and small are struggling to stay afloat. The entertainment industry has taken one of the largest hits as venues across the world are forced to sit empty. As terrible as it sounds, we may still be months away from work in the entertainment industry to return to normal. Entertainment agency CAA is the most recent corporation to announce layoffs and furloughs throughout their company. Based in the bustling city of Los Angeles, the Creative Arts Agency represents professionals working in the entertainment industry.
“Effective this week, approximately 90 agents and executives from departments across the agency will be leaving.”
This past March, CAA vacated its Century City headquarters due to COVID-19. Initially, they planned to avoid furloughs and layoffs but as the months went by, it became too difficult. Just this Tuesday, a CAA spokesperson confirmed this decision.
In all, 90 agents and executives have been let go from the company. On top of that, an additional 275 staff and assistants will be furloughed. Most of the furloughed workers are said to include receptionists and assistants. Nonetheless, the layoffs will affect employees from “departments across the agency”.
Unfortunately, many employees are no longer needed, now that their headquarters sits vacant. No one really knows when it will be safe to return to the office environment. Until then, remote work has been a popular fallback until we can safely be around others.
CAA’s spokesperson did say that they “will continue to fully pay the health plan premiums for those being furloughed”.
In April, CAA leaders Richard Lovett, Bryan Lourd, and Kevin Huvane also announced they would take zero salaries for the rest of the year. The decision was made in the hope to avoid furloughs and layoffs at CAA.
You can read the full statement from CAA below.
CAA’s Official Announcement
“CAA began working remotely earlier this year due to the pandemic. Everyone at the company participated in reducing compensation with the hope that we could keep all employees financially whole through the end of our fiscal year, September 30th, 2020. We are honoring that commitment, including for those impacted by today’s announcement. But, with greater visibility into the COVID-19 challenges of fiscal year 2021, we have made the difficult decision to implement workforce reductions, in addition to our ongoing cost-saving measures. Effective this week, approximately 90 agents and executives from departments across the agency will be leaving. In addition, we are furloughing approximately 275 assistants and other staff. The company will continue to fully pay the health plan premiums for those being furloughed.This is a painful and unprecedented moment, and words are insufficient. Today, we simply say that we extend our sincere appreciation and deepest gratitude to our departing colleagues.”