Barstool Sports is reportedly set to lay off 25% of its 430 employees, according to a recent report from the New York Post. Company founder Dave Portnoy retained control of the company as part of the transaction that ESPN completed with PENN Entertainment to launch ESPN BET, agreeing to a set of conditions to reacquire the brand for $1. About 100 people are expected to lose their jobs on Thursday, and those remaining, according to Portnoy, will need to “step the f**k up.”
Portnoy divulged that Barstool Sports was losing millions of dollars before he bought the company back, leading to nearly $850 million in losses. PENN had fully acquired Barstool Sports earlier this year for $388 million, but had caused impedance towards how the brand is operated to retain its regulatory licenses. When popular personality Ben Mintz uttered a racial slur on a livestream, the parent company demanded he be fired, despite resistance from Portnoy, CEO Erika Ayers Badan and Pardon My Take co-host Dan Katz. As soon as Portnoy became the owner, he immediately re-hired Mintz and welcomed him back to Barstool.
In recent appearances on the Barstool Radio show, Portnoy stated that the company is in the process of trying to reach a “break-even thing.” Throughout his remarks, he expressed that Barstool is losing a lot and has to make these moves to ensure its prosperity. Portnoy does not like firing people, saying that it is the worst thing he can do but necessary at this point. Throughout the company’s time under the auspices of PENN Entertainment, it added nearly 300 employees and announced plans to open an office in Chicago.
Ayers Baden stated on LinkedIn Thursday morning that the company has a history of hiring and training “the best of the best” and she is sad that some of them have to be let go. “I urge any company that can hire them to do so. They’re all-stars,” she wrote in a post showing the letter she sent to staff Thursday morning.
