Thursday, July 2, 2020
CAA has canceled plans to reopen offices on August 1, and will continue to keep its Los Angeles, New York and Nashville offices closed until 2021, an invidiual with knowledge of the matter told TheWrap.
“In carefully studying a wide range of factors, with employee health and safety as a top priority, we have concluded we will not be returning … until at least January 2021. It is too early to provide a specific date,” the company told employees in an email published by Variety, which first reported the news.
The move comes as the United States is experiencing a dramatic rise in COVID-19 cases in several states, particularly those that have either started to reopen following strict measures to stop the virus’ spread, or largely failed to take steps necessary to do so.
The company shut down its offices on March 12, one day after actors Tom Hanks and Rita Wilson announced they had contracted the coronavirus that causes COVID-19 and caused the world to take the disease seriously. Since then CAA has taken several steps to remain solvent during the harsh economic downturn resulting from shutdowns made necessary by the pandemic.
Among those steps, the talent agency enacted pay cuts of up to 50%, on a progressive scale, meaning the more someone made, the more their pay was cut; CAA Chiefs Richard Lovett, Bryan Lourd and Kevin Huvane will take no salary for the rest of the year. “We deeply appreciate not only the understanding that employees across the company have demonstrated since this unprecedented global crisis began, but also the remarkable support and compassion colleagues have shown one another, clients, and many in the community in need,” CAA said in a statement at the time.
CAA also raised $75 million in a new debt sale on May 4.
Source: the wrap feed