IU Athletics eliminates 25 positions in layoffs as it braces for NCAA revenue sharing: Report
Indiana University Athletics implemented layoffs this week to prepare for revenue sharing with athletes starting in the 2025-26 academic year. The department eliminated 25 positions, including 12 open roles, aiming to cut 10% of the budget across its auxiliary services. Among those affected was Deputy Director of Athletics Mattie White, who served for 19 years. Despite the layoffs, no sports programs, coaching staff, or salaries were impacted, reported the Indystar.com.
The cost-cutting measures are in response to the NCAA’s new revenue-sharing model, part of a settlement requiring top conferences to pay athletes up to 22% of annual revenues, with IU’s cap set at $20.5 million for 2025-26. IU anticipates reinvesting some savings into managing the program, including hiring staff for contracts and analytics.
IU Athletics is also exploring new revenue streams, including third-party vendor partnerships and per-seat contributions. Recent successes, such as increased ticket and concession revenues from a strong 2024 football season, along with Big Ten Playoff distributions, are expected to bolster finances.
Previously, IU Athletics faced similar challenges during the COVID-19 pandemic, instituting layoffs and furloughs to address a $25 million deficit, stabilized by a $38 million gift from the IU Foundation. Now, the permanent expense of revenue sharing marks a shift in college athletics’ financial model, prompting lasting cost reductions to maintain stability.