Sir Alex Ferguson axed from role amid Cost Cutting Measures

Manchester United’s minority owners, INEOS, have ended Sir Alex Ferguson’s ambassadorial contract as part of ongoing cost-cutting measures. Ferguson, who won 13 Premier League titles and two Champions League trophies during his 26 years as United manager, has been a club ambassador since stepping down in 2013. He has been instrumental in Manchester United’s success and image building over the years. The Glazer ownership had previously agreed to the payment as part of his ambassadorial role. They believed a big part of United’s immense value was down to the man himself.

His ambassadorial role, worth £2.16 million a year, will end after the current season, though he will continue as a non-executive director on the board.

The decision was made by Sir Jim Ratcliffe, founder of INEOS, who met with Ferguson to explain that the payments were no longer sustainable under the club’s current financial strategy. INEOS, which took control of United's football operations earlier this year, has been implementing various cost-saving measures, including staff redundancies and the removal of certain perks for employees. These measures have come under scrutiny in the media as well and this latest sacking will be yet another story as Manchester United failures on the pitch continue.

While the club says the decision was amicable, some fans have expressed frustration on social media, pointing out Ferguson’s significance to the club’s history. The move is part of a wider effort by INEOS to create a leaner business model, intending to invest more resources into the playing squad and the development of the academy. Despite the cost-cutting changes, Ferguson will remain a key figure at Old Trafford as part of the club's football board.

ALSO READ: Manchester United Contract Situations with Key Players