Man Utd AXE Sir Alex Ferguson after 38 years

Jacque Talbot

• Updated: 15 Oct 2024 10:12 BST
• 3 min read

Manchester United legend Sir Alex Ferguson has been stripped of his annual remuneration by Ineos as the ownership tries to bring its annual costs down.

Sir Jim Ratcliffe's group have ended a multi-million-pound annual commitment to Ferguson, the man who oversaw the club's most successful ever period. The Scotsman left his job as manager in 2013 and became a global club ambassador and club director, a position paid with a hefty salary.

Ineos have been looking to reduce costs and part of that is removing the salary of the 82-year-old, reports Adam Crafton of The Athletic.

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The report reads that "Ratcliffe told Ferguson that the club are seeking to reduce costs and are no longer prepared to sustain his payments. United sources said that the matter has been dealt with amicably and he will remain a non-executive director at the club and be welcome to attend games.

"The club’s majority owners, the Glazer family, have previously been satisfied to sanction the payments to Ferguson. According to sources familiar with the thinking of Joel and Avram Glazer, the most prominent of the siblings at United, they believe much of the value that the club continues to generate is owed to Ferguson’s work and legacy, and therefore they did not begrudge him a handsome settlement following his retirement."

Ratcliffe, the owner of Ineos, has been looking to cut expenditure at Old Trafford after he bought 27.7 per cent of the Premier League club back in February. While he only took on an initial stake, he has led football operations ever since, with so far mixed success.

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United cuts

In July, United staff, were told 250 jobs would be cut, as part of a series of cost-cutting measures recommended by consultancy firm Interpath Advisory.

"There has also been the removal of club credit cards from senior executives, the removal of free travel for staff to May’s FA Cup final against Manchester City, while the club’s employee Christmas party has also been cancelled," the report continues.

This is despite the club spending €240 million on transfers in the summer. At present, United sit 14th in the Premier League table, while they remain winless in the Europa League.

Ratcliffe said of Ferguson earlier this year: “I don’t think he has been encouraged to get involved but he is still very thoughtful about the club and he has an immense amount of experience. He really understands the values and traditions of the club and what it’s all about. He’s still fiercely competitive, Alex Ferguson.”