There is more evidence than ever that the William Morris Agency/Endeavor merger is looking more like an Endeavor takeover. I also will have more news of laid-off vs safe WMA agents later today.
Since Monday, when Morris and Endeavor learned their merger wouldn't get held up by the feds, 15% of WMA's workforce, or 100 people, are in the process of being laid off (and I will have more names later today). But what has gone unnoticed is that Endeavor's number of layoffs will ultimately total "only half a dozen," according to my sources. This is astonishing, especially since most of those have been done already.
Sources also tell me that the situation was handled far differently inside much smaller Endeavor than at WMA -- indicating that the two agencies are still operating separately and apparently unequally.
Tom Strickler's departure from Endeavor was a special case. The co-founder had been expected by everyone at the agency, including Ari Emanuel, to join the combined company even though Strickler had vociferously argued against the merger. So it came as a shock when he announced his resignation just before Endeavor was voting on the merger. (As a result, that vote was unanimous.) As I previously reported, Endeavor's Richard Abate didn't join the merged company because of a personality conflict with WMA's Jennifer Rudolph Walsh who will head up the new WME's book department and is a member of the new 9-person board. But over the past month, Endeavor went to several agents like Daisy Wu, Susan Solomon and Brian Lipson, and told them they "likely" wouldn't survive the merger. That allowed the agents to start quietly looking for jobs before they might be let go. But when their names surfaced in recent weeks as having been laid off, Endeavor kept saying, "No, they're still working here." I did report Wu's departure to Gersh. Both Solomon and Lipson became managers: Solomon landed at Principato Young, and Lipson went to IPG (aka Intellectual Property Group). Some other agents were told they should step it up".
That luxury of time wasn't afforded the WMA agents. I have learned that, adding insult to injury, the William Morris Agency several weeks ago had pitbull Hollywood litigator Patty Glaser send "cease-and-desist" letters to rival agencies demanding that they stop trying to hire any Morris tenpercenters. The reason for this was clear and understandable: WMA wanted to make sure it didn't lose any of the agents it would ultimately decide were "safe" in the merger. But this also had the effect of hampering those agents who, at the time, didn't know they were going to be laid off, from finding jobs early. One agency owner who received Glaser's letter from WMA called it "despicable" and "inhumane".
Another confusing inconsistency is that some WMA agents before Monday's layoffs were being told they would be held to their contracts if there was time left and they wanted to leave, and some weren't.
I also hear that Endeavor may not have to let any assistants go because the agency in recent months had been whittling down the number through attrition. By contrast, some assistants and other support personnel who have lost their jobs at WMA are complaining to me they're receiving only two weeks pay, far from the "generous" severance WMA promised. But WMA today insist to me that the least amount of severance anyone is receiving is 2 months, and that's only for someone who's worked at agency for two years or less.
Finally, all the internal announcements about TV packages from this week's upfronts are coming into both agencies labeled as from "WME".
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In all fairless, Endeavor was already running pretty lean.
Susan Solomon, who actually is a very nice person, already landed on her feet at Principato Young.
Its so sad and disturbing, I mean, you know what you sign up for, but still, slime balls like Irv, Dave, and Jim Wiatt are more stupid than they are slick. I’m glad for Ari, but Jim Wiatt and his band of idiots will reap what they sow. I’m disappointed in Norman Brokaw more than anyone. Is he alive? Did he just cash out and hit the highway?
the sleeze at william morris starts at the top. what goes around will eventually come around to those who treated the dismissed with such cavalier behavior. bring on the pain….
The people that did this to WMA have a special circle of hell reserved for them…..to not only ruin a pillar of our industry but so many lives is despicable.
Say goodnight, Mr. Wiatt. You to, Irv.
Brian Lipson landed at the lit management company IPG aka Intellectual Property Group (Joel Gotler and Larry Becsey.
Lipson saw the writing on the wall the day Morris came in. Jennifer Walsh had it out for him and Abate, and that’s why both are gone. Lipson’s at IPG with Gotler and Abate is making his own plays. Solomon’s at Principato, and already making moves. It’s a carousel and yeah it goes around but only the riders get on and off. The horses stay the same.
Here’s to Jim Wiatt, Dave Wirtschafter, John Fogelman and Peter Grosslight taking their rightful places in hell at some point in the near (we can only hope) future.
Things have changed in the agency business. “What goes around” no longer “come around”. The opposite has come true. Slime and backstabbing liars are rewarded – heavily. The hardworking good guys are now being shown the door.
It’s over. End of an era.
William Morris stings like a dead wasp…
I think Endeavor and WMA are laying off the same percentage of people.
15% of 700 = 105
15% of 100 = 15
I work(ed) at wma(e) and I promise you they are NOT giving assistants 2 months severence… we get 2 weeks and most assistants who were fired are still working for the next two weeks because they want to help out their boss. The way WMA handled this is disrespectful, unfair and very self-serving.
If you want to work in a decent and constructive work environment, a talent agency is the last place one should seek employment. I am not sure why everyone seems so surprised by these latest developments… talent agencies are notorious for treating employees badly…
I know everyone is saying that Irv and Wiatt will run WME into the ground, but has anyone noticed that Endeavor, apparently, is in HUGE debt???
Ari has cash in his pocket now, but he, too, will eventually run WME into the ground, as well, not Irv and Wiatt.
Calling wma “despicable” and “inhumane” is hardly news-worthy or shocking. They should go back to college and take a few classes. I would suggest Organizational Communication 101 and Business Ethics, both of which they are currently failing – miserably.
Horrible people do horrible things. Dave, Jim, Irv are horrible people.
Everytime I think it can’t get worse, well, Nikki gets the scoop. Could WMA have handled this any worse? I mean from PR, business, management, humane persepctives, it has been an utter debacle of the highest order. I feel like business schools, PR programs, etc., will study this as a classic, “What Not to Do.” I feel sorry for anyone associated with this company, both safe and layed off. And where the hell are those midgets, Norman Brokaw and Walt Zifkin, do they not have any say?
There was an assistant in the NY office who got hit by a bus on her way to work Monday and then HR called her in the hospital and fired her… Heartless doesnt even begin to explain that.
So, when the WMA brass sold their real estate a while back, did they take all of that $143 Million for their HQ out in CASH and plan to run for the hills? I also wonder if they are minority owners in the new bldg that WME will be leasing (and they get paid much in the way Ovitz and Co themselves own the former CAA digs).
while i am extremely happy for the guys and gals at endeavor, for being smart enough to now run the oldest and biggest agency in the history of the entertainment industry…… that not only has area’s they were not in (music, etc) but has income coming in from years and years of others hard work and dedication…..I AM TRUELY SADDENED BY THIS…..not only the way people are being treated at the old wma but that this has happened….wma was the oldest entertainment company in town and the rich tradition, history and philosophy is GONE……..corporate america is in the throws of greed and corruption and many big companies and many small investors have gone under because of this greed……wma was no different unfortunately…. and jim, dave and especially irv raped and piliged wma for all the money they could before giving in and letting some smarter guys run the company they put in the shitter…….what is also sad is that men and woman who have devoted their careers to wma and who were loyal and generating income for that company for years have been told they no longer have jobs there………william morris, william morris jr., abe lastfogel, morris stoller, nat lefkowitz, and many many more, who spent there LIVES building that company, are turning in their graves…….and what about the many many men and women who are no longer at wma, retired or moved on who now look at the institution they once loved and gave the skin off their backs for???????????? ITS GONE
many on these blogs are mean, ignorant, or just don’t have a clue and blog stuff that is selfish and self-centered b/c that’s all they know……..and who is to blame????? WALT? who knows but who cares anymore? and to IRV, i hope you can look at yourself in the mirror in the mornings, it must be hard
According to Walsh she couldn’t work with Abate because he said nasty things about some people in her department when they weren’t there to defend themselves. Then someone from her department waited until he was gone and then said nasty things about him when he wasn’t there to defend himself. They did what they claim he shouldn’t have done. They also made sure they told a reporter so everyone would know about it.
Maybe Walsh should spend less time trying to damage the careers of other agents and more time finding people who don’t plagiarize because she has already had two of them. Richard Abate is exactly what the industry needs because he makes deals worth millions for celebrities but he is also willing to consider new people and he is always professional.
Also I think it was very unprofessional that WM provided people outside the company with the names of employees losing their jobs the same day it happened. Those are people who care more about being in the news than being decent, professional people.The only way reporters could have known that was if someone in a very high position at WM told them. I doubt employees were calling reporters as other employees were losing their jobs.
WMA wasn’t called dispicable and inhumane -it was Patty Glaser. Which is a compliment considering that she is a disgusting excuse for a human being.
@Shameful What? We need to hear more about this poor girl…. and take up a collection for her health care, she will need it now
Solomon a “nice” person..seriously you must have never dealt with her….she’s awful
At what point should the WMA agents (fired and otherwise) be given credit for the fact that their agency was dying? Why should we feel sorry for them getting fired or settled — they earned it. The good ones are staying, the bad ones are leaving. Sure, you will find anonymous postings that celebrate those fired and trash those kept. it’s easy to attack that way.
As for Endeavor, they are coming in to save the jobs of the 700 people WME is keeping! And, as someone who knows their finances well, i know that they are not in debt. That is simply false. The partners there have done tremendously well over the years, and this deal will bring a further windfall. they have no mortgage and have lots of packaging money coming.
This is a process, and unless you are truly inside, speculation about how it is playing out is being fueled by angry discarded agents and assistants.
Consolidation is painful. Most of these folks (agents and clients) will shuffle up and land somewhere else. And then we can all get back to making films and television programs, and take our eyes off the reps.
Has anyone questioned why new WMA trainees started this past Monday and then current staff was layed off that afternoon? Clearly someone has not thought this transition period through very well…..or do they want to weed out the over 40 crowd making twice what the trainees will make?
The poor treatment of many dedicated employees continues. Thanks Jim, I hope you can sleep at night knowing how many people’s lives you have changed for the worst.
Although consolidation and mergers are always difficult it’s the way they handled it that makes them seem seem nasty and unprofessional. Losing a job is horrible for the employee and their families but instead of thinking about that they’re giving reporters the names of people the same day employees lose their jobs so that everyone knows. That is extremely unprofessional and an undignified way to treat people who have probably worked at the company for years.
WMA was owned by a dozen people. When WMA profits hit a snag, the owners agreed to turn the company over to management, but only after they sold the real estate and pocketed the money for the owners. That signaled the end of WMA — no one with any skin in the game cared anymore.
WMA management gets a bit of a payout with this takeover.
Smartest guys in the room are the dozen old coots who owned WMA. They sold when the selling was good.
The shark feed is not over. Check back one year from now as to the makeup of WM-E. The games have only just stated.
Finally, remember there were the Big 3 just 15 years ago, with a couple of solid second tier agencies. Those agencies got gobbled up by the Big 3, and the winner of that feed-fest is…Ari and his guys, who were gobbled by ICM but got spit out a few years later.
That same process will happen now….the big dogs 10 years from now are just baby sharks in this chapter.
Susan Solomon used to be part of my “team” only she wasn’t that effective. Very very nice lady though with breath that could bring down a building. I do wish her the best of luck and I’m far better off with my new team.
this might be the best thing to happen to WMA. the team that called themselves “management” were far from adequate. there was never a sense of leadership at that company. only the feeling that several top-level agents were running the show, in an attempt to eventually usurp power from jim, dave and irv.
perhaps wma would’ve been able to exert more power in this supposed “purchase/merger”, if jim and dave were quality leaders. no doubt they have success as agents, but that track record doesnt guarantee quality leadership. dave, who chose to abuse his power and dress how he pleased and really just USE the company, was all but present, except for when there was enough complaints that he would show his face from behind his sunglasses every once in a while.
and jim…well, he is more worried about the appearance of his staff and his social status than the success of the company. rather than focus his attentions on lifting WMA out of the basement, he was more concerned that assistants were clean shaven, that agents were not sloppily put together, and that he people like him. he was also preoccupied with brokering the deal between the weinsteins and disney, than working out his own company’s issues. while relationships are key in this business, jim only cared about them for his personal gain.
i wish those that didn’t survive the layoffs good luck, as well as those who did. for i don’t see wme being a sustainable venture.
The brutality is on so many levels- today at WMA, Val Day in theatre fired her long time suffering assistant so she could take her old boss, Peter Franklin (who was fired) assistant, just so she could appear to be the new department head. This is making everyone show their true stripes
WMA “died” when Lee Stevens died.
This is the end of an era for sure, but these stories are lacking in substance. There will be a headline, which will turn out to be the entire story. I’m surprised there is nothing more on which agents are gone, where are all the assistants, floaters, friends of…, give it up! We don’t have ALL DAY!
*please no more about gasmer, irv, dave, brokaw…snore! what about that reptilian demonic spawn morgerman or corpse bride wiles?!
Since when has hollywood cared about tradition or history… references to that regarding WMA is laughable…
I should let this go as it’s at the end of an old post but i cannot help thinking about these “poor agents” who “gave their lives to WMA”. What about the talent that gave their scripts to those poor agents? The ones that were treated as though they were the next big thing — taken off the market, agented to death only to fall into oblivion when the momentum slowed down? No prob for the poor agents who had 1800 other people’s coat tails they were riding. Those agents (and some of them are my best friends) fuck each other, fuck their clients and fuck their assistants. Take a temperture check people, we usually end up where we are becuase of choices we’ve made. Own your shit and change your behavior. The rewards will come.