Speedway cuts 40 employees in latest cost-saving move

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A source at Indianapolis Motor Speedway said IMS laid off 40 employees Wednesday, mostly from its human resources department, in a cost-saving move.

IMS spokesman Paul Kelly would neither confirm nor deny the layoffs. He referred IBJ to a statement IMS issued Wednesday regarding the release of Ron Green. Green, who served 11 years as director of public relations for IMS and the Indy Racing League, was let go on Tuesday.

“All of our business units have been impacted by the tough global economy,” Fred Nation, IMS executive vice president of communications, said in the statement. “We will continue to address these challenges by improving the operational performance of our companies.”

IMS had about 300 employees prior to the layoffs.

“We anticipate consumer demand will continue to have an impact on our revenues well into 2010," Nation said, "but we have developed plans to meet the challenging business environment that give us great optimism for the future.”

IMS and IRL CEO Jeff Belskus, who assumed leadership from Tony George in July, told IBJ in August that the organizations “do face some challenges” financially, and he hinted at the possibility of additional layoffs.

The layoffs mark the second time in a year that the Speedway and related entities have trimmed their staffs.

Cuts were made last December across the IRL, IMS and IMS Productions. The organizations declined then to say how many employees were let go, but attributed the reduction to the economic downturn.
 

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