As a result of the economic downturn and uncertainty caused by COVID-19, the Minneapolis Institute of Art (Mia) is facing unprecedented financial difficulties which require the museum to cut $4 million from its FY21 operating budget for the period beginning July 1. The museum anticipates reduced earned and contributed revenue over the next 12 months and beyond. Therefore, following a museum-wide effort to cut costs, including a pay freeze for all non-union staff and a 15 percent salary cut for Mia’s leadership team, the museum has had to make the difficult decision to reduce staff. Seventeen employees took a voluntary separation package, effective June 20, and an additional 22 staff were laid off today.
“Few decisions are harder than one that involves reducing our dedicated staff,” said Katie Luber, Nivin and Duncan MacMillan Director and President. “We pursued numerous options to save as many staff as possible and are grateful to have received a PPP loan as part of the CARES Act, which allowed us to pay all staff through June 19, during the museum’s closure. We have also carefully evaluated whether there are untapped sources of revenue or new fundraising opportunities that could help alleviate the need for further cuts, but this has not been possible. We are deeply saddened by this very difficult situation and are grateful for our staff’s contributions and their dedication to serving our visitors.”
In addition to the pay freeze and salary cuts, cost-reducing measures taken by the museum include the recalibration and suspension of programs, tours, and events. The museum also anticipates reducing opening hours by 43 percent when the museum reopens its doors to the public in mid-July.
“Mia is taking unfortunate but necessary steps to guide the museum through this period of economic uncertainty,” said David Wilson, Chairman of Mia’s Board of Trustees. “While the present looks challenging, Katie Luber and the leadership team are executing a strategy that will help ensure a stronger, financially stable museum for the future.”