Cirque du Soleil Downsizing Las Vegas Operations

Could Cirque du Soleil be in trouble? According to a recent report, the Montreal-based company is making some deep cuts to it operation in Las Vegas. This comes on the heels of our explosive article last week comparing the Cirque du Soleil theme park in Mexico to the infamous Fyre Festival in the Bahamas.

We’ve been hearing for quite some time that sales at Cirque du Soleil shows in Las Vegas aren’t bad, they’re just flat. And in order to increase profitabiltity, if you can’t increase your cash flow, you start to trim the fat from your operation.

Copyright: Cirque du Soleil

Today’s announcement comes in the form of a reorganization that cuts the jobs of several senior Cirque du Soleil employees in order to consolidate operations. In short, what this means is that Cirque will no longer employ a single head of department for each of their shows. Instead, they will lump shows together, pushing higher ranking (and higher paid) people from each show out.

In addition, Cirque du Soleil will still oversee all artistic aspects of the show. They also promise that the performances will not be affected, these are only back of house reorganizations. In the past, tech workers like lighting and mechanical engineers were employed by MGM (who host all of the Vegas shows aside from “Mystere” at Treasure Island – which is not affected). However, under the new organization Cirque du Soleil will be taking them under their wing and they will officially work for the company.

While this is indeed how showbiz operates, it is worth noting as we are following Cirque du Soleil very closely these days. If our guess is correct, this may be the first of several cuts we see from the company. Since they aren’t generating any revenue from their attractions, these cuts seemed to be all but certain. Let’s hope things get better, eh?

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