Senior leaders at Guggenheim have not received pay cuts, according to museum spokesman Tina Vas. The reductions spread across six divisions: progress, education, publications and archives, but do not affect curators or chief executives. Additionally, the museum's chief curator, Naomi Beckwith, has held two major exhibitions for external institutions in Europe, but will continue her role (and finishing work at the major solo exhibition of artist Rashid Johnson, the former museum trustee, held in Guggenheim in April).
The layoff was the latest indication that New York's museum sector has been struggling with rising overhead costs and declining attendance since the community pandemic. Earlier this month, the Brooklyn Museum said it was facing an expected $10 million deficit, with plans to cut 40 employees and plans to reduce the number of exhibitions. On Friday, New York City Council held a hearing to assess the possible impact of budget cuts on urban services, including cultural institutions.
Officials in Guggenheim refused to explain what the museum's forecast deficit is or that Westerman is being paid as director and chief executive officer, saying he will release financial figures later this year. The record-breaking tax return, the museum's operating budget for 2023, was $72.5 million, and the contribution was $124.6 million. (Salaries account for about 60% of the budget.) For each of the last four years, Richard Armstrong, director until 2023, included $1 million a year in a total compensation package that includes retirement income and postponed compensation, according to tax returns.
This will be the third round of a five-year layoff at Guggenheim. Two waves of previous cuts have left over more than 30 employees without jobs, including two assistant directors.
Perhaps more than anything, Guggenheim relies on international tourism, which has been significantly reduced since the pandemic. We are also waiting for the promise of Guggenheim Abu Dhabi, a former post base in the United Arab Emirates. The museum has not yet announced the opening date for Guggenheim Abu Dhabi, which is under construction.
