Following a poor run of results and a scandalous 3-1 defeat to Liverpool that left Manchester United 11 points off fourth place in the Premier League, the board of Manchester United decided to part ways with Portuguese tactician, Jose Mourinho in December 2018.
But the sack comes at a very big price as United coughed out a whooping £19.6m in compensation to Jose Mourinho and his staff as revealed in their second quarter financial results.
Within the financial results, which were released to the New York Stock Exchange, it said: “Exceptional items for the quarter were £19.6m, relating to compensation to the former manager and certain members of the coaching staff for loss of office.”
Highlighting the difficulty of replacing Alex Ferguson, United have now spent £33.2m dismissing the three managers hired since he retired in 2013 after 26 trophy-laden years in charge.
When Mourinho was fired in December 2018, United were sixth in the Premier League. Former striker Ole Gunnar Solskjaer was brought back to Old Trafford as a temporary manager and he has lifted the team back into fourth — a Champions League qualification spot.
The appointment of Solskjaer and assistant manager Mike Phelan, who worked under Alex Ferguson at United, “has had a positive impact throughout the club,” vice chairman Ed Woodward said.
David Moyes lasted 10 months as Ferguson’s immediate successor before being fired along with his coaches at a cost of £5.2m in 2014.
Despite Louis van Gaal winning the first major trophy of the post-Ferguson era — the 2016 FA Cup — he was fired after two years primarily for failing to qualify for the lucrative Champions League. The payoffs to Van Gaal and his coaches reached £8.4m.
Mourinho, who replaced Van Gaal, had a contract through next season, but the risk of missing out on the top four led to his dismissal.
For the second quarter of the financial year — the three months to December 31 — United reported revenue rising 18 percent to a record £208.6m. The club is forecasting annual revenue to be between £615m and £630m.
“Our continued financial strength underpins our long-term success on the field, which is the focus of everyone at the club,” Woodward said.
Mourinho, 55, took over in May 2016 and led United to League Cup and Europa League titles. In January 2018 he signed a contract extension until 2020 with the option of an extra year.
Woodward refused to offer any update on Solskjaer’s future, insisting the club will stick to its plan of offering an update at the end of the season.
When asked about recruiting for a director of football role, he said: “Looking at our structures and how we should strengthen all areas at the club is something we do on a continual basis. We have invested on the player care side. The evolution is continuing but it is not necessarily visual. We are looking at ways we can make the structures stronger.”
Mourinho left United having won a Europa League and EFL Cup double in 2016/17, winning 84 of his 144 matches in charge.
United reported record revenue for the second quarter of the financial year of £208.6m. The club is forecasting annual revenue to be between £615m and £630m.
Anthony Nlebem
