In this day and age of corporate sponsorship and economic greed, sports has been infiltrated. This has been going on for years and it continued Tuesday in Cleveland as changes abound with the Browns under new owner Jimmy Haslam.
The stadium on the lake will now be known as “First Energy Stadium, Home of the Cleveland Browns.” Not only a mouthful but quite an advertisement. The cost for this honor was not disclosed by either party. For some reason the details had to remain secretive, as it seems everything is under this new regime.
“It’s a very special day for the Cleveland Browns, for First Energy, and we believe, for northeastern Ohio,” Haslam said during Tuesday’s news conference at the stadium’s City View Club announcing the naming-rights deal. Browns CEO Joe Banner said the partnership will be beneficial to the team, the city and the region. But Banner should have added not to some workers with First Energy.
Over 200 people lost their jobs with First Energy a few months ago, yet the company still had the money to spend on this kind of advertising. Of course this isn’t the first time something like this happened in Cleveland.
In January of 2008, the Cleveland Indians sold the name of the stadium to Progressive Insurance. Progressive agreed to a deal worth nearly $58 million over 16 years. That seemed like a sweet deal, except Progressive laid off more than 340 people in November of 2007. Smack in the middle of negotiations to finalize the rights.
Progressive said they were facing plummeting stock prices, profits were decreasing and clients were moving to competitive companies. At the time Progressive was the third-largest auto insurer, and they were falling apart. The “reduction in force” was supposed to trim the fat. That “fat” was simply transferred from paying the workers, to paying the Indians.
First Energy did the same thing, ironically also in the month of November. The company laid off 142 employees, 56 in the Summit County area. First Energy, in announcing the layoffs, said it would perform “an organizational study to determine how its work force should be aligned to best meet the challenges of the continued weak economy.” What they didn’t say was that study would include how to best spend the money saved by eliminating workers.
It was a business move, as company CEO’s like to say. Nothing personal. Yet to the 340 Progressive workers who lost their jobs just prior to Christmas, and the 142 for First Energy the feeling was very different. They celebrated the Holidays worrying about how they would make ends meet for their families while the company could enjoy the naming rights to a sports play field built on tax payer money for millionaires.
We are in an age where companies want to place their name on a stadium just for the prestige. It’s constant advertising to have the Super bowl held at “Lucas Oil” stadium, or the World Series at Comerica Park in Detroit. The announcers state the name of the park over and over again, giving out free advertising like they get paid every time they say it. Maybe they do.
Companies refuse to hire people, are upset about the economy and say they have no idea where taxes are going. They use these tactics as a ploy to pocket their money and not use it to invest in their own business. Then use that excuse to fire employees. Those excuses fall by the wayside when they pony up the money to buy the naming rights to a stadium.
What’s amazing is First Energy even needing naming rights. After all it is a public utility and most have no choice but to purchase their electric through them. Extra advertising means nothing, except when they want goodwill. Yet First Energy, in the middle of finishing up repairs from Hurricane Sandy, still fired people. They had no concern over the lengthy time people went without power. What they should have done, if they have any concern over their name and the community, is put the extra money into the manpower, not into a stadium.
Meanwhile we have stadiums named after banks the government bailed out and insurance companies that received stimulus money. Let’s go back to ball parks being named after people or landmarks. Ebbets Field, Dodger Stadium, Tiger Stadium. Even when a stadium was named after a company it was because that company owned the team. Wrigley Field, Busch Stadium and Jacobs Field.
Honestly fans don’t care what the stadium is named. People still say they are going to the “Jake” to see the Indians play. They call the stadium on the lake Browns Stadium. Municipal stadium, before it was torn down, was always called the “old stadium.” Nobody says “I’m going to Progressive field tonight”, or “let’s see the Browns play at First Energy field.” Even the arena in Cleveland is called the “Q”.
Joe Banner, in announcing the new name said, “It’s great to not only have partners who are going to be financial partners, but also big fans.”
These teams should remember that. Companies that buy naming rights by laying off people mean less fans to purchase tickets.
But it’s business. It’s not personal.
Dave Mitchell co-hosts with Mark Donahue the UST talk show “Ohio Baseball Weekly,” highlighting the Cleveland Indians and Cincinnati Reds. The Show will return in March, 2013.
