The Guthrie Theater is enacting wage freezes, work furloughs and layoffs in response to an anticipated 14 percent drop in revenue in the coming year.
The Guthrie, based in Minneapolis, is cutting its budget by $3.9 million in its new fiscal year, which begins April 1.
Artistic Director Joe Dowling is taking a 10 percent pay cut, while senior administrative staff members are taking a 5 percent cut.
Dowling says union workers have agreed to salary freezes, while non-union staff will be taking a week's furlough.
"We will be making a reduction in force - our staff knows that. We're currently sorting through where those cuts can be made as sensitively and as humanely as possible, and we're also looking at what are the needs," said Dowling.
Dowling expects the cuts will be made on a gradual basis in the coming months.
The Guthrie Theater is the latest of several major arts organizations in the Twin Cities to announce budget cuts due to steep declines in their endowments and anticipated revenue shortfalls.