Warde Manuel Will Be Paid $7 Million Buyout After Stepping Down As Michigan’s Athletic Director

Warde Manuel is stepping down as the athletic director at the University of Michigan at the end of 2026. This exit comes with a significant financial agreement. Manuel will receive a buyout totaling more than $7 million, along with an additional retirement contribution of $108,000. The university has also agreed to cover $82,000 in his legal fees and will maintain his full retiree health benefits, waiving the standard 20-year service requirement.

The financial terms are part of a settlement that includes a non-compete clause. Manuel is barred from holding the position of athletic director or senior athletic adviser at any other Big Ten institution for the next two years. Despite the departure, he will transition into a role as a special advisor to the university president to assist with planned reforms in the athletic department.

This decision follows a university-commissioned investigation conducted by Jenner & Block. The findings indicated that Manuel failed to act quickly or effectively regarding allegations of misconduct by various employees within the athletic department. This leadership review occurred against the backdrop of multiple controversies during his tenure, including investigations into football recruiting violations, an illegal sign-stealing scheme, and the conduct of former coaches across multiple sports.

While Manuel prepares to leave the director post, the university faces a mandate to restructure its oversight operations. President Domenico Grasso tasked Manuel with helping to implement changes such as strengthening the compliance office, formalizing investigative policies, and improving the reporting structure for personnel concerns. The university aims to address a history of internal challenges that have impacted the reputation of the program over the past several years.