Michigan to pay Warde Manuel more than $7 million as part of buyout

The University of Michigan will pay departing athletic director Warde Manuel more than $7 million to no longer work for the Ann Arbor-based school, according to the terms of a buyout.

The buyout also notes U-M will continue to provide Manuel’s health care and retirement benefits, offer him tickets and golf perks and release him from a contractual requirement to pay the school millions of dollars for leaving his role early.

The agreement is part of broader changes for the Wolverines, coming on the heels of a $12 million private law firm investigating the culture of the department after Manuel fired ex-football coach Sherrone Moore in connection to lying about having an affair with his executive assistant, Paige Shiver.

The university provided a copy of the agreement to the Free Press on Monday, in response to a request made under the Michigan Freedom of Information Act. It’s dated July 17, one day after the university Board of Regents met in Traverse City and did not publicly discuss Manuel’s future or the law firm’s investigation of the athletics department.

A university spokesman did not immediately respond to questions sent Monday morning.

U-M President Domenico Grasso announced Manuel’s departure on July 20. He praised Manuel’s tenure at Michigan. The school’s published account that it describes as a summary of the private law firm’s investigation both heralded and chided Manuel.

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“The culture review found that Warde Manuel demonstrated important leadership strengths, particularly his commitment to student-athletes. At the same time, it identified failures to quickly and effectively act on allegations of wrongdoing by athletic department employees,” the summary states.

Before this time, Manuel publicly indicated he had no plans to leave. But there are multiple signs the agreement was likely in the works for some time before it was signed.

In Manuel’s current contract, it says he needs to give the university six months notice before voluntarily leaving. His buyout also states, “Mr. Manuel acknowledges that he has been given at least twenty-one (21) days to review and consider this agreement before signing it; that if he signs it before that time has elapsed, he has knowingly andvoluntarily chosen to do so.”

The buyout promises U-M will pay Manuel $7,143,346 within 21 days of his resignation. He is set to resign Dec. 31, 2026. He’ll continue to work in a special role until then, still receiving pay and benefits before his buyout.

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Manuel is also set to receive $108,000 in his school-provided retirement fund, $82,000 in attorneys fees and “sports tickets and golf privileges consistent with the privileges provided to other former athletic directors.”

The school hired Manuel, who played football at U-M, in 2016. He signed a five-year contract extension in December 2024 with a $1.9 million base salary and $350,000 annually in deferred payments.

This contract also states if Manuel voluntarily decides to resign before July 1, 2028, he would need to repay the university double his current salary. That’s almost $4 million. But his buyout indicates this term of his contract “shall not apply.”

The university promised to conduct a national search for a new athletics director.

Despite the announcement of Manuel’s departure and the school releasing snippets of what it describes as the law firm’s findings, there is more to come related to the athletic department’s culture.

The university refused to release documents or the complete findings of the law firm’s investigation, saying they are protected by attorney-client privilege and providing them publicly may lead to negative consequences, including retaliation against witnesses.

Shiver and her lawyers sued the school, arguing they are violating Michigan open records laws but withholding the documents.

Staff writer Tony Garcia contributed to this report.

Dave Boucher is an investigative reporter at the Detroit Free Press. Reach him at dboucher@freepress.com.

This article originally appeared on Detroit Free Press: Michigan to pay Warde Manuel more than $7 million as part of buyout