Vince McMahon will step down during WWE misconduct probe

Daughter Stephanie will take over, although he continues to oversee the organisation's creative content during the investigation

Vince McMahon is voluntarily stepping back from his roles as chief executive and chairman at WWE. AP

Vince McMahon is stepping down as chief executive and chairman of World Wrestling Entertainment during an investigation into alleged misconduct.

McMahon will continue to oversee WWE’s creative content during the investigation, the organisation said on Friday, and named McMahon’s daughter, Stephanie, as interim chief executive and chairwoman.

The Wall Street Journal reported on Wednesday that WWE is investigating an alleged $3 million payment from McMahon to a departing female employee following a consensual affair.

“I have pledged my complete cooperation to the investigation by the special committee and I will do everything possible to support the investigation," McMahon said in a prepared statement on Friday. “I have also pledged to accept the findings and outcome of the investigation, whatever they are."

The employee, hired as a paralegal in 2019, has a separation agreement from January preventing her from discussing her relationship with McMahon or disparaging him, the Journal reported.

The board’s investigation, which started in April, found other nondisclosure agreements involving claims by former female WWE employees of misconduct by McMahon and John Laurinaitis, the head of talent relations at WWE, the Journal reported.

The WWE is also investigating actions by Laurinaitis.

Outside of the investigation, WWE said the company and its special committee will work with an independent third-party to perform a comprehensive review of the work environment at the organisation.

McMahon has been the leader and most recognisable face at WWE for decades.

When he purchased what was then the World Wrestling Federation, from his father in 1982, wrestling matches took place at small venues and appeared on local cable channels.

WWE matches are now held in professional sports stadiums and the organisation has a sizeable overseas following. It has a broadcast partnership with Saudi Arabian media company MBC Group and performs live pay-per-view shows in Saudi Arabia each year.

The organisation underwent a seismic transformation under McMahon with events like WrestleMania, a premium live production that draws millions of fervent viewers.

Revenue last year exceeded $1 billion for the first time and the company has television deals with Fox and NBCUniversal. Last month it announced a multi-year expansion of its original programming partnership with A&E.

WWE stars have become crossover sensations, including Hulk Hogan, Dwayne “The Rock” Johnson, “Stone Cold” Steve Austin and John Cena.

Stephanie McMahon, who will take over at least temporarily as the leader of WWE, announced last month that she was taking a leave of absence from the most of her responsibilities at the organisation. She had been serving as the company's chief brand officer.

Her husband, Paul Levesque, who wrestled under the name Triple H, announced in March that he was retiring from wrestling due to a heart condition. Levesque serves as WWE's executive vice president of strategy and development.

“I have committed to doing everything in my power to help the special committee complete its work, including marshaling the cooperation of the entire company to assist in the completion of the investigation and to implement its findings,” she said.