I wonder how "budget driven" this decision actually is? Looking at the weekend schedule, it doesn't seem hard to find a place for Lovell without sacrificing the paid programming 'BZ has on those evenings. Is it really necessary for them to have twelve and a half hours of Jordan Rich on the weekends? Granted, he's now simulcasting on WCCO, but that doesn't kick in until 2AM Eastern/1AM Central. They could give Lovell an hour on Saturday nights (say 11-midnight) and cut the Rich show by an hour.
Another option would be to replicate what they did on Sunday nights during the 90s when they had Neil Chayet on until 11PM, followed by Norm Nathan for two hours, and then Bob Raleigh's Sunday-Monday shift started at 1AM instead of midnight. Today, you'd have Lovell on for an hour from 10-11, then Jordan until 1AM, and the Steve LeVeille Broadcast for the rest of the overnight. Or, they could scuttle the Sunday edition of the Jordan Rich Show entirely, and give Lovell the 10-midnight slot.
With any of these scenarios, you bring better resolution to an emerging PR problem without sacrificing any revenue. . .I can't imagine it would cost them that much more to give Lovell an extra half hour, live.
That said, its entirely possible that 'BZ is looking to cut back on Jordan's time in order to add more paid programs, particularly late Saturday night-early Sunday morning, and perhaps more likely, the Sunday evening show.
Perhaps Peter Casey (and/or CBS Radio) just feels that Lovell, as a broadcaster, has "jumped the shark" and isn't capable of producing a quality live show from week to week?