Ugly Betty axes two producers
This is not the first time significant changes were brought to the show between seasons. Five writers were released from the show between its first and second seasons.
Since Ugly Betty still has three executive producers left (series creator Silvio Horta, Salma Hayek and Jose Tamez), I can only guess that they were getting rid of dead wood. I doubt it will affect the quality of the series since this sort of thing happens in television and movies all the time. ABC has not confirmed the departures, but someone is going to notice it eventually.
It's amazing how the politics work behind a television show. I suspect it's very soap opera, much like the show Ugly Betty itself.