A sparsely inhabited workplace. Image Credit: Jason Goodman
Following adequate speculation– and about 6 weeks after validating a team-size decrease– Universal Music Group (UMG) has actually moved on with significant layoffs.
The significant label’s workers lowerings started on the heels of the Wednesday release of its Q4 and full-year profits report, which, as we kept in mind, recognized anticipated “tactical organizational redesign” cost savings of $270.93 million (EUR250 million) by 2026.
Needless to state, offered the cost savings figure, that revamp– including a “basic headcount decrease” in the very first stage and a 2025 second-phase “mix of additional ex-US headcount decrease and other functional performances”– will incorporate a substantial variety of layoffs when all is stated and done.
It stays uncertain exactly how lots of people and functions the round will eventually reach; appropriate e-mails, LinkedIn posts, and other social-media updates from affected specialists are couple of and far in between at present. That’s probably due to stringent guidelines in location developed to avoid the general public disclosure of perhaps delicate info, with severance bundles apparently connected to assurances of privacy.
Nevertheless, we aren’t without information about the Universal Music layoffs. One of the couple of LinkedIn posts penned by an impacted (now-former) UMG group member recommends that the cuts have actually extended to the company’s little-discussed Bravado merch subsidiary, and especially its social-media personnel.
Next, the Chord Music Partners stakeholder formerly explained a reorganization strategy fixating expanded functions for Republic’s Monte Lipman (in New York) and Interscope Geffen’s John Janick (based out of LA). And with the existing layoffs focusing on this retooled structure– Janick revealed a number of Capitol Music Group consultations in early February– a bulk of the axed positions are stated to include staff member in the west.
According to Range“lots of lower-level workers have actually been released,” with executives consisting of almost three-decade Interscope promo president Brenda Romano, Chris Lopes (Interscope’s promo EVP of about 26 years), Interscope interactions higher-up Cara Donatto, and over 20-year Def Jam EVP of media and artist relations Gabriel Tesoriero apparently leaving.
At the time of this writing, these officers didn’t appear to have actually upgraded their LinkedIn profiles to show the reported end of their association with the business. Larger image, UMG is, naturally, barely alone in cutting the size of its group– with Spotify BMGand a range of others in the market having likewise carried out cost savings programs since late.
Warner Music Group (following numerous 2023 layoffsis presently minimizing its headcount by 10 percent and aiming to unload HipHopDX along with Uproxx. (On the other hand, Universal Music just recently took a stake in Complex) Last month, the uncomfortable scaling down produced approximately 2 lots Atlantic Music Group layoffs