Photo by Alexey Ruban on Unsplash
Warner Music To Lay Off 600 Employees
February 8, 2024
Warner Music is laying off 600 employees, or about 10% of its workforce. The company said the layoffs are part of a broader restructuring plan to save costs, invest in more music, and accelerate the company’s growth.
The layoffs can save the company $200 million by the end of fiscal 2025. Company CEO Robert Kyncl shared the information with employees on Feb. 6.
According to a letter obtained by Variety, Kyncl wrote of the company’s plans to “free up more funds to invest in music and accelerate our growth for the next decade.” He said the company had to make “thoughtful choices about where we put our people, resources, and capital.”
Warner Music to Lay Off 10% of Staff https://t.co/zbfD36Jca8
— Variety (@Variety) February 7, 2024
“Our plan includes reducing our workforce by approximately 10%, or 600 people — the majority of which will relate to our Owned & Operated media properties, corporate and various support functions,” Kyncl wrote.
He added that many of the impacted employees have already been notified. The remainder will be told by the end of September 2024.
While Kyncl called the news “unsettling,” he offered good wishes for those employees leaving the company. He shared a “heartfelt thank you” for the affected workers’ dedication and hard work and said that Warner Music was fortunate to have them on its team. He also claims the company will support those affected employees during the transition.
Along with the staff cuts, Warner Music plans to sell its news and entertainment websites Uproxx and HipHopDX. The company has also chosen to “wind down” on the podcasting brand Interval Presents and social media publisher IMGN.
With all the abovementioned cuts, Warner Music plans to deliver on three priorities. The first is to grow engagement with music by discovering and developing new songwriters. The second is increasing the value of music by evolving how artists connect with their most passionate fans. Finally, Warner Music plans on working internally on how it grows as a company and making music the center of its business.
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