(New York) The American group Warner Music, one of the world’s major music majors, will cut 10% of its workforce, or 600 jobs, via its media subsidiaries, as part of a cost reduction plan. 200 million dollars, its CEO announced Wednesday.
In a memo to employees made public, Robert Kyncl assured that this “plan aims to free up funds to reinvest in music and accelerate our growth for the next decade” and “the majority of these savings will be reinvested”.
“The plan includes a reduction in the workforce of approximately 10%, or 600 people, the majority within our media properties, at headquarters and in various support functions,” he adds.
The group, one of the three music giants with Sony and Universal, notably ensures that it has entered into “exclusive negotiations for the possible sales of the information and entertainment sites Uproxx and HipHopDX”.
Robert Kyncl also explains that he has decided to “end the podcast brand Interval Presents and the social media publisher IMGN”.
The major is today owned by the Access Industries fund of Anglo-American billionaire Len Blavatnik, who bought it in 2011 for $3.3 billion.
Its catalog includes, among hundreds of artists, Ed Sheeran, Cardi B, Christine and the Queens, but also Eric Clapton, Gorillaz, Missy Elliott, Phil Collins and even Madonna’s old albums.
The major owns and operates some of the most well-known labels, including Atlantic Records, Elektra Records, Warner Records and Parlophone.
It also owns the world’s leading music publisher, Warner Chappell Music. The group also announced in 2022 that it had purchased the rights to all of David Bowie’s work, for a sum of $250 million according to media reports.