Post by Auset on Oct 17, 2003 9:59:52 GMT -5
Universal Music will cut 1,350 jobs in an attempt to save $200 million a year to make up for a slump in music sales.
Universal, the world's largest record company, already cut 550 jobs worldwide and plans to cut another 800, with 190 of them in North America. The cuts will start this week and go into 2004.
"Like all responsible companies, Universal Music Group is continually evaluating its business in order to maintain the most efficient and competitive music company in the industry and be well-positioned for the future," Universal said in a statement.
The cuts come during a three year industry wide industry "crisis," which record companies blame on the internet and CD burning.
"UMG is in the process of instituting significant cost-cutting initiatives that take into account the realities of the declining music market to further rationalize the company's cost structure around the world," it said.
Universal Music Group houses such hit acts as Eminem, 50 Cent, Ja Rule, Ashanti and others. UMG consists of record labels Decca Record Company, Deutsche Grammophon, Interscope Geffen A&M Records, Island Def Jam Music Group, Lost Highway Records, MCA Nashville, MCA Records, Mercury Records, Motown Records, Philips, Polydor, Universal Records, and Verve Music Group.
Universal, the world's largest record company, already cut 550 jobs worldwide and plans to cut another 800, with 190 of them in North America. The cuts will start this week and go into 2004.
"Like all responsible companies, Universal Music Group is continually evaluating its business in order to maintain the most efficient and competitive music company in the industry and be well-positioned for the future," Universal said in a statement.
The cuts come during a three year industry wide industry "crisis," which record companies blame on the internet and CD burning.
"UMG is in the process of instituting significant cost-cutting initiatives that take into account the realities of the declining music market to further rationalize the company's cost structure around the world," it said.
Universal Music Group houses such hit acts as Eminem, 50 Cent, Ja Rule, Ashanti and others. UMG consists of record labels Decca Record Company, Deutsche Grammophon, Interscope Geffen A&M Records, Island Def Jam Music Group, Lost Highway Records, MCA Nashville, MCA Records, Mercury Records, Motown Records, Philips, Polydor, Universal Records, and Verve Music Group.
