In a move that’s shaking up the music industry, Atlantic Music Group has announced another round of staff layoffs as part of its ongoing reorganization efforts. CEO Robert Kyncl shared the news with employees via a memo on Thursday, September 19. While the exact number of affected employees wasn’t disclosed, sources close to the situation told Billboard that between 150 and 175 staff members will be let go.
Notable executives being let go include Margo Scott, executive vice president and head of business & legal affairs at 300 Elektra Entertainment; Chris Brown, executive vice president at Elektra Entertainment and co-head of Roadrunner Records; Katie Robinson, head of marketing for Elektra Entertainment; Adam Abramson, head of sales & streaming at Elektra; and Aimee Vaughan-Früehe, executive vice president and head of promotion and streaming at 300 Elektra.
Additionally, several high-profile figures from Atlantic Records will be exiting the company. This includes Michael Kyser, president of Black music; Paul Sinclair, general manager and executive vice president; Grace James, executive vice president and head of marketing; and Sheila Richman, executive vice president of press and media strategy.
“I want to acknowledge the hard work, passion, and creativity of everyone across Atlantic, 300, and Elektra,” Kyncl expressed in the memo obtained by Billboard. “In particular, I want to thank the people who will be leaving us. You’ve made an indelible mark on this company and the careers of the extraordinary artists you’ve championed. Words never cut it in these situations, but we’re forever grateful for all your contributions and achievements over the years.”
Major Changes Ahead for Atlantic Music Group
The announcement follows the news that 10K Projects founder Elliot Grainge will take over as CEO of Atlantic Music Group starting October 1. As part of the restructuring, 10K will fall under the Atlantic Music Group umbrella, joining Atlantic Records, Elektra, and 300. Veteran executive and long-time leader Julie Greenwald will also be departing the company.
Kyncl’s memo hinted at a new structure for the label group to be revealed next week, underscoring his vision for a “flatter structure” at Warner Music Group, which he has been spearheading since becoming CEO in early 2023.
A Year of Turbulence for Warner Music Group
This latest wave of layoffs marks the fourth round of cuts across the Warner Music Group family in the last 18 months. Earlier this year, WMG laid off about 4% of its staff, totaling around 270 people, including many at Atlantic. The company also implemented a 10% cut in February, affecting media properties like Uproxx and HipHopDX, as well as some corporate roles. A smaller layoff in the same month saw two dozen employees let go from the radio and video departments at Atlantic.
As the music industry grapples with the challenges of a fiercely competitive market, Atlantic Music Group is not alone in making tough decisions. Universal Music Group and Sony Music have also made significant adjustments to their structures, including layoffs, although not to the same extent as Atlantic.
The Road Ahead
As Atlantic Music Group gears up for a new era under Grainge’s leadership, the company’s reorganization efforts reflect a broader trend in the industry as labels navigate rapid changes and strive to remain competitive. For the employees affected by this latest round of layoffs, Kyncl assured that the company is committed to supporting them through this transition.
“We wish you the very best and know that you will continue to do great things in your next chapters,” Kyncl said in his closing remarks. The industry will be watching closely as the dust settles and Atlantic unveils its new leadership structure in the coming days.
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