The radical overall of EMI post the arrival of new owners Terra Firma continued yesterday with the announcement EMI Music UK top man Tony Wadsworth was "stepping down".
In a short statement, the major said Wadsworth's departure was "part of the ongoing restructuring of EMI Music". Terra Firma boss Guy Hands added: "We would all like to thank Tony for his tremendous contribution to EMI over the years and to wish him well for the future".
The former UK chief's A&R role will be taken over by Roger Ames, the former Warner Music chief who has been head of EMI Music North America since April last year. Wadsworth's more operational responsibilities will be taken over by Mike Clasper, the former airports chief who joined EMI's 'investor board' last November, and who has already assumed the responsibilities of EMI Music's COO Ian Hanson who departed last month.
It is unclear if Wadsworth's departure was caused by professional or personal clashes with the new top guard at the major, possibly over their probably radical restructure plans, or whether it is part of Hands' attempts to reduce the costs of senior management. Such costs are often high at major record companies because of their tendency to have highly paid senior execs at the top of their regional divisions, their operational divisions and their different label divisions, which is arguably more levels of senior management than is really necessary.
If reducing excessive manpower at the top of the organisation is one of Hand's priorities, then we can probably expect to see further integration of the major's label divisions - EMI Records, Parlophone and Virgin in the UK - where there is arguably still some duplication in non-frontline activity.
Hands is arguably right to thin out the expensive senior management level at his record company, especially if he is planning on bringing in expertise from outside the old school record industry which will add to the wage bill. The risk, of course, is that the 'artist relationships' which Hands is seemingly so keen to capitalise on actually exist less between said artists and EMI and more between artists and specific EMI execs. The challenge for Hands is to streamline his executive costs without losing too many valuable personal relationships with artists.
Wadsworth had been with EMI since 1982, rising up the Parlophone division before being EMI Records UK President in 1998 and then CEO of EMI Music UK in 2002. He is currently chairman of UK record label trade body the BPI. It remains unclear whether his departure from EMI will effect that role.