Possibly keen to prove that the biggest major record company can restructure and downsize just as well as the smallest, Universal Music yesterday announced internally a new round of corporate rejigging and workforce cutbacks. A number of senior execs are departing as part of the latest restructure, including Def Jam CEO Tunji Balogun in the US and Polydor President Ben Mortimer in the UK.
Universal previously told investors in 2024 that it would implement a two year “strategic organisational redesign” that would result in around €250 million in annual savings by the end of 2026. It’s thought these cuts are the final phase of that “redesign”.
Like with mini-major Warner Music, which has been most prolific when it comes to cutbacks in recent years, Universal is keen to stress that the restructuring isn’t just about saving money. Although it’s presumably mainly about saving money. But it’s also about a change of focus, with some parts of the business growing while others contract.
“We’re bringing in new skills and technology and connecting expertise across our teams to deliver greater global impact and greater efficiency”, the Universal corporate speak machine declared when asked to say something about the latest restructuring.
Then when someone pressed the “add some compassion” button, the machine spluttered on, “where we have made the difficult decision to remove certain roles, we are deeply grateful for the contributions of the people leaving us”.
Mortimer is departing Universal UK after eighteen years with the major, ten of them as President of the Polydor label and the last two years heading up the expanded Polydor Label Group. Jodie Cammidge will lead Polydor Records until a new label President is appointed, with support from Jo Charrington, who is President of the Capitol label, which is part of the Polydor Label Group.
Elsewhere in the UK division, Rebecca Allen had already announced she is leaving after 27 years with the company, most recently as Chief Artist And Strategy Officer. Hannah Neaves, President of catalogue division UMRecordings UK, is also departing. Though both Allen and Neaves will continue to work with the major in a consultancy role.
Over in Ireland, Mark Crossingham is stepping down as Managing Director of Universal’s Irish business after 30 years with the company. He will be succeeded in that role by his longtime colleague Nick Younger.
Commenting on all these changes, overall Universal UK boss Dickon Stainer says the restructuring will “enable us to drive the next wave of industry creativity and innovation”, and is “designed to place an even greater focus on delivering international opportunities for artists and their catalogues, and to set us up for ongoing future success”.
“Regrettably, as part of these changes”, he adds, “there are some valued colleagues in several departments who have been informed that they will leave the company. I would like to thank each of them for their significant contributions”.
In the US, alongside Def Jam CEO Balogun, also exiting are two senior execs within the Interscope Geffen A&M division, Head Of Urban A&R Nicole Wyskoarko and Head of Pop/Rock A&R Sam Riback.
Meanwhile Republic Records CEO Jim Roppo is jumping ship to become Vice Chairman over at Warner Records Group, with the mini-major actually announcing a few senior appointments in recent weeks rather than the usual departures.
He says of his new job, “I’m excited to join Warner Records at such an important moment, with undeniable momentum across the roster. My focus has always been on backing great music and helping teams win, and I look forward to bringing that to Warner”.