Layoffs Are Underway at Universal Music Group

The layoffs and restructuring at the Universal Music Group have begun to take place, multiple sources tell Billboard.

As part of the new structure, several top executives have been laid off, Billboard can confirm. Interscope Geffen A&M president of promotion Brenda Romano is among those to have been let go, as well as Interscope’s executive vp/head of media strategy and communications Cara Donatto and senior VP of A&R Nick Groff and Def Jam executive vp of media and brand strategy Gabe Tesoriero.

So far, Billboard has confirmed almost 50 layoffs across UMG labels, including Interscope, Republic, Capitol, Def Jam and Island, as well as at catalog division Universal Music Enterprises and in UMG corporate, though the total number is far higher. Def Jam executive vp of promotion Noah Sheer, Interscope executive vp of promotion Chris Lopes, Capitol executive vp of global marketing Mike Sherwood and UMe head of promotion Jamie Hartley have also been let go.

The layoffs began shortly after Universal wrapped up its fourth quarter earnings call Wednesday, during which chairman/CEO Lucian Grainge confirmed a long-rumored “strategic organizational redesign” that would result in “reduced headcount” and “efficiencies.” A UMG spokesperson declined to say how many staffers would be affected by the cuts, but the company told investors that it expected to realize $271 million in annual savings by 2026 through the move. Universal saw $12 billion in revenue in 2023, and reaped a net profit of $1.37 billion.

The layoffs had been in the offing since last October, when Grainge mentioned that UMG would need to “cut to grow” in a Q3 earnings call, then said in a January New Year’s memo to staff that despite UMG being the “most successful company in the history of the music industry,” the company would “further evolve our organizational structure to create efficiencies in other areas of the business, so we can remain nimble and responsive to opportunities as they arise, while also taking advantage of the benefits of our scale.”