Advertisement

Company Town

MCA Restructures, Plans Job Cuts

June 05, 1997|CHUCK PHILIPS

Seagram-owned MCA Records began a restructuring plan Wednesday that will result in the net loss of about a dozen jobs, sources said.

Under the long-rumored reorganization, 23 employees will lose their jobs due to cost and efficiency-driven cuts in the support staff and administration and promotion departments.

The Universal City-based label, which has had several hit albums in recent months, is expected to expand its marketing and artist and repertoire sectors by hiring 12 employees before the end of the summer.

Sources said the restructuring was in the works for months and was not imposed on the company as a result of poor financial results. Indeed, sources said MCA, which put out hits recently by Sublime, Live and Mary J. Blige, satisfied its financial projections last year.

The restructuring follows by a few days the firing of 20 employees at Geffen Records, which also is owned by Seagram. The cuts at Geffen were the result of poor financial performance this year.

Advertisement
Los Angeles Times Articles
|
|
|