Azerbaijan, Baku, 17 January / corr Trend A.Badalova / EMI, one of the biggest record companies of the world, intends to cut its employee by approximately 2,000 people so as to decease the company's expenses. EMI concluded the last fiscal year which ended on 31 March 2007, with a loss of over 263mln GBP.
Andrew Edgecliffe-Johnson, media editor of the British daily Financial Times (FT), informed Trend on 17 January that many employees and managers of actors are concerned on rapid and tremendous changes in the company and consider that they had hurt EMI's work with actors.
Guy Hands, a new owner of the company, EMI had many employees since 1990, the period when the audio cassettes and vinyl records were pushed off by the laser CDs, bringing many profits to the musical industry.
EMI with the personnel of 4,500 people consists of many different studios, including Capitol, Virgin, Parlophone and Blue Note. Each of them has its own marketing, incomes and staff
"Hands hope that while cutting the jobs and establishing the small marketing team of lawyers and financiers, the employees directly working with actors will not suffer at EMI Center," Edgecliffe-Johnson said. These are the people from the so-called "A& R" department or 'actor and repertoire' (consulting the musicians on the style of music performed and the image).
A new owner of EMI thinks that the company's activities out of the UK and the United States are more profitable. However, it did not comment upon the plans of expanding EMI's presence at the markets in the Asia and CIS countries. "Any activities in these markets [Asia and CIS countries] will more probably focus on A& R, whereas the marketing and incomes of the company will be left in London and the United States," Edgecliffe-Johnson said.
Amid unsuccessful sale of musical discs issued by EMI in the North America over the past period, the British company is obliged to pass the sale of the digital files to the Internet shops.
The company owns rights for recording the songs by Beastie Boys, Norah Jones, SpiceGirls, Coldplay, Rolling Stones and Kylie Minogue. In connection with the cut in the staff, Robby Williams state on intentions of passing through the issue of an album with the label. Last year, Paul McCartney refused from the cooperation with the label.
In August 2007, the new owner of the records company, become a private investor in the company Terra Firma.