Universal Music Group is in the final stretch of a cost-cutting program it announced back in 2024, and this week the cuts reached the corner offices. UMG told staff internally on October 14 that a group of senior executives would be leaving their current posts, including Def Jam Recordings chairman and CEO Tunji Balogun, Polydor president Ben Mortimer, and two of the top A&R executives at Interscope Geffen A&M. A day later, the restructuring reached MCA in Nashville.
Who is leaving
Balogun will finish out the year at Def Jam before exiting. At Interscope Geffen A&M, Sam Riback, co-president and head of pop/rock A&R, and Nicole Wyskoarko, president and head of urban A&R, are both leaving their posts. In the UK, Mortimer is stepping down as president of Polydor Label Group, and Hannah Neaves, president of UMRecordings UK, is moving into a consultancy role. Rebecca Allen, chief artist and strategy officer at UMG UK, announced she is stepping away after 27 years with the company. Mark Crossingham is leaving as managing director of UMG Ireland, Ivo Sacchi is leaving his role running UMG in Switzerland and Austria, and Republic Records CEO Jim Roppo is expected to join Warner Records as vice chairman, according to Billboard's sources.
In Nashville, MCA's October 15 departures included COO Rob Femia and SVP of promotion and regional marketing Miranda McDonald.
Some executives are moving up. Mercury's Tyler Arnold and Republic Collective's Jeffrey Remedios are taking on new leadership roles at Republic Records. Island co-CEOs Imran Majid and Justin Eshak get a wider remit, Laura Carter, Ramon Alvarez-Smikle, and Michelle An take broader roles at Interscope Geffen A&M, and Nick Younger takes over UMG Ireland.
The plan behind the cuts
All of this traces back to February 2024, when UMG announced a plan to cut €250 million, roughly $270 million, in annual costs through a mix of headcount reduction and operational efficiencies. CFO Matt Ellis said in March that UMG was on schedule, with €90 million in savings achieved in 2025, another €40 million to €50 million expected in 2026, and €35 million to €45 million more benefiting 2027. Before the US and UK changes, Universal Music Canada let go of about 6% to 7% of its workforce in late September, and headcount was also reduced in certain divisions in Germany.
UMG's statement leaned on the future: "We're bringing in new skills and technology and connecting expertise across our teams to deliver greater global impact and greater efficiency."
Why the pressure is on now
The money side explains the timing. UMG's share price is down nearly 33% this year, and it hit an all-time low of €13.93 on September 10. The company's adjusted EBITDA margin was 20.5% in Q2 2026, down from 22.7% a year earlier, partly because the $775 million Downtown Music Group acquisition dilutes margins in the short term. "They're feeling a bit of pressure to show investors that they can manage the business efficiently," a TD Cowen financial analyst told Billboard. Several UMG labels and its publishing arm had already been told to hold off on unnecessary spending for the rest of the year. At the same time, UMG is expected to rehire for multiple positions in different areas.
What it means for independent artists
Fewer senior A&R seats at the biggest label group in the world means fewer people with the power to sign and champion new acts, at least for a while. That makes the independent route, building an audience first and negotiating later, even more important.
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Do cuts at the majors make a label deal feel more or less attractive to you right now?
