Warner Music Group announced an expanded restructuring plan on September 19, 2024, which includes reducing its workforce by approximately 750 employees. This represents 13% of its total headcount, an increase from the previously planned 600 layoffs, or 10% of the workforce.
The majority of these job cuts will impact the company's media properties, including its in-house advertising sales, as well as various support functions. This strategic move aims to streamline operations and free up capital for reinvestment in core music businesses.
WMG now anticipates achieving pre-tax cost savings of about $260 million, a notable increase from its earlier estimate of $200 million. The company expects to realize most of these savings by the end of fiscal year 2025 and incur approximately $180 million in total pre-tax charges associated with the plan by the end of fiscal year 2024.
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