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Cuts crimp L.A.'s music business further.


When April Milek got laid off from Rhino Records last month, she was left with a generous severance package A severance package is pay and benefits an employee receives when they leave employment at a company. In addition to the employee's remaining regular pay, it may include some of the following:
  • An additional payment based on months of service
 and time to reconsider her career path.

"I haven't looked at other labels yet," said the four-year Rhino employee. "I'm looking in a new direction. I still feel there are a lot of opportunities in the music industry, but record labels need to restructure themselves. They haven't quite figured out how to make money out of the new technology."

No group tracks record industry employment in Los Angeles Los Angeles (lôs ăn`jələs, lŏs, ăn`jəlēz'), city (1990 pop. 3,485,398), seat of Los Angeles co., S Calif.; inc. 1850. , but as the big labels consolidate, hundreds of people throughout the region have been laid off and forced to wonder if there is a future in the business.

Already lagging music industry centers in New York New York, state, United States
New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of
, London and Nashville, Tenn., L.A.'s position has been aggravated by the latest round of cuts, which have further hurt the area's employment base.

Local music industry jobs peaked at 11,446 in 2000, according to according to
prep.
1. As stated or indicated by; on the authority of: according to historians.

2. In keeping with: according to instructions.

3.
 the Los Angeles County Economic Development Corp. The next year, they fell by nearly 10 percent. More recent figures are not available, but it's widely believed that the decline has only gathered steam.

"It's probably gone down since then because of bad times in the recording industry," said Jack Kyser, chief economist The Chief Economist is a single position job class having primary responsibility for the development, coordination, and production of economic and financial analysis. It is distinguished from the other economist positions by the broader scope of responsibility encompassing the  at the EDC EDC

See: Export Development Corp.
. "(2000) was the last gasp."

Last month, EMI (ElectroMagnetic Interference) An electrical disturbance in a system due to natural phenomena, low-frequency waves from electromechanical devices or high-frequency waves (RFI) from chips and other electronic devices. Allowable limits are governed by the FCC.  Group PLC cut 1,500 jobs worldwide as part of a decision to outsource manufacturing operations Manufacturing operations concern the operation of a facility, as opposed to maintenance, supply and distribution, health, and safety, emergency response, human resources, security, information technology and other infrastructural support organizations. , and Warner Music Group Warner Music Group (WMG) is one of the four major record labels.

Warner Music Group also has a publishing arm, Warner/Chappell Music, which dates back to 1929, when Jack Warner, president of Warner Bros. Pictures Inc.
 combined the business divisions of its Elektra and Atlantic labels, laying off hundreds in the process.

EMI's cuts followed an earlier round in 2002, when it initiated 1,900 layoffs worldwide. Also in 2002, Virgin Records moved from Beverly Hills to New York, causing further job losses.

The moves come as the industry grapples with three straight years of declining sales, increasing CD burning on personal computers and online file sharing.

"Over the last two years, we've undertaken a number of initiatives that were designed to be proactive in the recorded music business," said Jeanne Meyer, a publicist with EMI Music in New York. "EMI elected to bring in new management to run its recorded music business. And the external factor was piracy. It's had a huge impact on any part of the recorded music business."

The experience for those forced out of the big labels has been sobering.

"I feel like I have more competition with what just happened a week or two ago with Atlantic and Elektra," said Milek. "So now there's more people out there looking for Looking for

In the context of general equities, this describing a buy interest in which a dealer is asked to offer stock, often involving a capital commitment. Antithesis of in touch with.
 jobs."

For Catherine Corsaro, laid off from Hollywood-based Epitaph epitaph, strictly, an inscription on a tomb; by extension, a statement, usually in verse, commemorating the dead. The earliest such inscriptions are those found on Egyptian sarcophagi.  Records, the result was weeks of searching before she found her job as director of sales and marketing at Van Nuys-based Hopeless Records.

"I definitely looked outside the business," said Corsaro. "I went to a job fair for sales people. I submitted resumes to pharmaceutical companies, financial advisory companies. I was disappointed. Experience in the music industry is not very respected. They seem to think that working in this business is about fun and games "Fun and Games" is an episode of the original The Outer Limits television show. It first aired on 30 March, 1964, during the first season. Opening narration
."

Mary Patton, another former Rhino person, soured on the recording side of the business, although she's still immersed in music.

"It just became all about bottom line and big dollars. There was very little money left for passion projects," she said. "I wanted to be in a place where music mattered and where the independent spirit still thrived."

Patton left Rhino in 2001 after it took the first steps toward becoming a unit of Warner Music Group. She landed at record seller Amoeba Music Inc.'s Hollywood store.

"Some people have stayed and taken different jobs within the industry, others have moved into videogames, others have moved into film and television production," said Patton.

"I know a number of people who have gone into real estate because they just couldn't find a job in the industry. And it's kinda sad. It's brain-drain. There's a lot of creativity in this industry that's going to go away," she said.

Tess Taylor, president of the National Association of Recording Industry Professionals, a networking group, said jobs remain available despite the layoffs.

"We're looking for label managers, we're looking for product managers, we're looking for copyright managers," he said. "If you look at the job listings, there are tons of them. And there are tons of executive ones as well."
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Title Annotation:Media & Technology
Author:Simons, Andrew
Publication:Los Angeles Business Journal
Geographic Code:1U9CA
Date:Apr 19, 2004
Words:723
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