Report: EMI And Sony BMG Layoffs In Canada
February 28, 2007 at 5:48 AM (PT)
THE TORONTO GLOBE AND MAIL reports EMI CANADA and SONY BMG MUSIC CANADA are laying off employees as part of a shakeup related to declining compact disc sales and free music downloads. Neither company would talk publicly about the numbers of CANADIAN employees laid off or the reasons for the staff reductions.
"You've got to go back to the root cause of this," said CANADIAN MUSIC WEEK Pres. NEILL DIXON. "Record companies have been complaining that peer-to-peer file sharing has been plaguing their business and records are in continual decline because of all this piracy."
EMI confirmed yesterday that it has laid off an undisclosed number of CANADIAN staff as part of a global restructuring announced last month. Most of the layoffs are related to the company's decision to get out of the business of manufacturing and distributing compact discs, according to an official who asked not to be named.