Billboard Blues Revisited by Larry Leblanc

I wrote the article below five years ago and I believe it is timely still today. It is also one of the best articles I've written at Billboard over the 17 years I've been writing for the publication.

Many of you will know what has since happened to some of the executives mentioned in the article and there may be lessons to learn here for today.

Larry
BILLBOARD

Tough Times Continue For Laid-Off Music Executives In Canada

August 03, 2002

By Larry LeBlanc

The concept of "career planning" may be virtually unknown within Canada's music industry, but with the market continuing to endure slow music sales, it's rapidly becoming essential for major-label executives.

Hefty industry staff cuts here within the past five years (notably at Universal Music (following its 1998 merger with PolyGram), Warner Music, Sony Music, and HMV) are still fresh in the memories of Canadian music execs. Other job losses followed last year's bankruptcies of independent music group Song Corp. (Billboard, May 26, 2001) and retail giant Sam the Record Man (Billboard, Nov. 10, 2001).

"This is a very small industry, and when there is a major blood-letting, there are so many people looking for jobs", Warner Music Canada President/CEO Garry Newman notes. "You're a 50-year-old promo rep; where do you go?"

The ongoing effects of the widespread layoffs in the industry are neatly summed up by Geoff Kulawick, CEO/President of Toronto-based indie label Linus Entertainment: "I have more people knocking on my door for work these days than I get tapes from bands."

With music retail remaining soft, neither Canadian-based affiliates of multinationals nor domestically owned distributors or labels are readily seeking to bring personnel (in some cases, high-caliber execs) back into the fold. As Sony Music Canada Senior VP of Sales Don Oates says, "Record companies aren't hiring. When a position becomes available, it's filled within a minute. When someone phones asking if there's something available, the answer is always, 'Not at this time.' "

Former label execs hoping to return to the music business face another problem: there are few prospective employers in Canada. Music distribution here is primarily handled by the five multinationals plus a handful of key independents, and there is only a small number of appropriately sized domestic indie labels.

"The older you are, the more understanding you are that the reason for downsizing was to bring in younger, cheaper blood", one unemployed source comments. "You see yourself as unavailable for positions you once held."

"Several industry figures note that it can be daunting approaching a prospective employer who may be a business friend, or closer. People take your first call only because they are curious", recalls PolyGram Group Canada former VP of Finance Garry Hubbard, who left the company in 1991. "You find that you are not a player anymore. People you thought were buddies are business acquaintances."

Randy Wells, former Senior VP of A&M Records (Canada), a casualty of the Universal/PolyGram merger, agrees: "Once you were on top of the world; then you're not. It's like starting all over."

Herb Forgie, who now works as a music industry consultant following 18 years at Warner Music Canada, says, "My advice is to network immediately." When Forgie left there last year, he was director of marketing and promotion for its domestic, international, and classical divisions. "As long as you're quick to say you are not looking for work and would just like to spend time talking with people, they will keep in contact with you. Try to get your resume in front of them and then see if you fit into their world."

Former Sony Music Canada Director of Artist Marketing Amber Meredith, who left that company after five years in 2001 and now manages Crash Test Dummies singer Ellen Reid, says: "There's a grieving process when layoffs happen, but afterwards, it's important for people to know what they want before they pick up the phone and make calls.

"Most former label executives agree they did little to plan their managerial careers. As Meredith notes, "Because it is such an all-consuming business, many people spend time doing one thing and doing it as well as they can."

Kulawick notes, "Few record company people have marketable skills for any other business. My advice to label employees is to improve your education, get more training, and multi-task, or you might find yourself taken out."

Universal Music Canada CEO/President Randy Lennox insists that "education and diversity are key to [executives] being successful. There are opportunities within our industry that are not being exploited. They should be seeing these opportunities."

Sony's former VP of International A&R and Marketing, Richard Zuckerman, who was laid off in 2000 after 15 years working for Sony in Canada and the U.K., agrees. "You've got to think out of the box. You then discover assets you haven't been using day to day."

Zuckerman works as a consultant to Celine Dion's Feeling Productions and U.K.-based management firm Toy Box International.

Sacked last October after 24 years at Warner Music Canada, Kim Cooke (latterly senior VP/Managing Director of the U.S. division) was quickly picked up as a top-level representative by MapleMusic Recordings, launched in February by Toronto-based entertainment company MapleCore with financial backing from Universal Music Canada.

"I didn't expect to work in the music industry again", Cooke confesses. "There aren't many positions open, even in the good times. Fortunately, I had some strong supporters at Universal, but I also brought experience in marketing, A&R, promotion, and senior management with me. That really helped me out in finding a job."

Contact Larry Leblanc at LJLE@aol.com.