Jay-Z’s Roc Nation Hit With Furloughs, Pay Cuts Amid Coronavirus Pandemic
Jay-Z’s Roc Nation is tightening its belt due to the financial downturn of the coronavirus pandemic. The multifaceted management-label-publishing company, launched by the hip-hop mogul in partnership with Live Nation, moved ahead with multiple furloughs and pay cuts in March that affected as much as half the company, multiple sources told Variety.
The pay cuts were in the 10 percent-to-20 percent range and included employees at the streaming service Tidal. Many of those affected were lower-level staffers, the unnamed sources said. Roc Nation has yet to confirm.
The company has 240 employees, according to Owler.
“The record label and management agency made the cost-saving moves as nationwide stay-at-home orders halted music touring and sports events — two of Roc Nation’s key sources of revenue,” All Hip Hop reported.
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Roc Nation was founded in 2008 by Jay-Z and now includes offices in New York, Los Angeles, Nashville, and London. Live Nation owns more than 50 percent of the company. This includes a recording label, music publishing, touring, a film/TV division, and artist and athlete management. Clients have included Rihanna, Shakira, J. Cole, Big Sean, Kyrie Irving, and Robinson Cano. Subsidiaries include Roc Nation Sports, ESM Productions LLC, and Roc Nation UK limited. Longtime Jay-Z associate Desiree Perez has been CEO of Roc Nation since December 2019.
Live Nation announced its own furloughs and voluntary salary cuts but those were said to be mainly in its European division. Michael Rapino, president and CEO of Live Nation Entertainment and COO at Roc Nation, will forego his $3-million salary this year, Variety reported.
Live Nation Entertainment has 44,000 employees worldwide.