MySpace’s cuts, announced for the U.S. last week, are spreading as expected. The company will slash its international staff by two thirds, from 450 to 150, and close at least four international offices as part of cuts that affect “all international divisions of the company.” It brings the total jobs lost in this round of restructuring at MySpace to 720 globally.
Just days after cutting nearly a third of its U.S. staff, the News Corp-owned company says it wants to run its non-U.S. business from three “primary regional hubs”: London, Berlin and Sydney — all the other offices (in Argentina, Brazil, Canada, France, India, Italy, Mexico, Russia, Sweden and Spain) are now “under review for possible restructure”, although the company isn’t giving a regional breakdown. MySpace China, a locally owned and managed division, and MySpace’s JV in Japan will be unaffected.
Mediaweek and Techcrunch both report London-based international MD Travis Katz is on the way out after three years with the company. MySpace told us it wouldn’t comment on rumours surrounding individual staff — but it certainly isn’t confirming his departure. Companies the UK and other European countries including France have to hold statutory consultancy periods in which they consider all options with staff before making layoffs. In the UK that typically lasts 30 days, so that’s why the Euro cuts are only “proposed” at this point and why some individual departures aren’t being confirmed yet.
MySpace CEO Owen Van Natta, in the release, gave the same reasons as for the US cutbacks: