Pandora’s Rdio acquisition comes at a heavy cost for staff

Pandora’s Rdio acquisition comes at a heavy cost for staff

Pandora’s acquisition of Rdio post-bankruptcy was presented as a relatively positive affair according to the announcement published last week. Pandora had stated that many Rdio employees would be offered roles and transition to the internet radio giant.

However, it now transpires that “many” may equate to just less than a third of Rdio’s employees, with 123 set to lose their jobs according to a Warn report issued by California’s Employment Development Department. 

VentureBeat reports that Rdio had a staff count estimated between 140 and 180 people, which would mean that well over two thirds of employees may be laid off. 

On the other hand a Pandora executive stated that around 100 Rdio employees have received job offers, making the number from the Warn report seem inconsistent (or perhaps outdated, since they were released in mid-November). 

In other news Pandora Media's shares fell 11.5% on Thursday as the company announced its first-ever debt offering: the company will be seeking to raise $300m in an offering of senior notes due in 2020. 

 

(Andrea Leonelli)