13th May 2009 - Sony Music suing EMI
“Sony Music Entertainment is suing smaller rival EMI Music and one of its executives after he allegedly broke his promise to join Sony on a new $3m contract. The suit alleges that Ron Werre used his deal with Sony as leverage in negotiating a promotion at EMI. Sony charged that Werre, who had been EMI’s president of music services agreed in February to join Sony on a three year deal after his contract expired in 2010, according to documents filed at the NY Supreme Court.” (Reported City AM)
News of Sony Music suing EMI in the
Sony's lawsuit revolves around one of their prospective employers who promised to join Sony from EMI. However he broke his agreement remained at EMI and got a pay rise! Ron Werre is accused of using the whole interview process as leverage to get a pay rise!!!
Sony is now suing EMI and Werre, claiming that he used his Sony contract as leverage to score a promotion at EMI. What a crazy world.....
Remember if you say YES it really needs to be a YES!
I would like to think that this will not become the norm on this side of the Atlantic, but it does throw up some interesting points....are candidates allowed to change their mind?
-Is it ethical/legal to use a recruitment exercise as leverage to ask for a pay rise?
-Is the counter offer dead?
-What was the recruitment consultant doing during this process?
-How binding is a "verbal promise?"
Any thoughts let me know...
