Dr. Luke's record label Kemosabe is downsizing.
Dr Luke
The producer - who has been accused by his former protégé Kesha of "mental manipulation, emotional abuse and sexual assault" - and Sony are laying off some staff but denies it is connected to his legal battle with Kesha.
In a statement to Pitchfork, a rep for the label said: "Kemosabe Records and Sony elected to downsize certain departments. Some of those functions will be handled by Sony as part of their joint venture relationship. Kemosabe continues to be fully operational and is excited about its current releases and the upcoming year."
Kemosabe Records was founded in 2011, a joint venture between Dr. Luke and Sony.
Earlier this week, Kesha's appeal to be released from her record label has been rejected by the court.
Meanwhile, the 29-year-old singer previously claimed she was offered her freedom if she retracted her allegations.
She shared: "so. I got offered my freedom IF i were to lie. I would have to APOLOGIZE publicly and say that I never got raped. THIS IS WHAT HAPPENS behind closed doors.
"I will not take back the TRUTH. I would rather let the truth ruin my career than lie for a monster ever again. (sic)"
But Dr. Luke has hit back at the comments she made, insisting they were just a "publicity stunt".
A spokesperson said: "The Court repeatedly stated Kesha is already free to record without Dr. Luke, and that she had not presented any facts supporting her claims. That's because all the evidence - including Kesha's own videotaped sworn testimony - show her allegations are false.
"The only thing Kesha is not free to do is to continue to lie about Dr. Luke through publicity stunts and outrageous smears, ignoring the fact that by her own free will she went to work and entered into new contracts with Dr. Luke years after this 'incident' supposedly happened."