Detroit City Council Backs Federal Push for Higher Musician Pay on Streaming Platforms, Citing Talent Retention and Fair Compensation.
The Detroit City Council has unanimously endorsed the Living Wage for Musicians Act, a federal proposal aimed at reforming the way artists are paid for digital streams. This move follows suit with New York City's recent approval of a similar resolution. Under this legislation, music streaming platforms would contribute a share of their advertising revenue to create a new royalty stream paid directly to artists.
Currently, streaming accounts for around 84% of all recorded music revenue in the US, yet artists often earn as little as $0.003 per stream. This has led to a situation where musicians need over 800,000 monthly streams to earn the equivalent of a full-time job at $15 an hour, according to Detroit's resolution.
Supporters argue that this legislation would help Detroit's creative workforce stay in the city and contribute to fair compensation for artists. "With bills like this, we have the opportunity to keep our talent here for the future and actually make a change," said Marcus Miller, co-founder of the Creative Union. The organization aims to support artists, innovators, and entrepreneurs.
The Living Wage for Musicians Act would create a nonprofit Artist Compensation Royalty Fund, which would distribute payments directly to recording musicians. A small surcharge on streaming subscriptions – capped between $4 and $10 – would be added, along with platforms' advertising revenue contributions. This fund would also include a monthly cap per track to prevent artists with massive hits from absorbing disproportionate shares of the payouts.
U.S. Rep. Rashida Tlaib reintroduced this bill in September with support from working musicians and the United Musicians and Allied Workers union. The legislation aims to ensure that musicians who drive the streaming economy can afford sustainable careers, as stated by Representative Tlaib: "It's only right that the people who create the music we love are paid a living wage, so that they can thrive, not just survive."
Detroit producer and WDET host Shigeto has also backed this plan, labeling it a long-overdue correction to a system that has left many musicians struggling. With artists and organizers planning to travel to Washington, D.C., to advocate for the bill, Detroit's endorsement is seen as an essential step towards changing the status quo.
The Detroit City Council has unanimously endorsed the Living Wage for Musicians Act, a federal proposal aimed at reforming the way artists are paid for digital streams. This move follows suit with New York City's recent approval of a similar resolution. Under this legislation, music streaming platforms would contribute a share of their advertising revenue to create a new royalty stream paid directly to artists.
Currently, streaming accounts for around 84% of all recorded music revenue in the US, yet artists often earn as little as $0.003 per stream. This has led to a situation where musicians need over 800,000 monthly streams to earn the equivalent of a full-time job at $15 an hour, according to Detroit's resolution.
Supporters argue that this legislation would help Detroit's creative workforce stay in the city and contribute to fair compensation for artists. "With bills like this, we have the opportunity to keep our talent here for the future and actually make a change," said Marcus Miller, co-founder of the Creative Union. The organization aims to support artists, innovators, and entrepreneurs.
The Living Wage for Musicians Act would create a nonprofit Artist Compensation Royalty Fund, which would distribute payments directly to recording musicians. A small surcharge on streaming subscriptions – capped between $4 and $10 – would be added, along with platforms' advertising revenue contributions. This fund would also include a monthly cap per track to prevent artists with massive hits from absorbing disproportionate shares of the payouts.
U.S. Rep. Rashida Tlaib reintroduced this bill in September with support from working musicians and the United Musicians and Allied Workers union. The legislation aims to ensure that musicians who drive the streaming economy can afford sustainable careers, as stated by Representative Tlaib: "It's only right that the people who create the music we love are paid a living wage, so that they can thrive, not just survive."
Detroit producer and WDET host Shigeto has also backed this plan, labeling it a long-overdue correction to a system that has left many musicians struggling. With artists and organizers planning to travel to Washington, D.C., to advocate for the bill, Detroit's endorsement is seen as an essential step towards changing the status quo.