by DeVon Harris
This is part-two of a two part post discussing payments to songwriters in the music industry. For part one, click here.
In my previous post I discussed the inequality concerning content creators and other parties in the music making and monetizing ecosystem. Due to technology shifts, among other things, the current system risks draining itself of talented contributors.
So what are the options? One, we should give serious thought to what Americans have done since the late 1800s and have one voice as content creators. Unionize. Lobby for a small percentage of the same revenue streams that labels, (and lawyers, managers, agents, etc.), collect on, that’s put into a pot & distributed accordingly, like performance right organizations.
Estimates of recent US touring and music-licensed merch revenues – primary tenets of the 360 deal – are pegged at well over $3 billion a year (over $3.07b & $115m, respectively). If a collective agreement could be made accruing just 2% of these revenues, (not including endorsements, appearances, acting, publishing, etc.), there would be an additional $60 million, (based on the most conservative of estimations), pumped into the foundational layer of the creative stack. Also, those seeking to make songwriting a career could ideally participate in pension-type funds and insurance plans – which do not exist now.
This may sound radical but isn’t unheard of – by a long shot. In 1896, the American Federation of Musicians formed as a voice for North American studio musicians. The AFM handles things like standardizing and enforcing royalties and payments, lobbying, and offers insurance and pension plans. And don’t get it twisted, these unions carry weight. For example, from 1942 to 1944, due to a dispute over royalty payments to artists, the AFM instituted a ban on musicians recording any commercial records for labels. This caused enough of an uproar that President Roosevelt had to write a letter to the AFM chief, asking that he lift the ban in the interest of ‘orderly government.’ The AFM didn’t budge. Within months each of the major labels acquiesced, agreeing to the royalties. Even today, major labels and artists can only use union musicians for their recordings. All sessions must be filed with the union, and pay is issued on a common and public sliding scale. Musicians can even go to www.sound-recording.org right now to see if they are owed money from the Sound Recording Special Payments Fund (a royalty fund established in 1965 through a collective bargaining agreement between the AFM and the recording industry).
Don't you want to wear one of these?
In addition to those for musicians, there are unions to protect actors, directors, (screen) writers, theater stagehands, and all types of layers of entertainment – but not composers or songwriters.
Let’s not fool ourselves. Unionizing is tough. It’s difficult to turn down potential payments (no matter how small) when your car note is due. Or your baby needs diapers. Sometimes I marvel at the strength of factory workers in the 1930s & 40s who sacrificed short-term comfort, and that of their families, for long-term fairness. I’m choosing to switch careers so I don’t know that I would be the first to stand up and give up this paycheck. But equality, and history, awaits those that do.
DeVon Harris (aka Devo Springsteen) is a Grammy-winning producer, songwriter and entrepreneur. DeVon is also a former consultant and founder of interactive video company, Ochre. You can follow him on Twitter @springsteezy
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