On Thursday, Congressional representatives introduced the proposed Living Wage for Musicians Act, aimed at addressing the issue of streaming royalties for musicians online. The resolution, developed in collaboration with the United Musicians and Allied Workers union, seeks to promote economic justice and fairness in the streaming industry.
The act proposes the establishment of a new streaming royalty system that would ensure artists and musicians are compensated more fairly at a rate of one cent per stream when their music is played on streaming services. Currently, leading platforms like Spotify pay an average per-stream royalty of $0.003, making it challenging for artists to earn a livable income solely from streaming.
According to the release, streaming now accounts for 84 percent of recorded music industry revenue, highlighting the significance of this issue. The proposed new royalty would be paid in addition to existing royalties, guaranteeing that artists receive a minimum of one cent per stream, with a potential cap on monthly earnings.
To fund these additional payments, the act suggests implementing a tax on streaming platforms' non-subscription revenue and a slight increase in music streaming subscription costs. This approach aims to ensure that artists receive fair compensation for their creative work and contributions to the music industry.
Representatives involved in the initiative emphasized the importance of supporting artists and musicians across the country. They highlighted the need for equitable compensation that enables creators to thrive, not just survive, in an industry that heavily relies on streaming revenue.
This latest proposal builds on previous efforts by the representatives to advocate for economic justice and fairness in the streaming sector. The ongoing collaboration between policymakers and industry stakeholders reflects a commitment to addressing the challenges faced by musicians in the digital age.
