Detroit City Council Backs Push for Higher Streaming Royalties, Following Suit of New York City.
In a move that aims to boost the pay of musicians on streaming platforms, the Detroit City Council has unanimously endorsed the Living Wage for Musicians Act, a federal proposal aimed at reforming the way artists are compensated digitally. The resolution follows New York City's lead in passing a similar measure.
Under the current system, music streaming accounts for 84% of all recorded music revenue in the US. However, many artists earn pennies per stream, with some receiving as little as $0.003 per play. To make ends meet, 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.
Detroit's mayor-influenced music scene has been highlighted by supporters of the legislation, who argue that higher royalties would help keep artists in the city. Marcus Miller, co-founder of the Creative Union, told council members that the bill could be instrumental in retaining talent and making a lasting change.
The proposal involves adding a small surcharge to streaming subscriptions, capped between $4 and $10, with platforms contributing a share of their advertising revenue to an Artist Compensation Royalty Fund. The fund would distribute payments directly to recording musicians, while imposing monthly caps on tracks to prevent major hits from absorbing disproportionate shares of the payouts.
U.S. Rep. Rashida Tlaib reintroduced the legislation in September, with backing from working musicians and the United Musicians and Allied Workers union. The bill aims to create a new royalty stream paid directly to artists, separate from the industry's existing pro-rata system that often favors big acts and major labels.
Tlaib has said the goal is to ensure that musicians can build sustainable careers on streaming platforms, rather than just surviving. Artists in Detroit have backed the plan, citing it as long overdue correction to a system that has left many struggling artists with record profits from streaming platforms.
Advocates argue that the bill would enable more artists to create music, tour, and connect with fans, while helping musicians make a living in cities like Detroit.
In a move that aims to boost the pay of musicians on streaming platforms, the Detroit City Council has unanimously endorsed the Living Wage for Musicians Act, a federal proposal aimed at reforming the way artists are compensated digitally. The resolution follows New York City's lead in passing a similar measure.
Under the current system, music streaming accounts for 84% of all recorded music revenue in the US. However, many artists earn pennies per stream, with some receiving as little as $0.003 per play. To make ends meet, 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.
Detroit's mayor-influenced music scene has been highlighted by supporters of the legislation, who argue that higher royalties would help keep artists in the city. Marcus Miller, co-founder of the Creative Union, told council members that the bill could be instrumental in retaining talent and making a lasting change.
The proposal involves adding a small surcharge to streaming subscriptions, capped between $4 and $10, with platforms contributing a share of their advertising revenue to an Artist Compensation Royalty Fund. The fund would distribute payments directly to recording musicians, while imposing monthly caps on tracks to prevent major hits from absorbing disproportionate shares of the payouts.
U.S. Rep. Rashida Tlaib reintroduced the legislation in September, with backing from working musicians and the United Musicians and Allied Workers union. The bill aims to create a new royalty stream paid directly to artists, separate from the industry's existing pro-rata system that often favors big acts and major labels.
Tlaib has said the goal is to ensure that musicians can build sustainable careers on streaming platforms, rather than just surviving. Artists in Detroit have backed the plan, citing it as long overdue correction to a system that has left many struggling artists with record profits from streaming platforms.
Advocates argue that the bill would enable more artists to create music, tour, and connect with fans, while helping musicians make a living in cities like Detroit.
. It's about time those artists got a fair share of the streaming dough 
. I mean, 84% of revenue goes to music streaming, but only pennies per stream? That's like getting paid $5 for working 40 hours at a McDonald's... minus benefits and a decent wage 
. The fact that it takes over 800k streams just to make ends meet is wild 
. Can you imagine being an artist and having to rely on your fans' generosity? 
Not cool, not cool at all 
.
. It's time the platforms started putting their money where their mouth is – or should I say, where their Spotify playlists are 
. Let's see some real change and not just lip service from the industry 
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it's about time we started giving artists some real money for their work 
️ let alone the actual cost of making music and living in the city. I'm all for the artists getting more fair pay, but what about the streaming services making more money instead? 
. $0.003 per stream? Come on! That's not even enough to cover a decent cup of coffee 
. It's all about creating a sustainable career for musicians, not just surviving 
. If we want to see more artists thriving, we need to give them the tools they need to create, perform, and connect with fans 
.
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, instead of just raking it in themselves 
The plan with the small surcharge and advertising revenue fund seems fair, though. It's not like they're asking for much, just enough to keep artists in the city where the music scene is thriving 
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800k streams to even make ends meet? that's just crazy! adding a small surcharge to streaming subs cant hurt anyone and can make all the difference for those talented musicians out there 
. It's not about making it super expensive, just fair compensation for their work. And I love how they're trying to create a new royalty stream that directly goes to the artists, separate from the industry's pro-rata system.
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they're literally livin on pennies per stream & it's crazy how much $$ is makin from all the streams rn... i think its time 2 give artists a fair share, u know? 
& if platforms can chip in more ad revenue 2 the artist fund, that'd b awesome 
. U.S. Rep Tlaib is doin it right 
, and Detroit's all about supporting their local music scene, which is dope 
The music industry's been screwing artists for far too long, and it's high time we give 'em a fair shake. I mean, $0.003 per stream? That's not a drop in the ocean, that's like trying to fill up a bucket with a leaky faucet. And you're expecting musicians to survive on that? It's a joke! 
I MEAN, COME ON 0.003 PER STREAM IS LITERALLY CRAZY! 
they're literally making pennies off every stream it's crazy how much money these companies are raking in while the actual creators barely scrape by 