{"id":104662,"date":"2025-06-02T15:45:18","date_gmt":"2025-06-02T14:45:18","guid":{"rendered":"https:\/\/routenote.com\/blog\/?p=104662"},"modified":"2025-06-03T12:15:20","modified_gmt":"2025-06-03T11:15:20","slug":"nyc-backs-plan-to-raise-music-streaming-prices-to-pay-artists-a-living-wage","status":"publish","type":"post","link":"https:\/\/routenote.com\/blog\/nyc-backs-plan-to-raise-music-streaming-prices-to-pay-artists-a-living-wage\/","title":{"rendered":"NYC backs plans for music streaming price increase in order to pay artists a living wage"},"content":{"rendered":"\n<h2 style=\"user-select: auto;\"><span style=\"color: #3366ff; user-select: auto;\">The Living Wage for Musicians Act aims to give artists fair pay directly from music streaming. Now, it\u2019s being backed by the New York City Council.<\/span><\/h2>\n\n\n\n<h3>New York City takes a stand for artist pay<\/h3>\n\n\n\n<p>New York City Council (NYC) has <a href=\"https:\/\/ra.co\/news\/82886\" target=\"_blank\" rel=\"noreferrer noopener\">backed plans<\/a> that could revolutionize how musicians are paid in the streaming era. Last week, the City Council passed \u2018Resolution 368\u2019, calling on the US Congress to pass the <a href=\"https:\/\/d12t4t5x3vyizu.cloudfront.net\/tlaib.house.gov\/uploads\/2024\/03\/Living-Wage-for-Musicians-Act_Final-Text.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">Living Wage for Musicians Act<\/a> (LWMA). The LWMA was proposed last year by Congresswoman Rashida Tlaib and former Congressman Jamaal Bowman developed in conjunction with the <a href=\"https:\/\/weareumaw.org\/news\/make-streaming-pay\" target=\"_blank\" rel=\"noreferrer noopener\">United Musicians and Allied Workers<\/a>, and aims to introduce a new royalty system that \u201c<a href=\"https:\/\/weareumaw.org\/news\/make-streaming-pay\" target=\"_blank\" rel=\"noreferrer noopener\">create a new streaming royalty paid directly to artists<\/a>\u201d.<\/p>\n\n\n\n<p>How would this \u201cnew streaming royalty\u201d be created exactly? Well if passed, the act would add a 50% levy to all music streaming subscription prices in the US under federal law. This additional charge would go into a fund that pays musicians directly, bypassing labels and distributors.<\/p>\n\n\n\n<blockquote class=\"instagram-media\" data-instgrm-captioned=\"\" data-instgrm-permalink=\"https:\/\/www.instagram.com\/p\/DKNeOMyRxon\/?utm_source=ig_embed&amp;utm_campaign=loading\" data-instgrm-version=\"14\" style=\" background:#FFF; border:0; border-radius:3px; box-shadow:0 0 1px 0 rgba(0,0,0,0.5),0 1px 10px 0 rgba(0,0,0,0.15); margin: 1px; max-width:540px; min-width:326px; padding:0; width:99.375%; width:-webkit-calc(100% - 2px); width:calc(100% - 2px);\"><div style=\"padding:16px;\"> <a href=\"https:\/\/www.instagram.com\/p\/DKNeOMyRxon\/?utm_source=ig_embed&amp;utm_campaign=loading\" style=\" background:#FFFFFF; line-height:0; padding:0 0; text-align:center; text-decoration:none; width:100%;\" target=\"_blank\" rel=\"noopener\"> <div style=\" display: flex; flex-direction: row; align-items: center;\"> <div style=\"background-color: #F4F4F4; border-radius: 50%; flex-grow: 0; height: 40px; margin-right: 14px; width: 40px;\"><\/div> <div style=\"display: flex; flex-direction: column; flex-grow: 1; justify-content: center;\"> <div style=\" background-color: #F4F4F4; border-radius: 4px; flex-grow: 0; height: 14px; margin-bottom: 6px; width: 100px;\"><\/div> <div style=\" background-color: #F4F4F4; border-radius: 4px; flex-grow: 0; height: 14px; width: 60px;\"><\/div><\/div><\/div><div style=\"padding: 19% 0;\"><\/div> <div style=\"display:block; height:50px; margin:0 auto 12px; width:50px;\"><svg width=\"50px\" height=\"50px\" viewBox=\"0 0 60 60\" version=\"1.1\" xmlns=\"https:\/\/www.w3.org\/2000\/svg\" xmlns:xlink=\"https:\/\/www.w3.org\/1999\/xlink\"><g stroke=\"none\" stroke-width=\"1\" fill=\"none\" fill-rule=\"evenodd\"><\/g><g transform=\"translate(-511.000000, -20.000000)\" fill=\"#000000\"><\/g><g><path d=\"M556.869,30.41 C554.814,30.41 553.148,32.076 553.148,34.131 C553.148,36.186 554.814,37.852 556.869,37.852 C558.924,37.852 560.59,36.186 560.59,34.131 C560.59,32.076 558.924,30.41 556.869,30.41 M541,60.657 C535.114,60.657 530.342,55.887 530.342,50 C530.342,44.114 535.114,39.342 541,39.342 C546.887,39.342 551.658,44.114 551.658,50 C551.658,55.887 546.887,60.657 541,60.657 M541,33.886 C532.1,33.886 524.886,41.1 524.886,50 C524.886,58.899 532.1,66.113 541,66.113 C549.9,66.113 557.115,58.899 557.115,50 C557.115,41.1 549.9,33.886 541,33.886 M565.378,62.101 C565.244,65.022 564.756,66.606 564.346,67.663 C563.803,69.06 563.154,70.057 562.106,71.106 C561.058,72.155 560.06,72.803 558.662,73.347 C557.607,73.757 556.021,74.244 553.102,74.378 C549.944,74.521 548.997,74.552 541,74.552 C533.003,74.552 532.056,74.521 528.898,74.378 C525.979,74.244 524.393,73.757 523.338,73.347 C521.94,72.803 520.942,72.155 519.894,71.106 C518.846,70.057 518.197,69.06 517.654,67.663 C517.244,66.606 516.755,65.022 516.623,62.101 C516.479,58.943 516.448,57.996 516.448,50 C516.448,42.003 516.479,41.056 516.623,37.899 C516.755,34.978 517.244,33.391 517.654,32.338 C518.197,30.938 518.846,29.942 519.894,28.894 C520.942,27.846 521.94,27.196 523.338,26.654 C524.393,26.244 525.979,25.756 528.898,25.623 C532.057,25.479 533.004,25.448 541,25.448 C548.997,25.448 549.943,25.479 553.102,25.623 C556.021,25.756 557.607,26.244 558.662,26.654 C560.06,27.196 561.058,27.846 562.106,28.894 C563.154,29.942 563.803,30.938 564.346,32.338 C564.756,33.391 565.244,34.978 565.378,37.899 C565.522,41.056 565.552,42.003 565.552,50 C565.552,57.996 565.522,58.943 565.378,62.101 M570.82,37.631 C570.674,34.438 570.167,32.258 569.425,30.349 C568.659,28.377 567.633,26.702 565.965,25.035 C564.297,23.368 562.623,22.342 560.652,21.575 C558.743,20.834 556.562,20.326 553.369,20.18 C550.169,20.033 549.148,20 541,20 C532.853,20 531.831,20.033 528.631,20.18 C525.438,20.326 523.257,20.834 521.349,21.575 C519.376,22.342 517.703,23.368 516.035,25.035 C514.368,26.702 513.342,28.377 512.574,30.349 C511.834,32.258 511.326,34.438 511.181,37.631 C511.035,40.831 511,41.851 511,50 C511,58.147 511.035,59.17 511.181,62.369 C511.326,65.562 511.834,67.743 512.574,69.651 C513.342,71.625 514.368,73.296 516.035,74.965 C517.703,76.634 519.376,77.658 521.349,78.425 C523.257,79.167 525.438,79.673 528.631,79.82 C531.831,79.965 532.853,80.001 541,80.001 C549.148,80.001 550.169,79.965 553.369,79.82 C556.562,79.673 558.743,79.167 560.652,78.425 C562.623,77.658 564.297,76.634 565.965,74.965 C567.633,73.296 568.659,71.625 569.425,69.651 C570.167,67.743 570.674,65.562 570.82,62.369 C570.966,59.17 571,58.147 571,50 C571,41.851 570.966,40.831 570.82,37.631\"><\/path><\/g><\/svg><\/div><div style=\"padding-top: 8px;\"> <div style=\" color:#3897f0; font-family:Arial,sans-serif; font-size:14px; font-style:normal; font-weight:550; line-height:18px;\">View this post on Instagram<\/div><\/div><div style=\"padding: 12.5% 0;\"><\/div> <div style=\"display: flex; flex-direction: row; margin-bottom: 14px; align-items: center;\"><div> <div style=\"background-color: #F4F4F4; border-radius: 50%; height: 12.5px; width: 12.5px; transform: translateX(0px) translateY(7px);\"><\/div> <div style=\"background-color: #F4F4F4; height: 12.5px; transform: rotate(-45deg) translateX(3px) translateY(1px); width: 12.5px; flex-grow: 0; margin-right: 14px; margin-left: 2px;\"><\/div> <div style=\"background-color: #F4F4F4; border-radius: 50%; height: 12.5px; width: 12.5px; transform: translateX(9px) translateY(-18px);\"><\/div><\/div><div style=\"margin-left: 8px;\"> <div style=\" background-color: #F4F4F4; border-radius: 50%; flex-grow: 0; height: 20px; width: 20px;\"><\/div> <div style=\" width: 0; height: 0; border-top: 2px solid transparent; border-left: 6px solid #f4f4f4; border-bottom: 2px solid transparent; transform: translateX(16px) translateY(-4px) rotate(30deg)\"><\/div><\/div><div style=\"margin-left: auto;\"> <div style=\" width: 0px; border-top: 8px solid #F4F4F4; border-right: 8px solid transparent; transform: translateY(16px);\"><\/div> <div style=\" background-color: #F4F4F4; flex-grow: 0; height: 12px; width: 16px; transform: translateY(-4px);\"><\/div> <div style=\" width: 0; height: 0; border-top: 8px solid #F4F4F4; border-left: 8px solid transparent; transform: translateY(-4px) translateX(8px);\"><\/div><\/div><\/div> <div style=\"display: flex; flex-direction: column; flex-grow: 1; justify-content: center; margin-bottom: 24px;\"> <div style=\" background-color: #F4F4F4; border-radius: 4px; flex-grow: 0; height: 14px; margin-bottom: 6px; width: 224px;\"><\/div> <div style=\" background-color: #F4F4F4; border-radius: 4px; flex-grow: 0; height: 14px; width: 144px;\"><\/div><\/div><\/a><p style=\" color:#c9c8cd; font-family:Arial,sans-serif; font-size:14px; line-height:17px; margin-bottom:0; margin-top:8px; overflow:hidden; padding:8px 0 7px; text-align:center; text-overflow:ellipsis; white-space:nowrap;\"><a href=\"https:\/\/www.instagram.com\/p\/DKNeOMyRxon\/?utm_source=ig_embed&amp;utm_campaign=loading\" style=\" color:#c9c8cd; font-family:Arial,sans-serif; font-size:14px; font-style:normal; font-weight:normal; line-height:17px; text-decoration:none;\" target=\"_blank\" rel=\"noopener\">A post shared by UMAW (@weareumaw)<\/a><\/p><\/div><\/blockquote>\n<script async=\"\" src=\"\/\/www.instagram.com\/embed.js\"><\/script>\n\n\n\n<h3>Why this matters for NYC and the artist community<\/h3>\n\n\n\n<p>Despite streaming platforms like <a href=\"https:\/\/routenote.com\/blog\/upload-your-music-to-spotify-for-free\/\" target=\"_blank\" rel=\"noreferrer noopener\">Spotify <\/a>paying <a href=\"https:\/\/routenote.com\/blog\/spotify-paid-a-record-10-billion-to-the-industry-last-year\/\" target=\"_blank\" rel=\"noreferrer noopener\">over $10 billion<\/a> to artists across last year alone, the proposal highlights the difficulty for artists to earn a sustainable income from streaming.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote\"><p><a href=\"https:\/\/completemusicupdate.com\/nyc-backs-plan-to-hike-streaming-prices-by-50-to-pay-musicians-as-much-as-40k-a-year-each\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>\u201cPassing the act at the federal level is key to making NYC more affordable for working musicians &#8211; to live, create and thrive in the music capital of the world.\u201d<\/strong><\/a><\/p><cite>Shahana Hamif, NYC Council Member<\/cite><\/blockquote>\n\n\n\n<p>NYC <a href=\"https:\/\/completemusicupdate.com\/nyc-backs-plan-to-hike-streaming-prices-by-50-to-pay-musicians-as-much-as-40k-a-year-each\/\" target=\"_blank\" rel=\"noreferrer noopener\">recognizes this difficulty<\/a> for its estimated 14,000 working musicians, stating that many \u201cface volatile employment situations and economic insecurity\u201d. Session musicians and backing vocalists often don\u2019t earn royalties from streaming at all, instead receiving one-off payments for their time.<\/p>\n\n\n\n<h4>A wider issue<\/h4>\n\n\n\n<p>This issue isn&#8217;t just exclusive to New York- it signals wider momentum to address fairer payment for artists in the streaming economy. Streaming platforms are often the subject of criticism regarding <a href=\"https:\/\/routenote.com\/blog\/how-much-music-streaming-services-pay\/\" target=\"_blank\" rel=\"noreferrer noopener\">royalty payouts<\/a>. For example, some platforms have recently faced backlash for <a href=\"https:\/\/routenote.com\/blog\/spotify-to-still-pay-publishing-royalties-below-1k-streams\/\" target=\"_blank\" rel=\"noreferrer noopener\">minimum stream thresholds<\/a> before royalties can be paid out, which <a href=\"https:\/\/routenote.com\/blog\/spotifys-1000-stream-threshold-cost-indie-artists-50-million-in-2024\/\" target=\"_blank\" rel=\"noreferrer noopener\">disproportionately harms smaller artists<\/a>.&nbsp;<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-wp-embed is-provider-routenote-blog wp-block-embed-routenote-blog\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"wp-embedded-content\" data-secret=\"IBxfQ1Qebc\"><a href=\"https:\/\/routenote.com\/blog\/spotifys-1000-stream-threshold-cost-indie-artists-50-million-in-2024\/\">Spotify\u2019s 1,000-stream threshold cost indie artists nearly $50 million in 2024<\/a><\/blockquote><iframe class=\"wp-embedded-content\" sandbox=\"allow-scripts\" security=\"restricted\" style=\"position: absolute; clip: rect(1px, 1px, 1px, 1px);\" title=\"&#8220;Spotify\u2019s 1,000-stream threshold cost indie artists nearly $50 million in 2024&#8221; &#8212; RouteNote Blog\" src=\"https:\/\/routenote.com\/blog\/spotifys-1000-stream-threshold-cost-indie-artists-50-million-in-2024\/embed\/#?secret=IBxfQ1Qebc\" data-secret=\"IBxfQ1Qebc\" width=\"600\" height=\"338\" frameborder=\"0\" marginwidth=\"0\" marginheight=\"0\" scrolling=\"no\"><\/iframe>\n<\/div><\/figure>\n\n\n\n<p>The LWMA shines a spotlight on the challenges artists face with the current system, where the royalty payouts are often filtered further through labels and distributors, based on any contractual agreement.<\/p>\n\n\n\n<p>That is where independent distributors such as <a href=\"http:\/\/www.routenote.com\" target=\"_blank\" rel=\"noreferrer noopener\">RouteNote<\/a> come in. At RouteNote, we let artists choose the best distribution for their needs. Artists can either upload unlimited <a href=\"https:\/\/routenote.com\/whychoose\" target=\"_blank\" rel=\"noreferrer noopener\">music for free<\/a> and keep 85% of all royalties, or opt for a <a href=\"https:\/\/routenote.com\/pricing\" target=\"_blank\" rel=\"noreferrer noopener\">Premium plan<\/a> and keep 100% of earnings with a competitive one-time fee for each upload.<\/p>\n\n\n\n<h3>How the levy would work<\/h3>\n\n\n\n<p>If passed, the LWMA would require streaming services to increase their monthly subscription fees by 50%. For example, Spotify prices in the US may be:<\/p>\n\n\n\n<ul><li>Premium subscription would increase from $11.99 to $17.99<\/li><li>Family plan would increase from $19.99 to $29.99<\/li><\/ul>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"alignright size-large is-resized\"><img loading=\"lazy\" src=\"https:\/\/images.squarespace-cdn.com\/content\/v1\/5eadacf90966a21ede0b0aa0\/9d90f671-514b-4c55-a9ab-20e3e1b33711\/make_streaming_pay_logo_v2.png?format=500w\" alt=\"\" width=\"199\" height=\"199\"\/><\/figure><\/div>\n\n\n\n<p>The additional revenue would go into a new fund designed to compensate artists and musicians directly. <a href=\"https:\/\/completemusicupdate.com\/nyc-backs-plan-to-hike-streaming-prices-by-50-to-pay-musicians-as-much-as-40k-a-year-each\/\" target=\"_blank\" rel=\"noreferrer noopener\">Complete Music Update<\/a> has done the calculations, and with over 100 million paid subscribers in the US and an estimated 169,300 musicians across the US, the average payout could reach $42,500 per artist per year.<\/p>\n\n\n\n<p>The money could then be split between main artists, feature artists, and session musicians, offering fairer compensation to those behind the scenes. As a result, the LWMA ensures that all working artists can earn a sustainable income.<\/p>\n\n\n\n<h3>Not everyone is on board<\/h3>\n\n\n\n<p>While the act sounds like good news for artists in theory, it will likely face serious opposition. Streaming services and major labels are likely to resist, especially given they have already pushed back against Canada\u2019s far smaller proposed <a href=\"https:\/\/routenote.com\/blog\/canada-streaming-tax-open-letter-dsp-labels\/\" target=\"_blank\" rel=\"noreferrer noopener\">5% levy<\/a>. A 50% price hike signals the most aggressive proposal globally, and at a much larger increase than those gradually rolled out in recent years by Spotify.<\/p>\n\n\n\n<p>Critics, including major labels and distributors, argue that it could cause many to unsubscribe. Not only would this trouble streaming services and labels, but it would also render the levy ineffective as due to the lost revenues from those unsubscribing.&nbsp;<\/p>\n\n\n\n<h3>A step in the right direction<\/h3>\n\n\n\n<p>Whether or not the LWPA becomes law, NYC\u2019s support reiterates a key message around fair compensation for artists. As streaming continues to dominate music consumption, it\u2019s important that all artists can earn a sustainable income- something that recent industry &#8220;<a href=\"https:\/\/routenote.com\/blog\/what-is-streaming-2-0\/\" target=\"_blank\" rel=\"noreferrer noopener\">Streaming 2.0<\/a>&#8221; initiatives seem to undermine.<\/p>\n\n\n\n<hr class=\"wp-block-separator\"\/>\n\n\n\n<p class=\"has-text-align-center\"><strong><a href=\"http:\/\/www.routenote.com\" target=\"_blank\" rel=\"noreferrer noopener\">Get your music distributed to streaming platforms worldwide for free with RouteNote.<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Living Wage for Musicians Act aims to give artists fair pay directly from music streaming. Now, it\u2019s being backed by the New York City Council.<\/p>\n","protected":false},"author":47,"featured_media":104664,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[13,1],"tags":[30181,30693,2152],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v18.4.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>NYC backs plans for music streaming price increase in order to pay artists a living wage - RouteNote Blog<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/routenote.com\/blog\/nyc-backs-plan-to-raise-music-streaming-prices-to-pay-artists-a-living-wage\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"NYC backs plans for music streaming price increase in order to pay artists a living wage - RouteNote Blog\" \/>\n<meta property=\"og:description\" content=\"The Living Wage for Musicians Act aims to give artists fair pay directly from music streaming. 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