So I recently learned how artists get paid by their music label and it’s changed the way I look at the controversy surrounding artists not getting paid after 7 years or more.
Previously I thought that the companies were being ridiculous because certain groups that I would consider to be semi successful like Everglow and Fromis9 did not receive a paycheck in their 7 years.
I assumed that the revenue from a project was calculated, then the price of production was subtracted and the profit was split between the company & idols based on a pre-determined cut. However, I learned that from the revenue the company takes their pre-determined cut and from the artist’s cut that’s where the production costs come out of. So if the artist gets 30% of album sales the company will take some production costs out of that 30% and if there’s no money left the artist doesn’t get paid.
I also think there’s been some assumptions that once trainee debt is paid off the idols continuously gets paychecks but it’s not that simple. After trainee debt is paid off (which might be dorm rent, class fees, and money used to feed trainees) there’s album production costs. That means that every time a group makes a comeback the project has to do well enough to exceed production costs so the idols get paid. So a group can have a smash hit and every member gets paid but then the next comeback flops. The idols won’t receive a paycheck from that project will have to repay those costs on the next project. If the projects continue to not make profit the artists won’t get paid and debt can accumulate.
There are royalties that idols get from The Korea Music Performers’ Federation quarterly for appearing on Music Shows (according to RESCENE Minami & Woni on Salon Drip). It’s not huge paychecks but it’s at least that the idols can use if they aren’t settlements from the company.
Recently, Chappell Roan mentioned during her Grammys acceptance speech that she believes music labels should pay artists a livable wage. Meaning even if they aren’t making profit since they are workers and they work odd hours doing more than 8 hours daily they should be getting paid at least minimum wage.
Please note that I don’t believe companies aren’t taking advantage of idols because they are but a group not getting paychecks doesn’t necessarily mean the company was intending to screw them over. However companies are definitely to blame since they choose the concept, musical direction, styling, and budget for each comeback so if it’s not making profit it’s unfair the idols go into debt.
submitted by /u/PandaTokki17
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