As Label Funds To RIAA Dry Up, Top Execs Still Make Over $1 Million

from the non-profit? dept

Just a few days ago, in mocking the MPAA/RIAA filing with the US's IP Enforcement Coordinator, we noted that they mocked Kim Dotcom as being arrogant and wealthy, but ignored the fact that their own execs made a ton of money. We specifically called out RIAA boss Cary Sherman's 2009 salary. At the time, I realized it was odd that we hadn't seen any update on salaries, since they have to file these things publicly. Well, it turns out that the RIAA was just dragging its heels, and Torrentfreak highlighted the latest filing, noting mainly that the RIAA's budget is shrinking drastically, as members are paying less (in part due to massive consolidation from the major labels).

That said, it doesn't seem to have dampened the salaries the RIAA is paying its top execs. This report covers 2010, so it's out of date. Mitch Bainwol is still there and Cary Sherman is the number two guy, rather than top dog as he is now. Still, if being rich and arrogant is evidence of someone up to no good, the RIAA's top brass may have some explaining to do:
It certainly looks like nearly all of the RIAA's top brass are either deeply embedded in the top 1% of earners or very close to the borderline (about $380k per year). Mitch Bainwol and Cary Sherman each made over $1 million. Neil Turkewitz, Mitch Glazier and Steve Marks all made over $600k. Considering how phenomenally unsuccessful the RIAA has been over the past decade, you'd think that its members could find cheaper execs to keep driving the organization into the ground. As TorrentFreak points out, membership dues dropped from $49.76 million in 2008 down to just $27.88 million in 2010. You'd think that money could be spent somewhat more effectively, rather than pining for a past where they were gatekeepers in control of the market.


Reader Comments (rss)

(Flattened / Threaded)

  •  
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    lucidrenegade (profile), Aug 17th, 2012 @ 4:15pm

    #2 guy

    "Cary Sherman is the number two guy"

    Truer words have never been spoken. Always knew he was full of shit.

     

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    sehlat (profile), Aug 17th, 2012 @ 4:18pm

    Typical Modern Business Success Story

    As the company tanks, the executive salaries go up rather than down.

     

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    Lowestofthekeys (profile), Aug 17th, 2012 @ 4:36pm

    I can't believe it took them several years to realize that $16 million invested into legal fees was a bad idea.

     

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    SolkeshNaranek (profile), Aug 17th, 2012 @ 4:47pm

    Money

    It takes a lot of money to maintain that fairytale land where customers should only want what you care to provide.

    It takes a lot of money to maintain that isolation bubble that shields you from the reality of your out of date and failing business model.

    It takes a lot of money to keep the high polish on your rose colored glasses that let you pretend consumers don't pretty much universally hate you and all you stand for.

    It takes a lot of money to keep your conscience silent as you watch the artists get cheated at every possible opportunity.

    It takes a lot of money to keep your spine from turning into a corkscrew as you twist and bend the truth about how your industry is failing due to piracy and "theft".

    It just takes a lot of money, and if you give them a chance they will tell you how much they deserve it... and they'll do that with a straight face while looking you in the eye.

     

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    Capitalist Lion Tamer (profile), Aug 17th, 2012 @ 4:50pm

    ...you'd think that its members could find cheaper execs to keep driving the organization into the ground...

    I bet the old guy down the street who's always bitching about lawn intruders would do it for a year's supply of Hamm's, which works out to well below minimum wage.

     

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    SilverBlade, Aug 17th, 2012 @ 5:02pm

    They still will blame piracy somehow and cry like a whining bully who's just been caught to congress to fix their problems..

     

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    eca (profile), Aug 17th, 2012 @ 5:09pm

    Value of a job

    So,
    In the old days, and AS PER those on top..
    your wages are based on your production...your usefulness,,

    What are the Odds, that most of these guys work 1/2 days and go DO something else, and let all the LOWER PAID people do the job??

    Any guess's?

     

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  • This comment has been flagged by the community. Click here to show it
     
    identicon
    Anonymous Coward, Aug 17th, 2012 @ 5:17pm

    In a 5 billion dollar a year industry, I expect there to be some high wage earners.

    Why the fuss, unless you are just trying to once again sully their reputations?

    What amazes me is that your readers generally fall for this crap.

     

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      Lowestofthekeys (profile), Aug 17th, 2012 @ 5:23pm

      Re:

      IF you were smart, you'd realize that he doesn't need to sully their reputations. They've already done it oh so well.

       

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      • This comment has been flagged by the community. Click here to show it
         
        identicon
        Anonymous Coward, Aug 17th, 2012 @ 5:37pm

        Re: Re:

        if he does not need too, then why is he trying to hard to do it ??

        their wages are really not that high either !!, me thinks Masnick is crying for the sake of crying.. probably because masnick could only dream of earning money like that,

        If masnick thinks he could do the job better, why not apply for the job,, ?? I know.. because there is no way masnick would be able to run a business that makes any real profit..

        how do you make your money again masnick ?? by being a professional winger ! and permanent leach on society..

        Like many you cry about, they have achieved something, you can never expect to achieve, you know, respect, trust, ability to earn a decent wage, a job, or a direction in life.. so you spend your time in your twisted and bitter world, where you can wallow in your own crapulence.

         

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          Lowestofthekeys (profile), Aug 17th, 2012 @ 5:58pm

          Re: Re: Re:

          Trying hard? He's reporting news, it's not difficult to read this stuff online.

          "Like many you cry about, they have achieved something, you can never expect to achieve, you know, respect, trust, ability to earn a decent wage, a job, or a direction in life.. "

          You have an awesome sense of sarcasm, for a minute there I thought you were serious.

           

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          Anonymous Coward, Aug 17th, 2012 @ 9:38pm

          Re: Re: Re:

          Somehow when I read what you write I just see this.

          https://www.youtube.com/watch?v=V55Zq5whVCI

          With that said, this is the why for the "LoL" :)

           

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          techflaws (profile), Aug 18th, 2012 @ 4:18am

          Re: Re: Re:

          If masnick thinks he could do the job better, why not
          apply for the job


          Because he's just no morally corrupt jackass?

           

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      identicon
      Anonymous Coward, Aug 17th, 2012 @ 5:33pm

      Re:

      If the industry is "5 billion dollar a year" why are we being constantly told that said industry is dying?

      What amazes me is that they expect people to fall for that crap.

       

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      • This comment has been flagged by the community. Click here to show it
         
        identicon
        Anonymous Coward, Aug 17th, 2012 @ 5:46pm

        Re: Re:

        umm, because masnick is lying to you.. why else..

         

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        Anonymous Coward, Aug 18th, 2012 @ 3:13am

        Re: Re:

        "If the industry is "5 billion dollar a year" why are we being constantly told that said industry is dying?"

        Because it use to be more than 10 billion.

        PAY ATTENTION!

         

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          Anonymous Coward, Aug 18th, 2012 @ 4:07am

          Re: Re: Re:

          After you pay attention why from 10 billion it got down to 5 first.

          Hint it was not piracy.

           

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          identicon
          Anonymous Coward, Aug 19th, 2012 @ 12:09am

          Re: Re: Re:

          You know what? It's really not anyone's problem. Whenever issues like international customers not being served are brought up the argument is always, "It's entertainment, you've no right to it! Serves you right for being born in the wrong country!"

          So exactly why should I be concerned for the monetary welfare for something that is non-essential? You're going to call me a pirate anyway.

           

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      identicon
      Anonymous Coward, Aug 17th, 2012 @ 5:37pm

      Re:

      You could try reading the article, but I know that's above your pay grade.

       

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      That One Guy (profile), Aug 17th, 2012 @ 5:39pm

      Just in case anyone would otherwise fall for this...

      The problem isn't so much the fact that there are people that make a lot, but rather to point out the hypocrisy being shown here.

      These very same people who apparently take home a very decent wage, are the very same people who claimed that being rich and arrogant is the same as being guilty and/or a criminal; completely missing the fact that those two labels applied just as much to themselves as others(and more-so a lot of the time).

      As for your 'trying to once again sully their reputations?' line I just can't help but laugh, they do that far more effectively on their own, they certainly don't need help from an outside source for that.

       

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        Anonymous Coward, Aug 18th, 2012 @ 7:27am

        Re: Just in case anyone would otherwise fall for this...

        "These very same people who apparently take home a very decent wage, are the very same people who claimed that being rich and arrogant is the same as being guilty and/or a criminal"

        It's called projecting. The RIAA execs are rich and arrogant, and they got that way mostly by being guilty and/or criminals. So when they see someone else that is rich and arrogant (like Mr. Dotcom), they automatically assume that person must be guilty and/or a criminal.

        The idea that someone could become rich by providing a useful service or product that people want is completely foreign to the RIAA and MPAA.

         

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    •  
      identicon
      Anonymous Coward, Aug 17th, 2012 @ 5:49pm

      What amazes ME...

      ...is that in 2010, they spent over one-quarter of their funding to pay the salaries of eleven people.

      What kind of return did the 5 billion dollar industry get for that?

       

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        identicon
        Anonymous Coward, Aug 17th, 2012 @ 8:23pm

        Re: What amazes ME...

        Well, SOPA/PIPA failed. ACTA failed. The ISP/6-strikes hasn't rolled out yet but will probably fail.

        You get failure, apparently.

         

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      identicon
      Anonymous Coward, Aug 17th, 2012 @ 10:07pm

      Re:

      The soundtrack for this post.

      Youtube: Nyan Cat [original]

       

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    identicon
    anon, Aug 17th, 2012 @ 5:48pm

    LOl at anonymous coward

    LOL so you previously state that piracy is killing the industry , now you question how someone could site them making 5 billion and say they are a dying industry. I wonder what your excuse will be for getting tongue tied there.
    If you only come on here to insult the writers maybe you should be more honest about it and just insult them, call them names and get it out of your system, i mean you obviously have a lot of hatred bottled up there from comments you have previously made.

    I would stay away from here for a while, all that stress and anger building up inside you could cause health problems.

     

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      identicon
      [citation needed or GTFO], Aug 17th, 2012 @ 8:07pm

      Re: LOl at anonymous coward

      If you only come on here to insult the writers maybe you should be more honest about it and just insult them, call them names and get it out of your system, i mean you obviously have a lot of hatred bottled up there from comments you have previously made.

      I think he's done that already by using the words "Fuck off and die."

       

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    identicon
    Herman Harperink, Aug 18th, 2012 @ 6:26am

    Don't eat and read Techdirt!

    I won't, not anymore that is.

    "you'd think that its members could find cheaper execs to keep driving the organization into the ground."

    I spilled my food across the floor because laching and a mouth full of food don't match very well :-)

     

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    identicon
    herman_nl, Aug 18th, 2012 @ 6:35am

    Don't eat and read Techdirt!

    I won't, not anymore that is.

    "you'd think that its members could find cheaper execs to keep driving the organization into the ground."

    I spilled my food across the floor because laching and a mouth full of food don't match very well :-)

     

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    Thomas (profile), Aug 18th, 2012 @ 7:05am

    I thought..

    the only purpose of the RIAA was to prosecute "file sharers" and large salaries for the executives and big bonuses whenever they "caught" file sharers?

    Was there some other thing the RIAA was supposed to do? I heard a rumor that some money was given to the artists, but I never saw any proof. It sounded about on par with the Loch Ness monster; nothing but a crazy rumor.

     

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    Anonymous Coward, Aug 18th, 2012 @ 7:36am

    These are some of the lowest paid exec's I've ever heard of. Of course, you only really hear about exec salaries when they're making truly absurd amounts. This is drops in an ocean compared to some of the higher wage earners.

     

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      Anonymous Coward, Aug 18th, 2012 @ 9:20am

      Re:

      Point being, why are these executives getting paid this much if they've been claiming that their industry dying? (For a decade now, at that!)

      It being a drop in the ocean doesn't affect the query. On the other hand, if RIAA executives are getting peanuts compared to other executives, perhaps entertainment isn't that big an economic deal to begin with - which means (to no surprise) that the usual claims of piracy killing the economy are all nonsense.

       

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    identicon
    Lawrence D'Oliveiro, Aug 20th, 2012 @ 2:58am

    Performance Bonuses ...

    ... they have heard of them.

     

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    Anonymous Coward, Aug 20th, 2012 @ 7:05am

    Hypocrites All! The RIAA will die. It's a money sink-hole after their push on SOPA and trying to force Politicians to follow their line, only a stupid business would even pay them dues. Greed! Let's milk it for all we can get. The American Way!

     

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    Tunnen (profile), Aug 20th, 2012 @ 9:53am

    I should apply to the RIAA. I'll spew out twice the rhetoric and three times the allegations of piracy for the same pay as the current CEO. I'll even throw in two bonus "foot in mouth" comments per year!

     

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      Tunnen (profile), Aug 20th, 2012 @ 9:57am

      Re:

      But wait, that's not all! Hire me now and I'll double the amount of crap flinging! Just pay separate bonuses. That's four times the rhetoric and six times the allegation of piracy!!! This is a limited time offer, an operator is standing by!

       

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    Mike Martinet (profile), Aug 28th, 2012 @ 10:36am

    Fiction

    I wrote an Alternative History of the RIAA.

    Take a look if you get a chance.

     

    reply to this | link to this | view in chronology ]


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