Live Nation CEO Michael Rapino was among the cheerleaders celebrating the entertainment giant’s promise to pay workers at its venues at least $20/hour this week – part of the so-called “On The Road Again” initiative at its owned and operated clubs. Now these workers – many of whom are likely part-time employees with no access to company benefits – only need to make 3,341 times more to catch up with what the longtime executive made per hour last year.
Rapino announced the new pay details on Tuesday, which will roll out at clubs across the U.S. and Canada and impact an estimated 5,000 crew members. Hourly club staff will make a minimum of $20/hour while supervisor roles will carry a minimum pay of $25/hour.
“Shows wouldn’t happen without the unsung heroes who work in the background to help support artists and fans,” Rapino says in a press release issued by Live Nation, which announced its revenue for 2023 to date is $16.9 billion with its Q3 figures last month. “In addition to developing artists, clubs also help industry professionals learn the ropes, and many of our promoters and venue managers worked their way up from smaller venues. The live music industry is on track for years of growth and offers a great career path, and by increasing minimum wages we’re helping staff get an even stronger start as they begin their journey in live.”
Meanwhile, Rapino and other key executives made thousands of times what they pay their median employees, based on salary figures released for 2022. Rapino’s compensation reached a staggering $139 million for 2022 – much of that based on bonuses triggered by the company’s enormous profit growth, itself driven on an engine of surged ticket prices across the globe. Breaking that figure out, it means the CEO earned an average of $2.76 million every week, or $66,827 per hour – assuming he works a 40 hour week.
The pay package drew rare condemnation from Live Nation shareholders earlier this year, reflected in a (non-binding) rebuke of the pay packages in a so-called “say-on-pay” vote.
Live Nation’s “On the Road Again” program has previously drawn headlines for its promise of better revenue systems at its owned and operated clubs. The program includes promises to halt the practice of keeping a portion of band’s merchandise sales at shows, as well as gas and food stipends paid to headlining and supporting acts at these venues.
Independent venues – who have been providing critical support for Live Nation’s attempt at convincing lawmakers to reform ticketing laws in a way that effectively grants it full regulatory control of its own industry – have criticized the program as a short-term and cynical ploy to draw positive media coverage and harm independent venues, which cannot hope to provide such cash bonuses.
