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Swiss Journal of Research in Business and Social Sciences

Music

Pay Me What You Owe Now

Iggy Azalea has publicly accused Universal Music Group (UMG) of withholding millions of dollars in unpaid royalties. She took to social media platforms to assert her entitlement to these funds, claiming that they are rightfully hers and that UMG has failed to honor their contractual obligations. This bold move highlights the ongoing struggles many artists face in receiving fair compensation for their work in the music industry. Azalea’s allegations are not just a personal grievance; they reflect a larger issue of transparency and fairness in the music business, making her outcry significant for both her career and the broader context of artist rights.

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The Australian rapper, widely recognized for her 2014 chart-topping hit “Fancy,” has taken a strong stance against UMG. In a series of posts on X (formerly Twitter), she claimed that UMG has consistently failed to pay her international royalties throughout her entire career. She expressed her frustration, stating, “It’s astonishing that throughout my career, I have not received a single royalty payment from Universal Music for anything outside of the USA. They owe me millions of dollars in back pay, which they have effectively stolen from me, as per my contract I am entitled to this payment. The amount owed is in the eight-figure range, which is substantial,” the rapper stated, shedding light on the significant financial stakes involved in her claims.

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Azalea further elaborated that UMG’s attempts to resolve the issue included a settlement offer that fell drastically short of her expectations. “Last week, they attempted to respond to my lawyer with a settlement of $18,000. I’ve been informed that this is a common tactic from their lawyers. After appearing in court, they often end up paying millions, which they are obligated to do according to the agreements in place,” she revealed. This statement not only highlights her personal grievances but also raises questions about UMG’s negotiation tactics and fairness in artist compensation.

Known by her birth name, Amethyst Amelia Kelly, Azalea initially signed with Island Def Jam under the UMG umbrella in 2013. She later transitioned to Island Records and ultimately parted ways with the label in 2018. Despite her departure from the label, Azalea alleges that UMG has continued to withhold her earnings, particularly those generated from international markets, thus perpetuating her financial struggles in the industry. Her situation underscores a pressing issue within the music business regarding the treatment of artists post-contract.

In addition to her personal experiences, Azalea has broadened her criticism to encompass UMG’s treatment of artists overall. “I want to publicly declare that I believe Universal Music acts as criminals who exploit ALL of their artists for their own financial gain … Universal Music must improve their treatment of the artists who generate millions for them through intellectual property they had no part in creating. It’s unacceptable,” she stated passionately. Her strong words reflect a growing dissatisfaction among artists regarding their treatment by major labels.

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The rapper’s final remarks were unfiltered, as she directly addressed the label with a clear demand: “Universal Music, mark my words, you will pay me what is owed.” She emphasized that her dispute with UMG has been ongoing for “over two years and counting,” showcasing her determination to fight for what she believes is rightfully hers. This prolonged conflict highlights the challenges artists face when standing up against powerful music corporations.

As of now, UMG has not publicly responded to Azalea’s serious allegations. This is not the first instance in which the label has been accused of withholding royalties from artists. The ongoing scrutiny of UMG raises critical questions about the transparency and ethical practices within the music industry, suggesting a need for reform to protect artists’ rights.

In a notable past case, Limp Bizkit filed a lawsuit against UMG, alleging that they were denied their rightful earnings due to a software system purportedly designed to “systematically prevent artists from being paid their royalties.” This precedent illustrates the ongoing struggles artists face when trying to secure fair compensation from major record labels.

Since leaving the major label system, Azalea has embraced her independence, releasing music on her own terms. Although she has yet to announce any specific legal actions, her social media posts suggest that her fight for her royalties is far from over, indicating her readiness to continue advocating for herself and other artists facing similar issues in the industry.

Iggy Azalea boasts an impressive record with four entries on the Billboard 200 chart, including her Grammy-nominated debut studio album, The New Classic, which reached No. 3, marking her highest position on the chart to date. Additionally, she has achieved three top-ten hits on the Billboard Hot 100 from a total of 13 entries, including the smash hits “Problem” (No. 2, featuring Ariana Grande), “Black Widow” (No. 3, featuring Rita Ora), and “Fancy” (No. 1, featuring Charli XCX). Her latest musical endeavor is the track “Money Come,” released last year, which features a remix with Ivorian Doll and Big Boss Vette, demonstrating her ongoing relevance in the music scene.

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