Music distribution service DistroKid remains under fire from its employee union after laying off 37 workers last November.
The company, which distributes around 30 to 40 per cent of all new music globally, claimed that the cuts were part of a larger effort to improve customer service, specifically “by expanding to 24/7 customer service with faster response times.”
At that time, the union voiced its concerns, stating that half of the affected unionised workforce was targeted by the cuts, including five out of seven members of the bargaining committee.
Now, union chapter president Bill Bores has spoken to Billboard, criticising the slow progress of collective bargaining talks and highlighting the company’s decision to replace US staff with an outsourced support team in the Philippines, managed by offshoring firm Concentrix.
“My union knows that company very well because they have been involved in providing scabs and people to cross picket lines and thwart union drives,” Bores tells Billboard.
”So not only did they lay off American workers who are unionising, they sent their work to the Philippines to workers there that make very little compared to the workers here in New York.”
Political roadblocks have also complicated the union’s efforts. The National Labour Relations Board (NLRB), typically the arbiter in such labour disputes, finds itself hamstrung after one of its board members was fired by president Donald Trump, leaving it unable to hear complaints or enforce action.
In response to the criticism, DistroKid defends its decision, stating: “Since initiating our ramp-up to 24/7 support late last year, artist response times have improved by 74 per cent over the past three months and 90 per cent year-over-year.”
“Achieving this level of service required making difficult decisions that impacted valued team members, and we are deeply grateful for their contributions.”
One former employee, Wilson Rahn, however, disputes DistroKid’s claims, arguing that the company’s decision was not about improving service but about targeting union supporters.
“My perception is that they were not bargaining in good faith,” Rahn says. “I worked on their customer support funnel, made it faster and more effective and had a record of showing that I was succeeding in that. So my firing is pretty clearly, in my opinion, just because I was vocally supportive of the union.”
With limited legal avenues available, Bores says the union’s only option now is to apply public pressure to force DistroKid to return to talks. While union and company representatives held their first collective bargaining session last July, discussions have stalled due to a supposed lack of availability from DistroKid’s side.
“We finally got something on the calendar with them for October,” Bores recalls, “when the company’s attorney called me and said they’re going to fire half the unit.” The 37 affected employees were initially placed on administrative leave before being officially terminated — many of whom had been vocal in supporting the union effort.
