As one of London’s top five modelling agencies has closed due to
bankruptcy, the question arises how difficult it is for models to earn a
living, and how fair the agencies are paying out their fees.
According to the Competition and Markets Authority (CMA), the top five
agencies, including FM which closed in January, have been accused of
collusion and price fixing.
After a series of raids in 2015, none of the agencies has so far responded
to the accusations, which at this stage are provisional findings.
The CMA said High Street fashion chains were among those who may have been
charged too much for hiring models, however it is not the models who are
reaping the reward from high fees.
“The allegations concern prices charged to a range of customers, including
high street chains, online fashion retailers and consumer goods brands,”
said Stephen Blake, senior director of the CMA’s cartels and criminal group.
“The CMA alleges that these five model agencies sought to achieve higher
prices in negotiations with their customers by colluding instead of
competing.”
Whilst for high earning models such as Kate Moss and Naomi Campbell there
is always plenty of work and lucrative pay, it is the thousands of young
women and men working in the industry with a much lower profile and income.
Questions are being raised over how well these jobbing models are being
treated by the agencies who are supposed to represent their best interests.
Models are often charged to have their first set of photos taken. It is not
absurd to have to pay 400 pounds for a hair cut from a salon recommended by
the agency.
In an interview with the BBC, one model, who opted to stay anonymous,
shared her experience after having worked for five years in the industry
and being represented by a reputable agency. She says pay rates have
fallen in recent years.
“All the first jobs I did were free. When you do a commercial job for a
High Street brand or a big ad campaign they pay money, but editorials –
everything you see in industry magazines – you don’t get paid for those at
all. It’s an unwritten rule in the industry that you have to do them to get
your profile up. You’ve got quite a lot of girls who can’t afford to live
and are going to the agencies to ask for advances on money and are getting
into debt.
“When you get your money it comes with a statement and there are always
unforeseen charges on the statement. It’s never set out what they’re
charging you for and the more you’ve earned the more weird charges there
are on your account.”
The CMA investigation is the first time the association has investigated
businesses in the creative industries.
Image:Joshua @ FM Models