Thursday, July 14, 2016

Judge Judy: Super Marginal Revenue Productivity

Judge Judy, Judy Sheindlin, is paid $47 million dollars a year in annual salary to appear on the CBS show Judge Judy.

According to the plaintiffs, the show has grossed over $1.7 billion since it first went on the air back in 1996, which mans the show generates approximately $85 million annually in revenues.

We know this because of a lawsuit.

-RW

1 comment:

  1. Judy might not actually not be paid 47 million. Part of what the suit seems to be alleging is that CBS is using Judy's salary as a profit killer to make the show look like a loser on paper so that profit sharing doesn't kick in.

    I am not sure how one would make it look like an employee was paid a certain larger amount when, in actuality, they were paid a smaller amount but I have suspected that all entertainment companies, and talent representation firms have been doing this for years, especially sports teams.

    It's a win-win if you think about it: The talent gets the prestige of everyone thinking they're drawing big figures. The talent agencies get the reputation that they secure the most for their clients, and the employer get to claim losses and lower tax liabilities. The only losers are the schmucks who would enter into a contract where payouts are based on profits and maybe the slack jawed masses who kneel at the edifices of the entertainment industrial complex.

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