Public Lending Right Commission's Growth Management Strategy
In June, 2008, the PLR Commission unanimously adopted a Growth Management Strategy in the form of a payment scale.
The new payment structure will be in place for the February, 2010, author payments.
Under this strategy, a payment scale will be introduced where books registered with the PLR program will be divided into four categories, based on the number of years they have been registered with the program. The amount paid in each category will correspond to a certain percentage that will decrease with the number of years a book is registered.
Number of Years Title |
Payment if Title Found |
Category I: 0-5 years |
Maximum Hit Rate |
Category II: 6-10 years |
80% of Hit Rate |
Category III: 11-15 years |
70% of Hit Rate |
Category IV: 16+ years |
60% of Hit Rate |
*N.B. This scale applies to authors claiming 100% of a PLR payment.
The date of publication, edition or reprint of a book, which has never been taken into account by the PLR to date, will not be a consideration in calculating the PLR payment. It will have no impact on the category of the book.
For information, once a title is registered, the PLRC annually adds to its database all the ISBNs of subsequent editions it finds in the catalogue of Library and Archives Canada.
The PLR will divide the budget based on percentages for each payment category. No author whose books are found in the annual library sampling process will ever lose his or her payment entirely.
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Every year, authors register over 3,500 new eligible titles in the Public Lending Right program -- over 600 new authors join the program annually. This indicates a vibrant written culture and the overwhelming success of the PLR program.
Due to this success, the Public Lending Right Commission has been grappling for several years with a very difficult situation: the inability of government funding to keep pace with growth in the Public Lending Right program.
The Commission has calculated that it would require an infusion of close to $500,000 annually from government to keep pace with this growth. |
Since 2002, the PLR Commission has evaluated the various options available to manage the growth of the program. A committee composed of writers studied several alternatives to the current payment method and tested different scenarios on the broad range of authors and titles registered in the Public Lending Right program. Some scenarios would have seen certain kinds of authors excluded from the program; others envisaged a system in which titles would not be paid after fifteen or twenty years in the program.
The challenge for the Commission was to develop a system in which payments would remain relevant for all authors. In June, 2008, the PLR Commission unanimously adopted the Growth Management Strategy, a payment scale to be implemented for payments in 2010.
Why is the PLR doing this now?
The PLR Commission has been discussing the issue of the demand on the program since its second year. On average, every year, over 3,500 books are added to our sampling process. Since the funding of the program has not kept pace with the demand on the program, the PLR payments risk becoming insignificant.
After 20+ years of operation, it is only good, prudent management to review our policies.
The PLR is rewarding the creative process, by encouraging authors to create by paying more for more recently registered titles.
Why this plan?
The PLR Commission, a group of writers, publishers and librarians, examined a series of solutions and this was the best one. The PLRC wanted to be sure that no one lost his or her payments entirely and this plan ensures that.
Since its beginnings in 1986, the PLR has worked to maximize payments to authors; this plan continues the philosophy while dealing with the reality of our budget.
Will I lose my payments?
No. With this plan, no author will ever lose his or her payments entirely if his or her books are found. In fact, this plan is fair in that all authors share equally in any future increases or cuts the PLR will have. If the PLR’s budget goes up, your payment will automatically increase if your books are found. Payments will always be equally pro-rated.
Does this plan penalize older writers?
The growth management strategy rewards the creative process, by encouraging authors to create by paying more for newer-registered titles. The plan rewards active, producing writers, no matter how old they are. Older writers enjoyed years of high payments which newer writers may not ever experience.
The maximum payment is much higher than what we could offer with the old model. In theory, a senior writer could actually receive a higher cheque, even if all his or her books are in the 15+ year’s category.
There is no age discrimination against authors, because we pay for titles found in libraries. We focus on the aging book, not the aging author.
Why can’t I have the same payment I’ve always had – that I’m entitled to?
This plan reflects the natural life cycle of a book in print. The highest royalties are generally earned when the book is new; they tend to diminish as time passes. Similarly, the PLR will now pay less for titles which have been registered longer.
The PLR must manage its limited funds in such a way to give the maximum impact to all authors.
Isn’t the PLR payment a right?
The PLR is a program, not a right, administered by an independent Commission under the aegis of the Canada Council for the Arts. It is not linked to Copyright legislation; the PLR program provides payments to Canadian authors for the presence of their books in public libraries. There is no Canadian legislation regarding PLR.
Authors have a moral right, if not a legal one, to be reimbursed for the use of their books in libraries. But we respect that right by insuring that no book is ever cut from the program. The minimum payment is always $25 for a book found in the library sampling process.
What happens with this plan if the PLR gets additional funding or a cut?
The PLRC is committed to this plan and its basic principle of paying less for books which have been registered longer. If the PLR gets a cut or an increase, the Growth Management Strategy will still apply.
