Intuit-owned Mailchimp has abruptly ended its contract with Audacy’s Pineapple Street Studios after refusing to employ unionized workers. Pineapple Street staff unionized last fall, which has become more prevalent in the digital audio space as workers seek better conditions.
Despite a history of successful partnerships with Audacy, including narrative ads and branded series since 2019, Mailchimp withdrew from the project and existing collaborations. Christina Scavone, a spokesperson for Mailchimp, cited various business and creative reasons for the decision, initially not denying the union issue’s role in the cancellation. However, she later clarified that the union had nothing to do with Mailchimp’s decision to pull out.
Mailchimp’s decision, although within their rights, has raised concerns about the influence of unionization on client relationships in the podcast industry. Studios including Gimlet, iHeartPodcasts, Crooked Media, and Pushkin Industries have all unionized in recent months.
This situation reflects the evolving landscape of the podcast industry, where larger corporations’ financial pressures are beginning to affect the podcast studios they have acquired. The union’s involvement, while aimed at protecting workers’ rights, has introduced new complexities in client negotiations, affecting business relationships and potentially shaping the future of podcast production and sponsorships.
