Programming is unlike nearly any job, because we can make tools that recursively improve our productivity. We started out with machine code, then we made assembly, then we used assembly to write programming languages, then we used programming languages to write IDEs and LSPs and static analyzers, etc. This has enabled us to become extremely productive, which is part of why we're so well paid.
Things like better programming languages and tooling help everyone. But they're non-rivalrous anddue to the programmer preference for open-source relatively non-excludable. These combine to make programmer tooling a public good. (i.e. a good that's consumed by the public). That's the root cause of why programmer tooling is so bad, and why what exists is mostly funded by megacorps.
Luckily, there is a solution. I envision a sectoral association - an qssociation every programmer in the country could belong to. The goal is not to do collective bargaining, it's to solve the public goods problem of programmer tooling. These are the four goals I have for this association:
  1. Virtually no bureaucracy or overhead.
  2. Increase programmer pay by making programmers more productive via better tooling.
  3. Increase corporation revenue (via same mechanism as above).
  4. Minimal dues (likely 1% of total compensation).

A Molochian Force

(This section explains the consequences of something being a public good, feel free to skip if you already know.)
There is an interesting idea in evolutionary biology, that says that evolution selects for traits based on their relative fitness, rather than their absolute fitness. In the words of Yudkowsky:
This means that if a Frodo gene saves its whole species from extinction, the average Frodo characteristic does not increase, since Frodo's act benefited all genotypes equally and did not covary with relative fitness.
It is said that Price became so disturbed with the implications of his equation for altruism that he committed suicide, though he may have had other issues. (Overcoming Bias does not advocate committing suicide after studying Price's Equation.)
Genes that help everyone aren't selected for. Something similar happens with corporation (although corporations don't really evolve so it's not a direct parallel). In fact, this quirk of evolution is nearly a special case of the public good problem from economics. Quoting Vitalik:
The reason why public goods are underproduced is that anyone paying for a public good, by increasing the level of production of that public good, is benefiting N people, but is only themselves getting 1/N of that benefit. Ergo self-interested individuals will only contribute to public goods whose benefit/cost ratio is greater than N:1. It’s a tragedy of the commons scenario.
The issue that I am trying to point out is that programmer tooling is incredibly obviously underproduced, and the reason why is because it's a public good.
The counterargument to this is "well, someone should write a tool and sell it, and if it improves programmer productivity then companies will buy it and they'll make lots of money". For whatever reason this doesn't seem to work very well. Many new mainstream languages like Rust and Go are financed by large corporations that felt like they personally had a lot to gain from the creation of the language - and when Mozilla stopped feeling like it was benefitting that much from Rust development, they sacked half the Rust team, even though Rust development was definitely positive for programmers as a whole. Microsoft probably makes money from Github, and Jetbrains exists, but they're exceptions to the general rule of "programmer tooling isn't a profit center".

How Sectoral Association Can Solve This

Here's my suggestion. We make an association. Anyone can tell the association "I'd like to join". The list of people who have said this is kept secret. Once over 66% of employees at a company have said they'd like to join, a vote to join the association is automatically triggered. (And it will obviously pass, because you only need 50%+1 votes.)
Okay, but what are the consequences of a company's programmers joining the association?
  1. All employees join the association, which means they pay 1% of their income to the association as dues.
  2. The company is now able to use code that's been licensed as association-only, if someone for some reason wrote code with that license.
Let's set #2 aside for now. How is all the money from dues going to be spent?
Simple. Programmers can donate money, out of their own pockets, to anyone they want. In return, the association will use dues as a subsidy pool, to "match" their donation according to the quadratic funding mechanism:
Citizens make public goods contributions to projects of value to them. The amount received by the project is (proportional to) the square of the sum of the square roots of contributions received. Under the "standard model" this yields first best public goods provision. Variations [of this design] can limit the cost, help protect against collusion and aid coordination.
This matching system has several nice properties.
  1. It doesn't need any complicated bureaucracy to decide where the money goes. Instead, the association's money goes only to where each individual programmer is willing to put their personal money. I imagine these would likely be programming projects, but they could be whatever you want. (Givewell, the EFF, Blender, etc.)
  2. It actually does a good job at deciding where the money goes. Because programmers have to spend their own money to have the association fund "match" it, they probably won't donate money trivially. And the peculiar matching algorithm I mentioned has the nice property that it rewards projects in proportion to how big the donations are and how many different people are donating. This rewards tools that many people use, like Log4j and openSSL.

Sounds nice, but how can we actually make it happen?

I actually have a fun design for a positive feedback loop that would lead to wide adoption of the association, once we get it started! Here's how it works:
I mentioned before that we'd introduce a way to license code as association-only. Specifically, I suggest that we make a new "UGPL" license, which permits anything that would be permitted by the GPL and lets association companies do whatever they want.
It's obvious that if there's a lot of code licensed under UGPL, companies may benefit from associating (so they could use the code without having to follow the GPL's restrictions). How much the benefit is dependent on the amount of UGPL code in existence.
Here's the feedback loop: The main subsidy pool may not actually spend all of its money - if it doesn't, we take that extra money and put it in a special pool that's will all go to donations to UGPL-licensed projects. (If there's no money left over, the pool is funded from, say, a 25% slice of association dues.If you object to your association dues going to this, we should provide the option for you to donate that 25% to Givewell instead.)
Consider what happens if there's initially no UGPL-licensed projects. The first person who writes one and gets a donation would receive the entire subsidy pool. This would create a huge incentive for people to license their code as UGPL. (Which means also licensing it at GPL, since UGPL is a dual-license).
The idea is that this creates a feedback loop - the more companies join the association, the more money goes to UGPL projects. The more money goes to UGPL projects, the more UGPL projects there are. The more UGPL projects there are, the greater the incentive is to join the association.
The most elegant part about this is that it would also make the GPL much more attractive. Any popular GPL project can now get a ton of cash from the association, in exchange for granting the association a permissive license. For the first time it may be more profitable to license your code under the GPL than it would be to make it proprietary.

How much bureaucracy?

First of all, we'd need lawyers to enforce the UGPL. But I don't think of this as "bureaucracy" - we can just have the association's legal defense fund be a project that association members can contribute to. Then those contributions would be matched from the subsidy pool the same as any other project.
It's a similar story for the tooling to automatically record contributions and pay creators from the subsidy pool. Once bootstrapped with some seed money, this could be funded the same way as the legal defense fund.
These are the decisions the association would have to make:
  1. Setting association dues.
  2. Setting the size of the smaller subsidy-pool for association-licensed code.
  3. Changing the matching algorithm.
Since there's so few decisions to make, you wouldn't need any complicated association leadership election process or anything like that. There could just be an annual vote on each of these.

Everyone wins

The best part about this association is that nobody loses. Companies get more productive programmers, programmers get better libraries and tooling, and projects that programmers are interested in get money to finance development. What's not to like?
If you're interested in this idea, please join my Discord or message me on Twitter.

FAQs

What about collective bargaining?

I'm trying to solve the free-rider problem for public goods here, and I don't think that a sectoral association should try to do collective bargaining very much. But I'll note that, if that's something you're into, membership in this association would not be mutually-exclusive with membership in a association that does collective bargaining. I consider this to be almost two completely separate issues.

Why use a association, rather than just relying on voluntary donations?

If people can voluntarily join, you get the free-rider problem, where nobody has a personal incentive to contribute even though everyone benefits from contributions. Even though everyone wants the program to exist, nobody is personally incentivized to join the program. Associations solve this problem because in the US there's a mechanism were you can hold a vote and if 50% of workers want to join the association, everyone associates. Since everyone benefits from the association's existence, everyone is incentivized to vote to join the association.

What about kickbacks and collusion?

This design is more resistant to kickbacks and collusion than most matching systems. For example, the US lets people deduct charitable donations on their taxes - so in theory, someone could start a charity, donate to it to get the tax deduction, then have the charity secretly return their money to them.
Even though it's illegal, people actually do this sometimes. But our matching scheme is resistant to this attack - if you're the only one donating, the subsidy pool doesn't add to your contribution. (Recall that the total amount received by the recipient is the square of the sum of the square root of the contributions.) The subsidy pool has the largest effect when there's many similarly-sized contributions to a project - if there's one whale donor and a bunch of small donors, the subsidy pool donates little overall.
[T]he mechanism provides much greater funding to many small contributions than to a few large ones. This is not for any reason of equity or distributive justice, though there may be good reasons from those perspectives to admire the outcome it delivers. It is instead because large communities of citizens each receiving only a small benefit tend to be disadvantaged by Capitalism relative to concentrated interests, a central concern in democratic theory since at least Madison (1787) and famously associated with Mancur Olson’s (1965) Logic of Collective Action.
Okay, but we can imagine a cartel of people, each donating a little, then sharing the gains from the subsidy pool among themselves. This is already getting into the realm of implausibility in my opinion, but sure. This attack can be mitigated with a pairwise-funding system, where two people are assumed to be more "coordinated" the more they donate to the same projects, and the matching coefficient for highly coordinated users is lower. This would require the members of the cartel to donate to lots of projects besides the phony one they all are donating to.
Okay, but in theory you can have many cartels, and each person donates only to a few of them, so that all of the cartels are highly funded but no two people have most of their contributions going to the same projects. (Keep in mind that there are lots of matching programs out there, used for matching campaign contributions and things like that, and none of them have put nearly this much effort into being collusion-resistant.) But fine. We'll also assume that nobody tips off the association to this behavior so the rest can be sued for fraud by the association's legal defense fund.
An interesting mitigation for this attack to this is to make contributions anonymous, so you cannot prove that you contributed to a project even if you wanted to. This would mean cartels have no way of knowing who's actually donating, and who's only pretending to donate to get the money. It would be in everyone's incentive to pretend to be part of the cartel but not actually donate, which would make big cartels nearly impossible to sustain.

Tell me more about the properties of the subsidy pool's matching algorithm

This is described in more detail in the paper, but for for starters, we have three nice properties:
  1. Changing currencies makes no difference.
  2. Groups can gain nothing by splitting or combining projects with the same group of participants.
  3. It matters little precisely how frequently the mechanism is run, whether donations are aggregated at the monthly, daily or yearly level, unless the pattern of donations is temporally uneven in an important way.
It also has the nice feature that projects that are useful to more people get more money than projects that are only useful to one person - because projects that are useful to more people should get donations from more people.