DVD:  Myths vs. Reality

Myth:  Actors are left behind in the DVD boon.

 

Fact:  Both SAG and AFTRA have DVD residual payment provisions in the current contracts. In fact, last year actors received $115 million in video and DVD residuals — with total video and DVD residuals increasing 54% over the last three years for which data is available. 

 

Myth:  If we just hold out long enough, the producers will give us an increase in the DVD residual formula.

 

Fact:  Not according to the employers.

1.      As of 2000, producers pay residuals on 62% of their revenue (and that percentage is increasing) — in the early 80’s when they agreed to the existing formula, residuals were paid on only 35% of their revenue.  They now assert that the DVD/video is a primary market.

 

2.      Producers currently pay residuals on all motion pictures released to DVD — winners and losers.  They really want to pay only on winners — if at all. That would mean loss of income to thousands of actors.

 

3.      Producers didn’t give an increase to the WGA or the DGA.  And, they made it very clear to us at the bargaining table that they would force the issue to a strike, and still not budge. 

 

Myth:  SAG did not conduct “due diligence” on this issue prior to bargaining, nor did they examine alternative proposals.

 

Fact:  SAG conducted extensive research prior to negotiations.  As for alternative proposals, those now opposing the agreement put none forth. Nor did the producers offer any indication that their objection was to the specific formula proposed.  They simply did not want to pay any more money for DVD. (see #3 above)

 

Myth:  SAG and AFTRA never took this proposal seriously.

 

Fact:  The DVD proposal was on the table on the first day of bargaining …and the DVD proposal was on the table on the last day of bargaining.  Negotiations always require a balance — between assessing what is necessary and what is achievable.  At the end of the day, the members decide whether the proper balance has been met. 

SAG/AFTRA Joint Contract Referendum Hotline: 800-217-6121 (9 am – 5PM PST)

  or email: sagaftra2005TVTHref@sag.org
www.sag.org      -     www.aftra.com