2005 Contract Q & A

 

Q We hear about huge DVD sales. Why didn’t we get a bigger piece of the DVD pie?

A.  The formula in our current contracts is based on DVD profits. From 2001 to 2004, DVD residuals grew 54% - $115 million to members in the last year alone.  While we made a serious proposal to increase our share, the employers made it clear that they were prepared to force us into a strike over this issue.  A threat the DGA and WGA apparently believed when they settled without any increase in DVD residuals. We leveraged the producers inflexible position on DVDs into gains in other areas of the contract, and kept members WORKING.

 

Q. Isn’t letting the networks run select new programs more than once in 60 days without residuals (the “launch”) a rollback?

A.  Only if you consider the effort to encourage and promote scripted dramatic programming a rollback. We have recently seen that running a new show more than once in a short time frame can work to build an audience. Absent that audience, a new program may not survive and no one gets the work, let alone the residuals that flow from a successful show.  With so many hours formerly filled by scripted shows now covered by reality programs, we made a decision to support incentives to get the shows that employ actors on the air and help them thrive. Pay TV has used this technique to “grow” their new dramatic programs for years. The end result…...mega hits.  Unlike Pay TV, however, these reruns have not been the norm in network prime time, which means these are not payments members had been receiving are now being asked to give up.  

 

Q. $200 million dollars in the package is a pretty big number. What does that mean to me?

A. Here’s exactly what the 200 million dollar figure means to you:

Increase in Principal performers minimums              +133.4 million

Increase in Union Background jobs                          + 10.0 million

Increase in Background Actor minimums                 + 10.8 million

Increase in producer pension & health contributions  + 60.0 million
(Including raising contribution cap for theatricals.)

 

Q. Why did we agree to a deal before the contract is up in June?

A. While it may seem logical that waiting until the 11^th hour will result in a better deal, that’s not necessarily the case. Leverage comes in many forms. Timing bargaining just prior to pilot season, and before producers had really started to prepare for a slowdown or strike, gave us power. In addition, like the other industry union’s we were committed to finding out whether a deal could be made early enough to keep everyone working without interruption.  It could and we did. 

 

Q. What’s in this deal for background actors?

A. With the across the board increases in minimums totaling about 10 million dollars and the increased background jobs on the west coast, about 75,000 over the life of the agreement, we finally broke through in an area where the producers had refused to budge for 13 years. In addition, we held our ground in New York and maintained the status quo in background jobs and zones. Once again there was NO DECREASE in NY background jobs and the increases in the west coast numbers brings us ever closer to total unification of background terms and conditions on both coasts.

 

 

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