NEW YORK—By a whopping 94 percent majority of ballots cast, actors voted to ratify a new three-year television and radio commercials contract. The agreement officially took effect on Oct. 30, ending a process that was 180 degrees from the machinations of the prior contract negotiations, which saw on-and-off-again talks, considerable acrimony and a six-month long strike that exacted a heavy toll on the spotmaking community in 2000.
This time around, negotiators for the Screen Actors Guild (SAG) and the American Federation of Radio and Television Artists (AFTRA) hammered out an agreement with the Association of National Advertisers/American Association of Advertising Agencies Joint Policy Committee (JPC) on Broadcast Talent Union Relations shortly after formal talks began. That’s because ongoing behind-the-scenes discussions between the chief negotiators preceded the start of formal face-to-face meetings on Sept. 23 in New York. A tentative deal was announced on Sept. 24.
This marks the first time in recent history that the actors’ contract was negotiated and ratified prior to the expiration date (Oct. 29) of the then current agreement. Highlights of the new deal include: a one percent increase in contributions for the SAG and AFTRA health and pension plans; a seven percent gain in session, holding, foreign, theatrical/industrial and Internet fees; a five percent hike in wild spot use fees; a 15 percent increase in Spanish-language program use fees; a 20 percent jump in fees paid to voiceover performers for cable use; a five percent increase in fees for on-camera performers in national cable use; and a 6.1 percent hike in session fees for background actors. The agreement also creates a special subcommittee of the Industry Union Standing Committee to study the issue of "multiplexing" (the practice of broadcasting two or more programs simultaneously over different channels of the same network).
As earlier reported (SHOOT, 10/3, p. 1), members of the Association of Independent Commercial Producers and the Association of Independent Creative Editors expressed relief over a deal being reached. Now with membership ratification, the agreement ensured that there would be no disruption of production.
FILM/TV TALKS
Next on the actors’ agenda is negotiating with the major studios on a new film and TV contract to replace the pact that is scheduled to expire in the summer of ’04. Those talks are expected to be more difficult than the commercial negotiations, with film/TV issues that include health care and the sharing of DVD revenue.
The film/TV contract situation is also of keen interest to the commercialmaking community, which has cause for optimism in ’04 given that it’s a year marked by major ad revenue generators—the Olympics, the national election, and assorted state and local political races.
However, potentially dampening that optimistic ad industry outlook would be an actors’ strike that could conceivably delay the start of the fall primetime TV season, causing advertisers to curtail their original spot production. Media buyers at major ad agencies have expressed concern that a strike could compromise the TV landscape, prompting an overload of reality and news shows that would lead to a fall programming mix not as inviting to sponsors as the perennial menu of first-run sitcoms and drama series.