The Joint Negotiating Committee of the Screen Actors Guild (SAG) and the American Federation of Television and Radio Artists (AFTRA) reached a unanimous tentative agreement early this morning (4/1) with the Joint Policy Committee (JPC) of the American Association of Advertising Agencies (AAAA) and the Association of National Advertisers (ANA) on terms for successor agreements to the AFTRA Television and Radio Commercials Contracts and the SAG Television Commercials Contract, subject to approval by the SAG/AFTRA Joint National Board.
The successful negotiations were concluded just hours past the March 31 expiration of the prior three-year contracts.
A key provision of the new agreements calls for a two-year pilot study, scheduled to get underway on April 15, that will test the Gross Ratings Points (GRP) model of restructuring compensation to performers as proposed by Booz & Co, a consultancy firm which was commissioned by SAG, AFTRA and the JPC back in 2006 to explore and assess alternative compensation models to deal with the changing media landscape.
The new pilot study will be conducted by a jointly retained consultant engaged by the unions and the ad industry. The results and possible adoption of that study’s findings will be subject to negotiation by the parties not later than January 3, 2012.
Other highlights of the just struck commercials contracts include:
• The unions successfully protected the “Class A” residuals payment structure and continued unchanged the editing provisions in the previous contract.
• A 5.5% overall increase in wages and other compensation over the life of the contracts, including a 4.43% increase, effective April 1, 2009, in Class A, Wild Spot, and basic cable session fees
• For product made for the Internet or in new media, 1.3 times the minimum session fee for 8 week’s use and 3.5 times the minimum session fee for one year’s use
• A 0.5% increase in the employer contribution rate to the AFTRA H&R and SAG P&H plans bringing the total contribution rate to 15.3%. The agreement provides for a cap on P&H and H&W contributions.
• And increased foreign use payments under the Spanish Language section of the contract
Formal negotiations between the AFTRA/SAG Joint Negotiating Committee and the JPC began on February 23 and concluded on the morning of April 1 in New York City.
Details of the new agreement will be submitted to the SAG/AFTRA Joint National Board for approval at a date to be determined, and if approved, will be jointly mailed to the membership of both unions for ratification.
Apple and Google Face UK Investigation Into Mobile Browser Dominance
Apple and Google aren't giving consumers a genuine choice of mobile web browsers, a British watchdog said Friday in a report that recommends they face an investigation under new U.K. digital rules taking effect next year.
The Competition and Markets Authority took aim at Apple, saying the iPhone maker's tactics hold back innovation by stopping rivals from giving users new features like faster webpage loading. Apple does this by restricting progressive web apps, which don't need to be downloaded from an app store and aren't subject to app store commissions, the report said.
"This technology is not able to fully take off on iOS devices," the watchdog said in a provisional report on its investigation into mobile browsers that it opened after an initial study concluded that Apple and Google effectively have a chokehold on "mobile ecosystems."
The CMA's report also found that Apple and Google manipulate the choices given to mobile phone users to make their own browsers "the clearest or easiest option."
And it said that the a revenue-sharing deal between the two U.S. Big Tech companies "significantly reduces their financial incentives" to compete in mobile browsers on Apple's iOS operating system for iPhones.
Both companies said they will "engage constructively" with the CMA.
Apple said it disagreed with the findings and said it was concerned that the recommendations would undermine user privacy and security.
Google said the openness of its Android mobile operating system "has helped to expand choice, reduce prices and democratize access to smartphones and apps" and that it's "committed to open platforms that empower consumers."
It's the latest move by regulators on both sides of the Atlantic to crack down on the... Read More