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Alliance of Motion Picture And Television Producers (AMPTP) has hit back at what is called substantially “misleading” claims by SAG-AFTRA about contract offers by the studios and streamers.
A statement from AMPTP on Friday kicked off by asserting its members have offered more than $1bn in wage increases, pension and health contributions and residual increases as well as “first-of-their-kind” protections over its three-year term with particular regard to artificial intelligence.
AMPTP is taking issue with a chart posted by SAG-AFTRA on July called ‘SAG-AFTRA Negotiations Status as of July 13, 2023’ and said, “Substantial portions of that chart are misleading, either in the characterization of the producers’ offer or in the omission of key details.”
Click here to see AMPTP’s view on the SAG-AFTRA chart with revisions from producers, which AMPTP has called ‘What SAG-AFTRA Failed to Mention’.
Screen contacted SAG-AFTRA who issued a statement in response from Duncan Crabtree-Ireland, the Guild’s national executive director and chief negotiator.
“We will respond to this latest round of AMPTP spin when we have had a chance to review their document,” said Crabtree-Ireland.
”We unequivocally stand by the accuracy of everything we have said regarding the proposals. While we have made some progress, the AMPTP stonewalled us on many issues. On the three core issues that we have been talking about, the companies have not done what they need to do to treat performers fairly and we are not going to have a deal until they do.”
AMPTP noted in its new chart how the Guild proposed an 11% general wage increase in Year 1, 4% in Year 2 and 4% in Year 3 and said without an inflation-adjusted Year 1 increase its members would work for lower wages in real terms in 2023 than they earned in 2020. The Guild said AMPTP offered 5%, 4% and 3.5%.
AMPTP has countered, saying its offer was “historic by any measure” and said the last time the Guild secured a 5% general wage increase was in 1988 and said that based on theatrical and television earnings in 2022 the current offer would generated an additional $717m over three years. It added that wage increases in the 2020 negotiations generated $305m over three years.
On the subject of revenue sharing, SGA-AFTRA proposed casts share in revenues when their performances are streamed, allowing them to participate in successful shows. It said the proposal was rejected.
However AMPTP says its members had “fundamental objections” and repeatedly asked for the proposal to be removed as it was a roadblock to securing an agreement. The producers offered “substantial increases to residuals for High Budget SVOD programs” to the point where the largest services would be paying 22% more in residuals, including 76$ more in foreign residuals.
The studios and streamers have objections because they argue that while performers want to share in success they do not bear any of the risk. “Under the Union’s proposal, performers would be entitled to receive not only the existing fixed residual – which is paid to the performer even if no one is watching the program – but also a new residual which “shares” in revenue that is somehow attributed to the show. The Union proposes to “share” in success, but not in failure. That is not sharing.
“Further, the Union’s proposal does not “follow the money.” It seeks revenue generated by a streaming service, but that is not money that the Producer of a program is entitled to receive. The Producer of a program gets a license fee from the streaming service. That’s it. The Producer does not share in the subscription revenue that the streaming service generates, so it is completely illogical to ask the Producer to pay based upon that revenue.”
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