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Old 11-02-2007, 03:32 AM   #1 (permalink)
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Unhappy Writer's Guild of America...looks like we're going to strike

Well, it pains me to tell you that tonight it became pretty much official. After months of dead end negotiations with the Alliance of Motion Picture and Television Producers (AMPTA), over 3000 of us gathered in the Los Angeles Convention Center with our negotiating committee, marking the largest single meeting turnout in Guild history.

The issues, relative to the common "house cleaning" issues that normally require addressing at the end of a contract are, in a word, monumental. We believe that the resolution to these issues will reach far beyond the term of the new contract, perhaps decades beyond.

From the WGA.org site: (I've only included the three key sticking points, there are many more)

<!-- LITERAL 1 --><!--Ektron CMS FormBlock-->



The Guild Responds to the Companies' Proposals

During MBA negotiations on September 19, 2007, the Guild gave its response to the Companies' so-called Comprehensive Package Proposal. The Companies' proposals are comprised of 32 single-spaced pages containing rollbacks of every fundamental protection writers have won in the last 50 years.

Not surprisingly we rejected virtually all of these proposals.

We hope that the Companies will drop the posturing and begin serious negotiations so that a fair deal can be reached.

What follows is a summary of the “highlights” of the Companies' proposals and the Guild's response.
  • Residuals for "new media" distribution. The Companies want new media distribution - such as ad-supported streaming or cell phone mobisodes - to be completely free. The Companies would pay no residuals at all.
  • Guild response: The fair share of new media revenue that writers deserve should not depend on whether their work is sold, rented or streamed. That is why the Guild has made a simple proposal: writers should receive 2.5% of revenues from ALL new media distribution.
  • No coverage of writing for new media. The Companies' proposal denies the Guild jurisdiction over writing for new media: the Internet, cell phones and other digital technologies.
  • Guild response: The Guild demands jurisdiction over writing for new media. Increasingly, there is no distinction between programs developed for television or the Internet. Without Guild representation, writers will be coerced into doing Internet writing for little or no compensation, without any of the protections of the MBA.
  • Home Video (Videocassettes and DVDs) Residuals
    We propose to double the home video residual formula from 0.3% to
    0.6% for the first $1 million in reportable gross and from 0.36% to 0.72% over $1 million. Members currently receive 0.3% of the distributors’ gross for the first $1 million and 0.36% thereafter. This amounts to less than 5 cents per unit for a typical videocassette or DVD. The 0.3% and 0.36% home video residual formula was negotiated in 1985, when the cost of manufacturing and distributing videocassettes was a significant factor in the cost structure for the studios. The AMPTP companies argued that they “needed a break” in order to develop this “unproven business model.” In the years since, as the cost of manufacturing and distribution declined to become a negligible factor, and the business model proved to be one of the most profitable of any of the segments of the entertainment busness, the companies have fiercely resisted any change in this formula. Industry analysts predict that home video will continue to be a very important revenue stream for years to come, and it is clearly long past time for an improvement in the home video residual formula.
From what I understand:

Basically, we were told that the Companies want the right to stream feature films and television shows in their entirety, and not pay us for our work. Part of our pay structure is residuals. Residuals allow us to live between jobs, i.e., when shows end, get canceled, etc. The same way book authors get paid per paperback sold, or inventors per unit item sold, we rely on residuals as part of our income. One of the ways the Companies apparently rationalize this move is by claiming that the broadcasting of these shows on the internet/cell phones in their entirety is advertising for the shows, therefore they shouldn't have to pay. We all know that the internet is the future; capitulating to the companies demands as outlined above would be, in our opinion, tantamount to career suicide. The DVD issue is pretty clear; we learned a big lesson from the '85 negotiation, which we don't want to repeat with new media in the future.

The effects of a strike will be devastating on many levels.

Effects on you, the audience:

The first thing you'll notice, perhaps as soon as Monday the 5th, are shows such as Leno, Letterman, The Daily Show, SNL, Conan, and other shows produced live or on a daily basis...potentially "going black," or broadcasting reruns. I heard that in the '88 strike, Letterman tried it without writers. Maybe they'll bring in scabs. We'll see.

In a few weeks, the Nets will probably be out of one-hour (drama) and sitcom scripts. Even before that, the scripts they do have will be unable to be rewritten. **A bit of perspective on that - when we distribute the first draft of a shooting script, the pages of the script are all white. As changes are made with each revision during the prep process (and even into shooting) each change is done on a different color paper. First pink, then yellow, goldenrod, and so on. I think I can safely say, that in over three years of working on J.A.G. we never had a single white page left in a final shooting script.

Feature films have it a bit better - the studios, in anticipation of all this, have been stockpiling scripts for some time. Still, rewrites are common and will not be permitted in the event we strike.

Additionally, the Teamsters have issued a statement of support. While they do have a "no-strike" clause, which as a union prohibits them from walking out in sympathy to another union, they are advising their members that they DO NOT have to cross picket lines, and may not face retribution for their refusal to do so. As the Teamsters drive all the trucks, do all the location scouting (on the west coast) and include the casting directors, this support is critical.

The Screen Actors Guild is 100% in support of our position and will send members to our picket lines.

If a prolonged strike happens, prepare yourselves for a plethora of "reality programs," and news.

Economic effects:

The effects of a long lasting strike on Southern California could be devastating. We're talking potentially billions in losses. Besides the obvious devastation to the entertainment industry, this would hurt everyone, from restaurant employees, to real estate, car sales, etc. etc.

Personally:

Two projects I have been working on for the better part of four years are now in serious jeopardy. I had to leave a phone conference with the director and star of one of those features to go to the meeting last evening. The Director's final question to me was, "Do you feel comfortable going to cast with the draft as it is?" Hell no, I don't. I have between now and possibly as soon as this afternoon to get the draft in shape. I'm normally allowed weeks for this kind of work. Years of work, potentially screwed in the eleventh hour, fifty-ninth minute.

This is simply devastating and quite painful. I'm not exaggerating when I say that the town is literally in a panic, as I'm sure others who live here and work in the industry will agree. So many people stand to lose their livelihoods. Many of the Producers we're negotiating with I count among my closest friends. This is basically a civil war brewing, and like all wars there will be no winners. That being said, the only thing we want less than a strike is a contract we can't live with.

There's so much more I could add here, (dilemma of hyphenates, legal actions threatened, etc.) but I've gone on for too long as it is. I appreciate the opportunity to vent here and discuss this amongst those of you who are interested.

I'm sincerely praying for an eleventh hour miracle.
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Old 11-02-2007, 03:41 AM   #2 (permalink)
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$0.05 per DVD? That's whack. Greed.

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Old 11-02-2007, 03:43 AM   #3 (permalink)
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Good luck. I don't see this as being easy if the companies are going to take a hard line. I was reading on CNN & other websites about it. It doesn't sound pretty.
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Old 11-02-2007, 03:48 AM   #4 (permalink)
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As a writer, I can't appreciate what you're experiencing, because I'm not a good-enough writer to let writing be my sole source of income.


On a serious note, I'm sorry you're going through this. I hope things work out for you when the dust settles, and I hope the dust settles soon. Stay strong and please keep us posted. In the mean time, go for a drive. California has too many amazing roads of which you should be taking ample advantage in an attempt to clear your head.
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Old 11-02-2007, 04:01 AM   #5 (permalink)
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Hmmm. From the sound of it, this tug of war will last quite a while. There is a lot at stake, especially with newer (internet, streaming) media. Greed is clearly evident in the companies' position. I completely understand that residuals are important not only to the writers, but to the audience as well, since they are part of a formula that works.
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Old 11-02-2007, 08:04 AM   #6 (permalink)
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Good luck Alan, I hope it gets resolved quickly!

I can certainly relate as the internet has opened up a can of worms in my business too
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Old 11-02-2007, 08:09 AM   #7 (permalink)
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I'm sorry to hear about the strike, Alan. My best friend is WGA/DGA out there. He had to go through the '88 strike, as well. The "new media" aspects are the most concerning. It's like a crack in a dam that could one day bring the whole thing down. Someday-and it could be soon-all entertainment media could be distributed via "new" methods. I'm glad to see the guilds sticking together. I hope it's resolved soon!

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Old 11-02-2007, 08:12 AM   #8 (permalink)
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Alan, my wife was at the convention center last night for the meeting.

She voted against a strike.

Fingers crossed.....

Take care...

Larry
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Old 11-02-2007, 08:13 AM   #9 (permalink)
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Yes - Good luck.

You make a good case and I don't thing anyone with even a cursory knowledge of your industry would believe that - of all the players - it is the writers who exploit the system and receive inappropriate levels of payment.

I hope you appreciate, however, my potential sacrifice, in supporting your cause.
Since I have a "reality show" filter on my TV - it's looking like I'll end up with nothing to watch at all....
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Old 11-02-2007, 10:15 AM   #10 (permalink)
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Hmmm, look at that. I just learned a little bit.
Best of luck to you, hope it all works out in the end. Coming from automotive, familiar with how ugly strikes can be.
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Old 11-02-2007, 11:55 AM   #11 (permalink)
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Quote:
Originally Posted by Thomasio View Post
$0.05 per DVD? That's whack. Greed.

Thomas
Yes, it seems that way to me as well. It's precisely because we agreed to a relaxed business model (on the then emerging DVD market) by which we got burned, that we're being extra vigilant in regards to new media.

Quote:
Originally Posted by Lotus Fury View Post
Good luck. I don't see this as being easy if the companies are going to take a hard line. I was reading on CNN & other websites about it. It doesn't sound pretty.
You're right. We're so far apart right now, that a quick and painless resolution doesn't seem in the cards.

Quote:
Originally Posted by Doodler View Post
As a writer, I can't appreciate what you're experiencing, because I'm not a good-enough writer to let writing be my sole source of income.


On a serious note, I'm sorry you're going through this. I hope things work out for you when the dust settles, and I hope the dust settles soon. Stay strong and please keep us posted. In the mean time, go for a drive. California has too many amazing roads of which you should be taking ample advantage in an attempt to clear your head.
Thanks, I will, when I'm not walking a line. Oh, and keep writing. It's all about perseverance. Trust me, there's been many times in my career when "I haven't been good enough to get paid."

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Originally Posted by Beanie View Post
Hmmm. From the sound of it, this tug of war will last quite a while. There is a lot at stake, especially with newer (internet, streaming) media. Greed is clearly evident in the companies' position. I completely understand that residuals are important not only to the writers, but to the audience as well, since they are part of a formula that works.
Yeah, I was just on the phone debating with a Producer friend of mine for the better part of an hour. The fact of the matter is, we get paid per use of our product. IMO, the argument that companies must be profitable to pay us is ludicrous for many a number of reasons. One, if you're building a business, it costs money to do so. Two, writers have been burned for years on "net points." I LAUGH at the net points portion of my contract. Why? Because historically, the companies don't show a profit. I heard the other day - and I still don't even believe it - that "The Simpsons" has yet to turn a profit. Go figure.

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Originally Posted by mopho View Post
Good luck Alan, I hope it gets resolved quickly!

I can certainly relate as the internet has opened up a can of worms in my business too
Thanks Morgan. Curiously, do you get paid per use, or do you work on a "buy out" structure? BTW, has this month's 0-60 come out yet?
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Old 11-02-2007, 12:07 PM   #12 (permalink)
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Someday-and it could be soon-all entertainment media could be distributed via "new" methods. I'm glad to see the guilds sticking together. I hope it's resolved soon!

Tom
Bingo. That's what we're anticipating, and I believe the day has arrived. I heard from another Producer today, (this may or may not be true) that NBC.COM made $800,000,000.00 this year. Wow. Streaming movies and pay per download are already a reality. Internet TV is coming fast.

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Alan, my wife was at the convention center last night for the meeting.

She voted against a strike.

Fingers crossed.....

Take care...

Larry
Wish I would have known she was going. LOL, I've gotten a bunch of calls and emails today telling me I made the cover of the LA Times at the meeting. I haven't seen it yet, guess I'll go pick one up for my grandmother.

I have as much to lose as anyone right now, as I mentioned in my original post, but I fully support whatever actions we need to take to ensure fair treatment and the future of screenwriters. Again, I'd never strike over "housekeeping" issues, but this is too important. Curiously, was that her position after leaving the meeting? Look, nobody wants a strike. I hate the idea that as adults, we feel we have to put ourselves and everyone else around us through a bunch of pain before coming to the conclusion we will ultimately anyway. It's just childish.

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Yes - Good luck.

You make a good case and I don't thing anyone with even a cursory knowledge of your industry would believe that - of all the players - it is the writers who exploit the system and receive inappropriate levels of payment.

I hope you appreciate, however, my potential sacrifice, in supporting your cause.
Since I have a "reality show" filter on my TV - it's looking like I'll end up with nothing to watch at all....
Lol, thanks for the support. I also employ the use said filter. I'll be careful of what I say as we're fighting for jurisdiction over "reality" programs, although, if I'm not mistaken we just took that off the table. I trust I don't have to explain why "reality" is in "quotes."

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Originally Posted by SweetDaddyD View Post
Hmmm, look at that. I just learned a little bit.
Best of luck to you, hope it all works out in the end. Coming from automotive, familiar with how ugly strikes can be.
Thanks D, ope it's not as long and painful as some of the automotive strikes Everyone's support means a lot. Members are doing everything we can to get our word out - I probably don't have to tell you that the Companies we're dealing with have a "certain" control over the media, in all forms.
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Old 11-02-2007, 12:36 PM   #13 (permalink)
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What else is new. When I was an Assistant to Producers at Fox, they took our vacation and health benies from us (saved them $1 mil. a year). Then turned around and gave Bruce WIllis $20 mil for DIe Hard 2. To help you out can have free cheesesteaks and beer (or yoohoo) through the length of the strike.
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Old 11-02-2007, 02:46 PM   #14 (permalink)
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good luck on getting your due.
it doesn't concern me too much as there's precious little that comes thru the ether that i could miss, but you should get paid for your work.
i hope it works out ok.
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Old 11-02-2007, 03:09 PM   #15 (permalink)
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Not gonna lie that was way too much to read on a Friday, but good luck because I dont want to have to wait a moment longer for Jack Bauer!!! Hope it ends well!
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Old 11-02-2007, 03:16 PM   #16 (permalink)
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What else is new. When I was an Assistant to Producers at Fox, they took our vacation and health benies from us (saved them $1 mil. a year). Then turned around and gave Bruce WIllis $20 mil for DIe Hard 2. To help you out can have free cheesesteaks and beer (or yoohoo) through the length of the strike.
Josh, as usual, you rock. Hopefully I won't gain 100 lbs.
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Old 11-02-2007, 03:18 PM   #17 (permalink)
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good luck on getting your due.
it doesn't concern me too much as there's precious little that comes thru the ether that i could miss, but you should get paid for your work.
i hope it works out ok.
sam
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Not gonna lie that was way too much to read on a Friday, but good luck because I dont want to have to wait a moment longer for Jack Bauer!!! Hope it ends well!
Thanks guys. Hopefully your "24" won't be "4". Official word came in about an hour ago. We put down our pens at 12:01 a.m. on Monday.
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Old 11-02-2007, 03:37 PM   #18 (permalink)
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Good luck, Alan ! Hang in there, hopefully it won't be as long as you and other insiders are anticipating.
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Old 11-02-2007, 03:42 PM   #19 (permalink)
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Alan,

I'm wishing you the best of luck. The producers POV is uncalled for.

I've been a member of SAG and AFTRA, right out of college. A long time...long enough to get retirement money from them.

I wrote and produced for many years....on different levels. Ownership as well as working for the Nets. Wrote and PRODUCED...if I didn't write it, I had NOTHING to produce. WGA needs to look ahead 20-30 years and become a PRODUCING as well as writing force.

I suggested this to writers that I knew in the 70's. If they had gone after it, they may have been in partnership with the producers today. It could have been the Writer's and Producer's Guild. No strike, just hollering at each other over board meetings.

In the entertainment industry without the writers...the "producers" have NOTHING to produce. Without the writers, the related industries have no reason to be there. All the others unions that SERVICE the industry become useless and ineffective. Their livelihood lies in backing WGA.

I always questioned why the WGA didn't/doesn't go to an outside source on their own (Investment Companies) and become a partner, in a sense, with the producers instead of working FOR them.

The writers are the bullets and without them, the gun (producers) is useless. *Metaphor time. Their attitude sucks!

The WGA's goals --- be in a strong position ASAP, yet work towards the future!

I wonder how negotiations would transpire if Bill Gates suddenly said he would back the WGA for future productions with 5 billion or so...10 billion?
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Old 11-02-2007, 04:55 PM   #20 (permalink)
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Alan,

Sorry it's come down to this. I hope it's over quick, but strikes seldom seem to be. You will be missed.

Our union, N.A.B.E.T., (newswriters, photographers and technicians for ABC/Disney in Chicago, LA, NY, SF & Washington) has been without a contract since March 31. Negotiations just broke off and the company has presented it's 'last, best and final' proposal, which is totally unacceptable to us. Jurisdiction, seniority and pension are the major stumbling points. About 10 years ago they locked us out for 11 weeks.

It's funny how little management values our abilities and experience. As long as your David Lettermans show up for work, nothing us really matters to them. As long as our 10 o'clock news anchors come to work, people will still watch.

Eleven weeks seemed like forever to be without any income. I went through about $15,000 in savings that I was never able to replace.Ten years later, bitterness remains and things will never be the same. They brought in scabs and then hired some after the lockout that we are now forced to work side by side with. Disney will never be happy until they break the union entirely.

Nobody really seems to win in a situation like this...but good luck to you and your efforts.


Note to anyone: Disney is a fun place to take your kids, but never work for them.
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