The Writers Guild of America (WGA) has struck a tentative deal with The Alliance of Motion Picture and Television Producers (AMPTP). This tentative three year deal includes restrictions on A.I., minimum staffing in television writers’ rooms, and a viewership-based streaming bonus.
It also includes provisions that perserve a second “step” for screenwriter deals, higher foreign residuals, and annual minimum pay increases of 5%, 4%, and 3.5%. Hopefully addressing the WGA’s concerns about low pay, low/nonexistent residuals, as well as offering more protection from the increasing use of A.I. technology.
A.I. Protections
With this deal the union secured protections against A.I. penning or rewriting original material under the Minimum Basic Agreement (MBA). It also restricts using these writings as “source material” to adapt from. This still allows writers to use A.I. as a tool, assuming the company they are working for allows it. But they cannot be required to use it, and companies now must disclose if they are giving writers any A.I.-generated materials. Also, “The WGA reserves the right to assert that exploitation of writers’ material to train AI is prohibited by MBA or other law,” the union stated in its summary of the 2023 MBA.
Streaming Compesation
Another huge point of contention for the strike was the issue of compensation with successful streaming shows. Since many of these contracts were struck before streaming was considered a viable option for entertainment, many creators have stepped forward about their abysmal compensation for wildly successful streaming series. The union proposed that they “establish a viewership-based residual — in addition to existing fixed residual — to reward programs with greater viewership.” As well as requireing “transparency regarding program views.” Since many streamers refused to release their viewership numbers in order to skirt providing these kind of residuals.
In a compromise studios will establish a new residual structure that would reward projects that “are viewed by 20% or more of the service’s domestic subscribers in the first 90 days of release, or in the first 90 days in any subsequent exhibition year.” This will also provide made-for-streaming/video on demand films and shows a bonus of 50% of its fixed domestic and foreign residual once it hit that benchmark. So bonuses like $9,031 for a half-hour episode on major streaming services and $40,500 for a streaming feature with an over $30 million budget would now be possible.
Streaming Transparancey
In terms of streamers transparency when it come to viewership, that wasn’t as big of a win. The union will have confidential access to “the total number of hours streamed, both domestically and internationally, of self-produced high budget streaming programs (e.g., a Netflix original series).” And they “may share information with the membership in aggregated form.” While this is significantly better than the lack of transparency previously being offered. It’s still not as open a policy as many professionals (and viewers) would like.
Minimum Writers Room Size
When it comes to the minimum size of the writers room, in May the WGA asked for a staff of six writers and one additional scribe for every two episodes after that, with a maximum of 12 in the room for pre-series order scripted programs. This possible agreement includes a minimum staff size of three writer-producers for a first season show for development rooms running 20 weeks or longer. For any additional seasons they will use a formula tied to the number of episodes to determine the size. The WGA made this issue a sticking point to prevent studios and streamers from employing A.I. to save costs on scribes.
Length of Employment
This also includes provisions about the length of time writers will be employed on scripted shows. Under this deal, development rooms are guaranteed at least 10 consecutive weeks, with post-greenlight rooms getting 20 weeks or the duration of the room. Preventing studios and streamers cycling through writers to save on costs and providing some job stablity. But these terms will only apply to seasons where the first episode is written after December 1, 2023. So pre-existing content will not have to adhere to the room size or employment span requirements.
Writer’s would now also have a guaranteed second “step,” or point of payment, in their deals, “whenever a writer is hired for a first draft screenplay for 200% of minimum or less, including original and non-original screenplays.” As well as a new foreign residual formula which the Directors Guild of America earned in their 2023 deal. This formula bases payment on the number of the service’s foreign subscribers.
Residuals
When the strike first began the WGA was asking for a cumulative 16% increase in residuals over the three-year MBA. This tentative agreement would provide a 12.5% increase. But it does secure an increase in employer contributions to the union’s health fund of 0.5% in the second year of the contract, based off reportable earnings. Which raises those health fundcontributions from 11.5% to 12%.
Crossing Pickett Lines
For all the wins it seems that this new deal would not include a commitment from the AMPTP to allow union members to refuse to cross other unions’ picket line without consequences. A request that was made by the WGA in August, after SAG-AFTRA’s strike began in July. (To be clear, this deal would not end SAG’s strike, these are two separate groups represented by completely different unions. Though this deal with the WGA could help set the tone for any potential deal between SAG and AMPTP.)
Conclusion
This proposed three-year contract is still subject to a ratification vote from WGA members. The deal can go into effect if the majority of eligible voters support it. If they do not, the strike will continue as union negotiators go back to the bargaining table.
This ratification vote is scheduled to take place between October 2nd and 9th. We’ll keep you posted on updates about the WGA’s strike as they become available. You can read the full memoradium of the agreement here.
