(From a former P&G manager to John Pepper...)
Dear Mr. Pepper,
I find that enough time has passed since my retirement from Port Ivory's
management team at the end of 1984 that I no longer recognize any names in the
company's highest echelons except yours and Gordon Brunner's. I met Gordon
when I was heading the manufacturing group in Ivorydale that had such
difficulty getting the test market startup going for Duncan Hines Deluxe Layer
Cake Mixes back in the late 1950s. After my transfer to Port Ivory Food in
1960, I still
recall with pleasure meeting you when you visited the plant, I believe in
connection with a Dividend Day celebration. You came across as another fine
example of the great leadership that inspired all of us to do our best.
I'm writing now to appeal to you to exercise your influence in a matter that
has come to my attention only within the past few days. It has to do with
P&G's apparent tough stance against the actors' unions, SAG and AFTRA. For
some 15 years my wife and I have been attending (at first, then hosting groups
from around the U.S. attending) Elderhostel classes at Southern Oregon
University in nearby Ashland. Through this activity we have become
well-acquainted with many actors from the
Oregon Shakespeare Festival who are members of Actors Equity, and this is how
I heard of the SAG/AFTRA situation.
I have learned much about the lives stage actors lead. Those enjoying a
10-month contract at the Oregon Shakespeare Festival, even though their
employment is on a
year-to-year basis, have a deal unheard of anywhere else in the country. You
may already be aware that at any given moment, approximately 92% of equity
actors are out of work in their chosen profession. They are literally forced
to seek employment outside of stage-acting. This leads them to membership
also in SAG
and/or AFTRA so as to have a chance at jobs involving movies, television,
and TV commercials. Such jobs are necessary not only for their subsistence
but also for "layaway" to permit a later retirement in better shape than their
union's inadequate pension will provide. Almost always they return to the
stage as soon as they can afford to, because of their passion to present their
art to live audiences.
Simply put, the life of the stage actor is economically and emotionally
stressful. As a person with degrees both in chemical and mechanical
engineering, I have surprised yself in becoming so empathetic to the fine
arts. I truly believe our nation does not do anywhere near enough to support
such things as libraries and the arts. I appeal to you as a person that has
been so highly esteemed as a fine human being as well as successful corporate
officer to help find a way to reach a fair and equitable settlement in the
current standoff with SAG and AFTRA.
Very sincerely - BSY<<
The agreements are subject to approval by the joint SAG/AFTRA Boards of
Directors and by the memberships of both unions, voting in a secret
ballot mail referendum. The joint Boards will meet in plenary session in
Los Angeles on Saturday, October 28. If the Boards approve the
contracts, and determine that members can return to work pending
membership ratification, it is hoped that commercial production may
begin as soon as Monday, October 30.
Highlights of the pacts are:
TELEVISION:
o Recognition of SAG and AFTRA’s jurisdiction of commercials
recorded for the Internet.
o Preservation of the unions’ pay-per-play residual structure
on network broadcast.
o An increase in cable residuals payment of over 100% by the
third year of the contract.
o A commitment to meet and report on commercials identification
approaches to facilitate monitoring within six months.
o Improved payment for Spanish language programs use, background
actors and Pension & Health.
RADIO
o An overall economic package of over 8%.
o Recognition of jurisdiction of commercials on the Internet.
o Participation in the AFTRA-Industry Cooperative Fund and the
AFTRA Individual Account Retirement Plan, in addition to the
AFTRA Health & Retirement Plans.
o Establishment of a joint committee to investigate and identify
factors which will assist in developing and implementing a
monitoring program for radio commercials.
SAG President William Daniels said, "Our members knew what was at stake
in this negotiation and have unflinchingly stood their ground. From our
high-profile performers to rank and file, SAG and AFTRA members stood
shoulder-to-shoulder, and their activities have produced success."
"In the final analysis, both labor and management negotiators worked
hard to bridge the wide gap that separated our original positions. All
of us realize that for our common good it was time to end this strike,"
said Daniels.
"We are proud of our achievements, in preserving the best of our past by
fighting off rollbacks, addressing the present by achieving a fair rate
of compensation for cable, and insuring our future by achieving
recognition on the Internet. There are two goals in a strike: to get a
better contract and to strengthen the union. We have achieved both,"
said Daniels.
AFTRA’s national President Shelby Scott said, "It’s been a long and
difficult negotiation, and the solidarity of our combined memberships
has been an inspiration. Critical issues, profoundly affecting the
future working lives of actors and other performers, have been resolved,
including pay-per-play in network programming and jurisdiction of the
Internet."
"Our professional negotiators have represented our members in a truly
outstanding manner," Scott said, "and the dedication of members who have
served on the unions’ negotiating and strike committees has been remarkable."
"We are greatly indebted to our colleagues at the AFL-CIO and its
affiliated unions for their support, and to the federal mediators for
their valuable assistance. Many members and others have made great
sacrifices during this difficult period. I think they can take pride in
the results," said Scott.
SAG’s chief negotiator John McGuire said, "It’s always unfortunate when
a labor agreement cannot be achieved without a strike. What we have
achieved at this time, however, is a fair and equitable contract, and it
would not have been possible to accomplish that without the tremendous
support of the DGA, IATSE, Actors Equity and ACTRA, as well as all the
unions affiliated with the International Federation of Actors."
"The accomplishments in both TV and radio represent a solid foundation
for the future of our respective memberships, which will move us forward
into the new millennium," said Mathis Dunn, AFTRA’s chief negotiator.
"Recognition of jurisdiction for commercials on the Internet was a
critical element of finalizing any deal. The industry realized that, and
we worked jointly to put together an agreement that represented the
interest of both parties well into the future."
AFL-CIO President John J. Sweeney said, in a statement released today,
"In the important tentative settlement reached yesterday with the
advertising industry, the striking commercial actors have won a key
victory that strikes a chord with all working people who are standing up
for their futures in the new economy."
"As the economy shifts, workers across the nation are coming together
through their unions to make sure they have a fair share of the future.
The actors’ six-month strike---over such issues as fair revenue in cable
and jurisdiction in the Internet---put them at the forefront of this
nationwide effort to make sure that new kinds of work in tomorrow’s
economy translate into good jobs for working people. The strikers are to
be commended for their courage and strong solidarity---theirs is the
kind of solidarity that is at the heart of today’s union movement, "
said Sweeney.
SAG and AFTRA jointly negotiate and ratify the Television Commercials
Agreement. AFTRA has exclusive jurisdiction in the field of radio
commercials. After the joint Boards have met on October 28, the
membership referendum will be mailed.
======================
Monday, October 23, 2000
Tentative deal reached in SAG strike
By Donna Huffaker
Nearly six months into a strike by commercial actors, negotiators for
advertisers and the actors unions reached a tentative agreement Sunday
that, if ratified, could end the longest strike in SAG history.
Details on the tentative contract will be announced this morning at a
news conference in New York, said Screen Actors Guild spokesman Greg
Krizman.
If a joint board of the Screen Actors Guild and the American Federation
of Television and Radio Artists endorses the deal Saturday, actors could
be back at work as early as Monday, Krizman said.
"I'm spazmatic," said Chatsworth actor Todd Susman. "I'm so excited I
think I'm going to take my blood pressure."
Susman is one of the 135,000 union members -- about a quarter of them
from the San Fernando Valley -- who went on strike May 1 against the
advertising industry, seeking to protect the residuals, or fees, paid
each time a radio or television commercial is broadcast on a major network.
Advertisers want to replace residuals with flat-fee payments. Both sides
also want jurisdiction over Internet ads.
As the strike's financial toll has been climbing at a rate of $500,000 a
day, it has cost Los Angeles County's economy an estimated $165 million.
Although Krizman would not hint at any of the details of the settlement,
he said, "I think their main concerns have been addressed."
Representatives for the advertisers could not be reached Sunday.
The stoppage is the first major Hollywood walkout in 12 years. It
affects only radio and TV commercials, not movies or television series.
Both sides went back to the bargaining table in New York on Thursday,
Krizman said.
Just the fact that they've agreed to agree is fabulous news, said AFTRA
spokeswoman Pamm Fair.
"It's been gruesome," Fair said. "They've been going without paychecks
and working tirelessly 24 hours a day, 7 days a week on the strike
effort," she said.
==========================
UPDATE 1-SAG snags an ad deal
By Dave McNary
The entertainment industry's largest actors unions
late Sunday reached a tentative three-year agreement with the ad
industry to end Hollywood's longest strike on its 175th day.
A news conference to announce specifics of the agreement was set for 2
p.m. EDT Monday in New York, but early details appeared to give the
Screen Actors Guild (news - web sites) and the American Federation of
Television & Radio Artists (news - web sites) jurisdiction over the
Internet and a healthy boost in cable rates. As expected, actors
retained the system of residuals for network TV. Advertisers had wanted
to scrap the residuals system in favor of upfront payments.
The deal must be ratified by the memberships of both unions, but that is
not expected to be a major problem. ``Our members are ready to get back
to work,'' one leader said.
The pact came together following four days of negotiations at the
Millennium Hotel in midtown Manhattan.
The agreement gives SAG president William Daniels a victory in having
closed a deal following a strike that cost members as much as $2 million
a day in session fees and residuals. The ad industry claims that it paid
SAG and AFTRA members more than $720 million last year. The
Entertainment Industry Development Corp., which issues filming permts in
Los Angeles, estimated that the work stoppage cost the region as much as
$12 million per week.
The strike also gave Hollywood an early warning that SAG's leadership
under Daniels, who was elected last fall on a pledge of taking a harder
line in bargaining, may be willing to strike over next year's TV/film
contract when the current deal expires on July 1. Daniels has tried to
allay those fears, claiming that predictions of another strike are
merely fear-mongering.
The news conference, to be held at the Millennium Hotel, will be
attended by reps from both sides -- a stark contrast to the tone of
hostility that marked the 25 weeks of the strike. At one point during
the summer, one of the ad industry negotiators warned SAG and AFTRA
members that they risked being permanently excluded from the commercials
business.
For its part, SAG's strike committee voted that anyone performing struck
work be permanently excluded from the union, a rule change that has not
yet been approved by the national board.
Both sides remained officially without comment Sunday night, but union
reps indicated that approval of the tentative agreement among the 26
members of the negotiating committee had come by a solid margin.
For the strike to end, the board of directors of both unions will have
to approve the deal and then send it to the 135,000 members of SAG and
AFTRA for ratification. Union leaders have said that SAG and AFTRA are
unlikely to allow interim agreements based on the deal until the
national boards approve the new agreement.
The national boards -- which are expected to meet within a week or two
at most -- could issue a back-to-work recommendation prior to the
ratification vote if they have confidence that the members are leaning
toward approving the deal.
``What I imagine will happen is that union members will be able to start
auditioning for work under the presumption that a deal will be approved
as early as next week,'' one source said.
During the strike, the ad industry resorted to several tactics to avoid
using union actors -- going overseas or to secondary locations far away
from New York and Los Angeles, shooting spots without dialogue, or
re-running spots shot prior to the strike.
Observers believe that the involvement of celebrities such as Paul
Newman, Tom Hanks and Julia Roberts, along with six-figure donations to
the strike relief fund from Nicolas Cage, Harrison Ford, Helen Hunt,
Kevin Spacey, Eddie Murphy and Bruce Willis played a key role in
elevating the pressure on advertisers.
The unions had also recently launched a boycott of Procter & Gamble's
Tide, Crest and Ivory Soap because of the consumer giant's use of
non-union ads.
But the unions were under increasing pressure to end the strike amid
indications that a growing number of members were resigning from the
union -- filing for ``financial core'' status, which allows an actor to
work by paying dues without having voting privileges.
Yet most activists within SAG believe that the union appears likely to
emerge from the strike with a greater sense of unity than it had before
the strike. As a result, the actor unions have the potential of bringing
a better developed strategy next year when they begin to negotiate with
studios and networks over the TV/film contract.
Ivy Kagan Bierman, a specialist in labor and entertainment law with
Morrison & Foerster, said in a recent interview that the key issues in
prolonging the strike have been the ongoing disputes over Internet
jurisdiction, along with cable residuals; the publicity over
negotiations and the involvement of major stars heightening the unions'
need to achieve success; and the ability of commercial producers to
continue shooting ads outside the United States.
``I think the Internet has become an increasingly important issue
because SAG wants to be in a better position on that issue when it
negotiates next year over the motion picture and TV contract,'' she
added. ``The current negotiations appear to be a precursor to a very
tough and protracted negotiation next year. But I'm also hopeful that
because it has been so tough and protracted and many of the issues have
been discussed in great detail, that there may not be a strike next year.''
=========================
Actors End Strike Against Ad Business Over Pay
By Chris Michaud
Striking actors said on Monday they could resume
work for the advertising industry as early as next week after settling a
dispute over payment for broadcast, cable and Internet commercials,
ending a six-month walkout that is the longest in Hollywood history.
Pending approval by its board and the expected ratification by mail of
Screen Actors Guild and American Federation of Television & Radio
Artists members, union representatives said their members would be ready
to return to work next Monday.
"The negotiators ... have reached a tentative agreement on a new
three-year contract in the fields of television and radio commercials,
effectively ending the strike that began on May 1," Paul Reggio, an
actor who referred to himself as "the retired captain of the strike,"
told a news conference.
Officials of the unions, which represent 135,000 actors, said they had
achieved many, but not all, of their goals after the six-month strike,
which cost members as much as $2 million per day in session fees and
residuals. The ad industry paid SAG and AFTRA members more than $720
million last year.
"Our membership has every reason to be happy about this agreement," said
SAG President William Daniels, best known for his starring role on the
1980s hospital drama "St. Elsewhere."
The actors fought off a bid by the ad industry, represented by the
American Association of Advertising Agencies and the Association of
National Advertisers, to end residuals for network television ads, in
which actors are paid for the number of times the commercial airs.
The pay-for-play formula has been used since the 1950s to compensate
actors for network commercials and will continue.
The actors failed in their demand to expand residuals to cable ads,
instead winning an up-to-140 percent increase in pay for cable ads over
the life of the three-year contract.
Another key issue, over ads made exclusively for the Internet, yielded a
payment structure for broadcast ads run on the Internet, as well as the
unions' securing jurisdiction over ads made especially for use on the Internet.
"We preserved our future with getting jurisdiction on the Internet,"
Daniels said.
A union-led boycott against major advertiser Procter & Gamble's Tide,
Crest and Ivory Soap brands was being scaled back and would be formally
dropped after ratification, officials said.
Procter & Gamble (NYSE:PG) was influential in helping reach a deal, the
unions said.
"We can all hold our heads high, as can the industry," said AFTRA
President Shelby Scott. "Each side got something they wanted ... and I
think the industry will be happy that they can start shooting good
commercials again," she added.
During the strike advertisers resorted to several tactics to avoid using
union actors -- going overseas or to secondary locations far away from
New York and Los Angeles, shooting spots without dialogue and re-running
old spots.
The union said on Monday that members who performed struck work could
face lifetime expulsion from the union. British actress Elizabeth Hurley
was branded a "scab" by union actors for making a perfume commercial
during the strike. She has apologized and said she was unaware of the
work stoppage.
Throughout the stoppage, celebrities such as Paul Newman, Tom Hanks,
Julia Roberts, Susan Sarandon and Tim Robbins appeared on the actors' behalf.
Observers say six-figure donations to the relief fund from Kevin Spacey,
Nicolas Cage, Harrison Ford, Helen Hunt, Eddie Murphy and Bruce Willis
increased the pressure on advertisers.
========================
Actors Praise Deal To End Strike
LOS ANGELES (AP) -- Actors who appear in TV and radio commercials
praised a deal Monday that would end their six-month strike against the
advertising industry, the longest talent walkout in Hollywood history.
``This is a great bit of news. ... My head hurts from bumping on the
ceiling,'' actor Richard Dreyfuss said Monday at a boisterous New York
rally for the Screen Actors Guild and the American Federation of
Television Radio Artists.
If a joint union board endorses the contracts Oct. 28, actors could be
back at work two days later while ratification by the rank-and-file
takes place by mail.
Exact terms of the three-year deals were not disclosed. But both sides
confirmed that the payment structure -- the biggest source of friction
during negotiations -- will be largely unchanged after Hollywood's first
major walkout in 12 years.
SAG rebuffed an industry demand that actors give up the payments they
receive every time a commercial runs on network television, union
negotiator John McGuire said. And the union dropped its demand to spread
the residual system to cable TV, meaning actors will receive a flat fee
for cable ads instead of ``pay-for-play.''
Advertisers also agreed that union members should be used in online ads,
though no pay rates were negotiated.
``It's a win-win. It's a fair compromise from both sides. We're pleased
with it,'' said Ira Shepard, an industry negotiator.
The strike, which began May 1, cost the Los Angeles-area economy an
estimated $125 million in lost production, drove commercial work to
Canada and Europe and illustrated the increasing strain of labor
relations in the entertainment industry. Next year, actors and writers
will negotiate separately with the major Hollywood studios, producers
and TV networks.
SAG and AFTRA claim a combined membership of 135,000. Their members lost
untold millions in commercial payments during the strike.
``I believe we can hold our heads high, as can the industry,'' AFTRA
President Shelby Scott said. ``I think the industry will be happy they
can begin shooting good commercials again.''
The industry, represented by the American Association of Advertising
Agencies and the Association of National Advertisers, was hit by
boycotts and high-profile protests that increasingly involved marquee
celebrities, including Paul Newman, Rosie O'Donnell and Tom Hanks.
Although some commercials were shot internationally during the strike,
the union said it didn't expect the U.S. industry to suffer a longterm
loss as a result.
``I'm enormously relieved the strike is over,'' said Todd Susman, who
has appeared as a tutu-clad ``tooth fairy'' in a TV ad. ``It's done so
much damage to our membership.''
=======================
READY FOR WORK
Thesps stress sense of relief, solidarity
By JOHN DEMPSEY, DAVE MCNARY
Striking union actors prepared Monday to get back to work as early as
next week amid a strong sense of satisfaction over achieving an
acceptable settlement following their record-setting strike against
advertisers.
"I believe that the deal we got is better than we could have hoped for,
bearing in mind that no one wins in a strike because you never get back
the time and money that you lose," Screen Actors Guild prexy William
Daniels told Daily Variety. "Our membership should be very happy with
this agreement."
More important, noted thesp Richard Dreyfuss, the unions appear to have
emerged from the bitter six-month strike with a stronger sense of unity.
"I heard all this talk about disunity and factions within the unions,
but at the end of the day, we held together and won."
"When the strike began, we were nothing more than a collection of
individuals," added strike captain Paul Reggio at a Gotham news
conference, which took on the tone of a pep rally where union members
outnumbered news people. "Now we're a union."
Details released Monday of the three-year pact showed SAG and the
American Federation of Television & Radio Artistsachieved key goals of
Internet jurisdiction and retention of network residuals, while giving
up cable residuals and a monitoring system. But the actors gained a
hefty hike in cable buyout rates and a six-month monitoring study that
comes in the wake of Rep. Charles Rangel (D-N.Y.) seeking a Justice
Dept. probe into underpayment for commercials (Daily Variety, Oct. 19).
The advertisers, whose reps did not attend the news conference, can
point to retention of cable buyouts and holding down costs on network
residuals and made-for-Internet ads. "Both sides made compromises, which
is what a negotiation is all about," said ad industry negotiator Ira Shepard.
John McGuinn, who has repped the advertisers for the past two decades,
said the strike lasted as long as it did because both sides had
convinced themselves they could reach major breakthroughs in revising
the contract. "Each side thought it could achieve major objectives and
each was mistaken," he noted.
Strikers feel validated
For the rank-and-file actors who picketed hundreds of non-union shoots
and advertisers, the settlement produced a sense of relief and validation.
"It was a long, hard road but it was worth it," said Jack Rubinoff, a
strike captain who performed in his first two national ads just prior to
the work stoppage. ""I think we've proven how tough this union can
really be."
The actors stressed that the ad industry's proposal to eliminate
residuals for networks -- which was labeled as a rollback -- had
galvanized the membership. Alicia Brandt, who has acted in dozens of
commercials over the last 16 years, said the proposal left the unions
with no options.
"We absolutely had to strike because the elimination of residuals would
have meant lots of members would have lost their health insurance," she
declared. "I am so glad this strike is over because it was really
painful to a lot of people -- not just actors but people like dry
cleaners who did not have a say in this."
Insiders believe the key turning point came a few weeks ago when the
CEOs of major advertisers began pressuring for a settlement. That
development took place amid growing celebrity support and the targeting
of consumer giant Procter & Gamble for a boycott.
Daniels, who had consistently accused the ad industry of union-busting,
took a far milder tone Monday by noting that many people had expected
SAG and AFTRA to fold up a few weeks into their first strike since 1988.
I don't think we should be yelling about what a big win this is, but
what it does show is that we stuck together even though we were unproven
as a union," he said. "Actors are very competitive about what they do,
but they learned in this strike to be very generous -- from the people
at the very top, who gave us their support and money, to the people at
the very bottom, who gave of their time every day."
Back to work
SAG and AFTRA joint boards will meet this weekend to approve the
tentative pact and could issue a back-to-work order pending membership
ratification as early as next Monday. The 135,000 members of SAG and
AFTRA are widely expected to ratify the new pact.
Advertisers have insisted that they have been able to maintain the
quantity and quality of commercials during the strike -- claims widely
derided by the union leaders, who expect to send members back to work as
early as Oct. 29. "That's when advertisers will be able to start
shooting good commercials," declared AFTRA prexy Shelby Scott.
As for next year, when SAG and AFTRA's TV-film contract comes up for
renewal, the leaders told studios and networks to leave rollbacks off
the table if they want to avoid a strike.
"SAG and AFTRA want to craft a good solution and get results without
having to strike," said John McGuire, SAG's chief negotiator and its
associate national director. "But if forced to, the unions are capable
of going out and defending their contracts."
For this week, union activists have pulled the plug on going after
advertisers and ad agencies to focus mostly on actors who performed
struck work. At the news conference, top execs of SAG and AFTRA declared
there would be no amnesty for those who performed struck work.
"Working as a scab in a strike situation is not something the unions are
particularly interested in," said Mathis Dunn, AFTRA's chief negotiator.
The unions have already disciplined half a dozen strikebreakers.
The strikers have assembled a database of more than 500 such actors.
"We're changing this from a strike hunt to a scab hunt," said one
activist. "If scabs turn themselves in or someone else, they will be
shown a modicum of leniency."
==========================
The Strike Now Over, Actors' Unions Talk Reconciliation
By Beth Pinsker
At a raucous press conference Monday celebrating the end of the
commercial actors' strike, SAG and AFTRA faithful were there, but no
representatives from the ad industry bothered to show up.
The lack of presence from the other side made it hard to stick the
message of reconciliation the union leaders were trying to foster at the
end of a bitter strike. There was no direct talk, for instance, about
the possiblity of a much bigger impasse between SAG and Hollywood that's
still pending this spring and could lead to a strike of the general
membership. ''We hope this will cause both sides to take a pause to make
a wise effort to find a solution without strikes,'' said SAG's chief
negotiator John McGuire.
While starting out with a smirk when explaining that nobody from the ad
industry was there, he noted that all the representatives were back in
SAG's office hammering out the final language of the agreement so it
could be presented to the boards of the union and then the membership
for final approval. But all of the union top brass found the time to
show. And McGuire was able to spell out those details for the meeting.
The most significant new breakthrough was that the unions were given
jurisdiction over advertising made specifically for the Internet. No set
terms were agreed to, but companies will be free to negotiate as they
go. SAG will keep track of all the deals for the three years of the
contract to make sure advertisers pay what they are supposed to toward
health insurance, pension and taxes. The two sides also agreed on base
rates for broadcast commercials that are replayed on the Web.
In the broadcast arena, the unions held on to the existing system of
pay-per-play, which gives actors residuals each time a commercial plays.
The ad industry wanted to pay a flat fee, like it does for ads that run
on basic cable. A special arrangement was made for the Pax Network to
pay a lower rate than the other networks, rather than classify it as a
cable network. The ad industry had also wanted to cut the fees it pays
to actors for those basic cable ads, while the unions had wanted to
carry over the broadcast system to cable.
The new contract accomplishes neither goal. Instead, advertisers will
now increase the flat fee by a minimum of 100 percent over the course of
the contract, with the maximum 140 percent.
The final issue was about monitoring. The deal was to work on a system
and implement it in six months. The union wanted immediate
implementation.
McGuire said another point the union did not win was on the length of
the contract. The unions wanted a three-year contract with a start date
of last April, when negotiations started. The ad industry agreed to a
three-year contract that goes into effect when the unions go back to
work.
Still left to be resolved are what the unions will do about members who
violated the strike by crossing picket lines, like Elizabeth Hurley,
Lance Armstrong and Tiger Woods. ''We do have due process based on the
facts,'' said AFTRA lead negotiator Mathis Dunn. Then McGuire stepped
over to the microphone and said, ''And one of those can be expulsion.''
The audience erupted into applause.<<
NINETY 3RD wrote:
> >>TENTATIVE COMMERCIALS PACT REACHED
>
> ...SAG President William Daniels said, "Our members knew what was at stake
NINETY 3RD wrote:
> >>TENTATIVE COMMERCIALS PACT REACHED
> ...SAG President William Daniels said, "Our members knew what was at stake
Carl
In article <39F5C6E2...@ix.netcom.com>,
Keith Robinson <k...@ix.netcom.com> wrote:
> So...we see that those non-union members who stood side by side with
their union
> "brethren" are once again overlooked. After all the pleading for
solidarity, after
> all the pickets where non-union support added to, and sometimes even
outnumbered
> the union members, we are once more back to the status quo. Back to
Chuck You
> Farley. Why am I not surprised?
>
> NINETY 3RD wrote:
>
> > >>TENTATIVE COMMERCIALS PACT REACHED
> >
>
> > ...SAG President William Daniels said, "Our members knew what was at
stake
> > in this negotiation and have unflinchingly stood their ground. From
our
> > high-profile performers to rank and file, SAG and AFTRA members
stood
> > shoulder-to-shoulder, and their activities have produced success."
>
>
--
LET'S GO METS!
Sent via Deja.com http://www.deja.com/
Before you buy.
The commercials actors have won their battle, and that may mean war for
Hollywood.
Sunday's tentative settlement by leaders of the Screen Actors Guild and
the American Federation of Television & Radio Artists is likely to
embolden both the thesps and writers guilds to hold out for better deals
next year when their respective film-TV contracts expire on July 1 and
May 1, respectively.
In short, this year's success is likely to lead to more strikes next
year since the deal essentially validates the unions' hardline stance.
And it gives SAG and AFTRA a credible strike threat if the industry
proposes rollbacks.
Patience pays off
"I think we finally learned how to be strong in the face of adversity,"
said Gordon Drake, Los Angeles-based strike coordinator for SAG and a
candidate for the board of directors. "We learned the value of holding
out for a better offer."
Observers' original expectations of SAG were relatively modest, colored
by the sense that internal dissension would force the union into a poor
deal, so the tentative agreement appears to bolster the argument that
union members will be willing to risk more strikes in a strong economy.
And the inclusion of celebrities was not only particularly effective
during this strike but strengthens the union's position significantly
going into next year's negotiations, one labor expert noted.
For his part, SAG prexy William Daniels has tried to downplay talk of a
strike next year and proclaimed that he wants to start informal
exploratory talks with producers within the next month. But the
settlement has clearly bolstered the hand of Daniels, who a year ago was
campaigning as a novice in the labor movement to head SAG.
"This had been an unproven union when it comes to running a strike,"
Daniels said. "I think the entertainment industry will take note of what
we've done."
Keeping the table warm
J. Nicholas Counter, head of the Alliance of Motion Picture & Television
Producers, said Monday that he welcomed the notion of any early talks.
Under traditional negotiations, parties usually begin formal talks two
to three months prior to the contract expiration.
"We are prepared to commmence negotiations with the actors as soon as
they are ready, and we are hopeful that we can reach an agreement to
avoid a strike," Counter said. "A reasonable agreement is always
preferable to a strike."
This year's strike was not without its problems, as the unions struggled
early on to deal with disorganization and the lack of a clear strategy.
But it also gave SAG and AFTRA members the opportunity to go to boot
camp for next year.
By the end of the strike, they had learned how to organize, disrupt
commercial production and run demonstrations effectively. Just as
importantly, they connected with the top tier of members such as Tom
Hanks, Helen Hunt, Harrison Ford, Paul Newman, Bruce Willis, Susan
Sarandon and Nicolas Cage.
Membership boost
SAG also managed to preclude a large number of potential strikebreakers
by giving 1,000 memberships to two classes of actors -- those who booked
a non-union ad spot and then walked off the set before completing the
shoot, and those who put in 80 hours as volunteers in such areas as
picketing and operating phone banks. Those skills will be invaluable if
the actors strike again next year.
"I believe that the longer we went, the stronger we got," said strike
captain Spider Madison. "The other side is going to have to really look
at what we accomplished and the fact that we didn't fall apart like
people expected we would. So if we went on strike next year, we would be
far more aggressive."
SAG is already holding meetings this week to hear from members about
suggestions to formulate its contract proposals, which are expected to
seek hefty increases in cable and foreign residuals along with Internet
jurisdiction.
Scribes dig in
In coming months, the focus will turn to the WGA, which has warned its
members to start saving money to ride out a strike. Earlier this month,
WGA leaders rebuffed a foray by studios and networks to ramp up early
negotiations, saying it plans to proceed with traditional negotiations
unless the CEOs make a far better economic offer than what they have
already indicated.
The WGA used the fast-track "contract adjustment committee" approach to
talks in its last three negotiations, but opposition among the
membership grew to the point that the members voted down a tentative
agreement three years ago.
The bottom line about the commercials strike, one expert noted, is that
corporate CEOs only became active in negotiations after five months of
the strike. If they want to avoid similar problems next year, he
advised, Hollywood's CEOs need to get involved long before then.
=======================
The Strike is Over
Advertisers concede on Internet, with strict definitions.
More than double raise in cable.
Entire package just over 7.5% raise.
BY CARRIE L. KAUFMAN
After almost six months, the actors strike against the advertising industry
is over. And the actors have gained quite a bit, including Internet
jurisdiction and more than double payment for cable commercials over the
next three years.
The deal was reached Sunday evening after four intense days of negotiations
in New York. The actors got essentially what they had put on the table three
weeks ago when talks broke off, plus a few extras in the rush to get a deal
done by the end of the weekend.
"Not only is this the best deal we could get, but it's a good deal," said
Chicago negotiating committee member John Carter Brown.
The joint AFTRA/SAG board will meet Saturday, Oct. 28 to okay the agreement.
That's highly likely given that practically every one on the 26-member
negotiating team agreed to accept the proposal on Sunday. The agreement
won't be officially ratified until members vote, which may take up to a
month. But if the joint board gives the go-ahead, members could be working
under an interim contract as early as Monday.
Actors and advertisers entered into negotiations almost eight months ago on
opposite sides of a chasm. The ad industry was determined to get rid of
pay-for-play on all levels, including network television. Actors were
determined to keep pay-for-play on network TV, plus win pay-for-play for
cable. They also wanted to set up a system of independent monitoring of how
many times commercials actually run. And actors wanted jurisdiction of the
Internet, which many people say was the real issue of the strike.
The end result was that actors retained pay-for-play in network payments,
but did not get that structure for cable. Instead they got a cable increase
of 37.08 percent the first year ($1,390), 68.24 percent in year two ($1,706)
and almost 143 percent in the third year of the contract ($2,460).
On network TV, actors received a 4.26 percent increase in the session fee
(representing $21.30) but no increase in the per use fees. The actors unions
see that as a substantial victory given the ad industry's vow to eliminate
pay-for-play.
There is no rate of pay agreed to on commercials made for the Internet,
according to Carter Brown. For the next three years, actors and their
representatives will have the ability to bargain for each commercial made
specifically for the Internet. At the end of three years, both sides will
have a good understanding of the going rate for such ads and will work
toward setting up a pay structure then.
"We are not going to promulgate a rate and neither are they," said Carter
Brown. "It's open bargaining, but we have jurisdiction."
Advertisers will pay pension and health benefits for ads made for the
Internet.
Actors previously had jurisdiction on ads made for network or cable and
moved over to the Internet. They retain that, says Carter Brown, with "good
terms." Advertisers must pay actors three session fees (at $500 a piece) for
the first 12 months of the 21 month maximum period of use for a commercial.
After the first 12 months, if the advertiser wants to continue using the ad
on the Internet, they must pay the actor three more session fees for the
remaining nine months.
So an actor can get up to $3,000 in a 21 month period for ads made for
broadcast or cable and moved over to the Internet.
While ads made for the Internet are subject to individual negotiation, ads
made for the Internet and moved over to broadcast or cable must adhere to
the relevant broadcast or cable contract when they are moved over. So an ad
made for the Internet and moved to a national cable use in the first year
will pay $1,390 to the actor, no matter how much or how little their agents
negotiated for Internet use.
All of these numbers are for on-camera use. Voice-over actors will be paid a
bit less under this contract. Network payments to voice-over actors will
stay almost the same, with the same percentage increase as their on-camera
counterparts.
For cable, though, voice-over actors only get 55 percent of the increase as
their on-camera counterparts. The reasoning is that overexposure-ads running
so much that the people in them get typecast-is less of a problem for a
voice-over actor than for an on-camera actor.
Voice actors do get a nice increase in radio rates, part of the nuts and
bolts hammered out in the last hours of the contract. AFTRA's negotiator
Mathis Dunn was able to get increases in session fees, wildspot payments,
regional network payments, local programs, psa's and foreign use payments.
Dunn also got Internet protections for voice-over work similar to the
protections given to on-camera actors.
"The voiceover talent is going to have many more early opportunities on the
Internet," said SAG/AFTRA Chicago executive director Eileen Willenborg,
pointing out that most Internet messages are still primarily audio.
For John McGuinn, the JPC's chief negotiator, the issue is that Internet
message could be anything in the future.
"Our concerns over the Internet are that we don't know what advertising
messages made for the Internet are going to look like," McGuinn said. "If we
don't know what they look like, it's very hard for us to give jurisdiction."
For the purposes of this agreement, the unions and the JPC have defined a
commercial for the Internet as spots that "must look like, sound like, act
like a TV commercial as it is defined in these commercial agreements."
In other words, a guy's head popping out of the left side of your screen
saying, "Hey, it's not your father's Oldsmobile," then disappearing again
would not be considered a commercial. Neither would an infomercial.
This, undoubtedly will give rise to disagreements, for which the unions and
the JPC will establish a committee made up of equal numbers of union reps
and advertising reps. If they can't decide whether or not something is a
commercial, it will go to arbitration.
"There will be disputes around the edges, there's no question about it,"
said McGuinn.
There will be no disputes about monitoring. The unions and advertisers
agreed to talk, but set up no monitoring system. "It's not exactly what we
wanted," said Willenborg, adding that "the technology is there" to imbed
code in ads that can electronically be read and counted. "We'll be pushing
them," she vowed.
The unions also won a 6.1 increase for extras and agreed to resolve all
charges made to the National Labor Relations Board. The $600,000 law suit
filed by Foote Cohn and Belding against SAG, Willenborg and actor Tom Ciappa
for actions during a protest of a shoot for Meridea diet pill will also be
dropped.
Willenborg also said she and her staff will be building bridges back with
the three Chicago-based advertising representatives who are on the
negotiating team.
When the agreement was made, said Willenborg, "It was very emotional on
their side."
More details will be released after the joint boards meet on Saturday.
Sign on to PI Online next Monday for an update after the joint board
meeting.
=======================
Strike dust settles with new deal - HOLLYWOOD REPORTER
SAG and AFTRA have called off their strike activities in the wake of
Sunday night's agreement on a new three-year commercials contract. All
picket lines have been canceled, and the unions' boycott of Procter &
Gamble products has been suspended. Monday was the first day
in nearly six months that striking actors have not been on the picket
line somewhere in the country. Technically, however, the strike is still
on, and union actors are not allowed to go back to work -- or to
audition for commercials -- until Monday. The boards of directors of
the Screen Actors Guild and the American Federation of
Television & Radio Artists are expected to approve the terms of the new
contract Saturday and to issue a "back to work" order that would go into
effect Monday. The unions' members still have to ratify the new pact,
and that could take three or four weeks. Union leaders,
however, have the authority to end the strike pending the vote. In New
York, union leaders held a news conference to unveil the terms of the
new deal and to urge their members to ratify it. "There are two goals in
the strike -- to get a better contract and to strengthen the union," SAG
president William Daniels said. "We achieved both." At the unions'
strike headquarters in Los Angeles, the atmosphere was one of jubilation
and relief. "There's a great sense of jubilation," strike captain De
Wayne Williams said. "Many of us are relieved to know that we got a
decent deal -- maybe not everything we wanted, but it was a fair
agreement." Strike coordinator Doug Traer, who supports the new
contract, waxed philosophical when asked: Who won the strike? "Nobody,"
he said. "A guy from the AFL-CIO told me that you know it's a good
contract when nobody's happy with it. In that case, we have an excellent
contract." (David Robb and Ian Mohr)
========================
Larger Issues Remain as Actors Celebrate
By JAMES BATES and ELIZABETH JENSEN, L.A. Times Staff Writers
NEW YORK--Jubilant actors erupted into frequent applause at a jammed
union meeting Monday, even though a settlement of their six-month-long
strike against the advertising industry failed to resolve key issues
vexing Hollywood's labor relations.
Richard Dreyfuss, one of the most active stars in the strike, said, "My
head hurts from bumping on the ceiling."
Despite reports of divisions and lack of unity within the actors'
unions, he said, "At the end of the day, we held together and won."
Round-the-clock negotiations produced agreement on a new three-year
contract. However, neither negotiators for the Screen Actors Guild and
the American Federation of Television and Radio Artists nor those for
the advertising industry could realistically declare victory.
Both sides punted over the larger issue that made the strike so
difficult to settle--establishing a new methodology to pay actors that
takes into account the explosive growth of cable television and the
increasing fragmentation of the network TV audience.
SAG President William Daniels noted that no one really wins with a
strike. "The time, money, heartache, stress--that'll never be forgotten."
Said industry negotiator Ira Shepard: "It just came to a point where
there was a desire to reach a fair agreement on both sides."
SAG chief negotiator John McGuire called it a "fair, equitable
contract," and noted, along with AFTRA chief negotiator Mathis Dunn,
that actors must now work on rebuilding a relationship with the ad industry.
"We will immediately begin to reach out and try to build bridges, to
reconstruct them," Dunn said.
Still, the new pact does little to ease the brittle labor relations now
consuming Hollywood. The stage remains set for a devastating halt to
production next year when actors and writers bargain separately with
movie studios, TV networks and producers.
The actors' settlement with the advertising industry announced Sunday
buys only the ad industry three years of labor peace.
Actors get a sizable pay raise to end a strike that union officials have
estimated cost actors as much as $2 million a day in lost wages. Not
only do actors receive an increase in the flat fee they get for cable
ads, the industry also agreed that ads made exclusively for the Internet
will include union actors.
"Certainly, we have to eventually come up with something in which
everyone is going to be able to be treated equitably, because you're
going to still have those issues around," said Todd Amorde, SAG strike
chairman.
At the heart of the continuing conflict within the entertainment
industry is the widespread belief among actors, writers and directors
that they aren't sharing in the lucrative profits resulting from the
25-year boom in cable and foreign TV markets, and that they risk a
another lost opportunity in the developing Internet.
Actors wanted to be paid each time commercials run on cable, as they are
now for network ads.
For their part, industry representatives believed that shrinking network
audiences meant they are overpaying for commercial talent in ads running
on the major broadcast networks. The industry wanted to pay a flat fee
to actors in network ads, as they do now for actors in cable ads.
On Monday, Hollywood executives and union leaders grasped for any signs
of what the settlement means for next year's crucial negotiations,
debating whether actors will feel empowered enough to stomach another
costly strike over these still outstanding issues.
That question is hard to answer because the pool of actors affected by
the TV and film strike is different from the group of actors affected by
the commercial negotiations. In addition, some unique issues are being
bargained, including whether Fox should be treated as a network on par
with CBS, NBC and ABC, which it hasn't been in the past.
SAG's direction in upcoming negotiations will be become clearer next
week when election results are tallied for 25 open seats its 105-seat
board. All told, a staggering 74 actors are running for those volunteer
offices. Last November, SAG members elected a group of hard-liners who
promised tougher negotiations.
On Monday, both actors and producers downplayed any talk of a strike,
seeking to ease fears of a repeat next year.
"We know that if we ever need to strike, our members are more than
capable of striking and striking hard. But nobody wants another strike,"
said David Joliffe, a SAG strike leader.
Union leaders declared at least a partial victory mainly because members
held fast during the strike and fought off demands that they give up
residuals that they receive for network ads. Union leaders attributed
the settlement to pressure brought on major advertiser Procter & Gamble
through a boycott of its Tide detergent, Crest toothpaste and Ivory
soap. They said they believe negotiators were under pressure from CEOs
at major companies.
But industry negotiator Shepard denied that advertisers caved in to
pressure, or that pressure on any one company made the difference.
"The only thing I can say is that, among the senior negotiators from
both sides, we all felt pressure and an obligation to come to an
agreement--not from a boycott, not from people being out of work--but
because our job as negotiators is to work out an appropriate
compromise," Shepard said.
Overall, negotiators said the ad industry is expected to fork over
around 9% more in total dollars to actors as a result of the deal,
although some SAG officials believe that figure could eventually exceed
10%, depending on the growth in cable TV ads that are made.
Last year, the industry overall paid SAG and AFTRA members $721 million
for commercial work.
A principal actor in an ad that gets widespread airings on cable would
receive a flat fee of $1,390 in the first year of the new contract,
$1,706 in the second and $2,460 in the third, more than twice the
current amount. Also, the contract gives actors a toehold in the
Internet area by covering ads made exclusively for that growing medium.
In return, actors agreed that the contract would start when work
resumes, most likely on Monday, rather than retroactively to when the
strike started on May 1. Also, pay raises will take effect annually. The
union had sought an accelerated schedule with the first raise coming in
six months, another in 18 months.
Actors were clearly ecstatic with the prospect of returning to work next
week, pending ratification by union board members. More than 20 messages
were posted on ActorSite, a Web site that serves as a forum for Los
Angeles actors.
Typical was one from "Dario" that said: "What else can I say except
'Thank God.' "
---
Bates reported from Los Angeles, Jensen from New York.
=====================
Los Angeles Times
Sunday, October 22, 2000
Home Edition
Section: Business
Page: C-2
Advertisers' Side Also Has Flaws
I am a 25-year working member of SAG and AFTRA and have made a large
percentage of my living as a voice-over artist.
While a great deal of what you say is true ["SAG's Internal Rift Hampers
Strike Settlement," Oct. 19], a few things you didn't say are also true.
What you didn't say is that, despite all the problems and differences of
opinion in our unions, the resolve of the working members in this strike
is very strong. No one thought, least of all the advertisers, that they
would get such a tough fight from these unions.
I believe that no one wins in a strike this lengthy. However, the fact
that the advertisers have put up such a fight when, by their own
figures, the payment to talent in commercials (including the Tiger
Woodses of the world) amounts to 1.4% of their budgets, should tell us
all something. Either their corporate greed is beyond all bounds, or
they know (like we do) that the emerging technologies in the
distribution of moving images for entertainment and advertising is
drastically changing.
They want it for less . . . much less. Their idea of "modernizing" our
contracts is to do away with the pay-for-play formula that we have all
worked harmoniously under for many years.
I suggest to you that, although a great deal of your article was true,
an expose of the internal affairs of the other side of this strike, the
advertisers, would yield an equal amount of discord, questionable ethics
and pure greed. Do you have the courage to expose their side? I'm not
holding my breath.
MICHAEL LASKIN
Studio City
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