Good News! I just received the following announcement in today’s email:
“AFTRA AND SAG REACH TENTATIVE AGREEMENT WITH ADVERTISING INDUSTRY ON NEW COMMERCIALS CONTRACTS
NEW YORK (APRIL 1, 2009)—Screen Actors Guild and the American Federation of Television and Radio Artists announced today that the AFTRA/SAG Joint Negotiating Committee has reached a unanimous tentative agreement 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 new three-year agreement contains a more than $36 million increase in wage rates and other payments for all categories of performers in the first year of the contracts, approximately $21 million in increased contributions to the SAG Pension and Health Plan and the AFTRA Health and Retirement Fund, the first-ever establishment of a payment structure for work made for and moved over to the Internet and other New Media platforms, important new monitoring provisions, and improvements for choreographers, extras, and Spanish language performers.
The new contracts also contain an agreement in principle outlining terms for a pilot study for the purpose of testing the Gross Rating Points (GRP) model of restructuring compensation to performers as proposed by Booz & Co. The two-year study is scheduled to commence on April 15 and will be conducted by a jointly retained consultant engaged by the Unions and the Industry. The results and possible adoption of the study’s findings will be subject to negotiation by the parties not later than January 3, 2012.
The unions successfully protected the critical “Class A” payment structure and continued unchanged the editing provisions in the existing contract.
Highlights of the new agreement include: