SAG, AFTRA call a truce
Unions to negotiate jointly after all
By DAVE MCNARY
SAG and AFTRA appear to have buried the hatchet on a nasty jurisdictional dispute, clearing the way for joint negotiations on their film-primetime contract in late March or early April.
Although neither union would comment Thursday and details haven't been finalized, AFTRA has indicated that it's backing off its threat to start early bargaining on its own -- a move that would have significantly de-leveraged SAG, since producers would probably flock to sign deals with AFTRA given presumably more favorable terms.
SAG, meanwhile, appears to have concluded that it can't force AFTRA to agree to stop offering producers contracts with better initial terms.
In a signal that the two performers unions are moving back to negotiating together, AFTRA board members have been notified they should expect the two unions to set a joint plenary on March 24 to hammer out the final proposal to the Alliance of Motion Picture & Television Producers, followed by a joint negotiating committee meeting on March 29.
The AMPTP had no comment Thursday.
Earlier this week, AFTRA had warned SAG -- which has been facing growing pressure to get to the bargaining table as soon as possible -- that it would go solo with the AMPTP if SAG didn't commit by Monday to launching negotiations by the end of March. Subsequent efforts by SAG president Alan Rosenberg and national exec director Doug Allen to persuade the AFL-CIO executive council to side with SAG fell flat, according to a source close to the situation.
Rosenberg and Allen are expected to brief the guild's national executive committee at the panel's regularly scheduled meeting Tuesday.
The pending resolution of the latest version of the ongoing SAG-AFTRA battle reps a setback for Rosenberg and Allen amid the town's increasing concerns that actors are headed for a strike when the current contract expires June 30. It's also uncertain whether Allen and AFTRA topper Kim Roberts Hedgpeth can negotiate effectively together given the sniping that's gone on over the past year.
Allen and Rosenberg have spent a year attempting to revamp the Phase One bargaining process, under which SAG and AFTRA have 50-50 representation on the joint negotiating committee -- even though it covers only three primetime shows and no feature work. And they've tapped into the resentment of many SAG members that AFTRA was signing cable deals for shows shot on digital at terms more favorable to producers.
But AFTRA's insisted it has every right to sign such pacts, noting that doing so prevents shows from going non-union or being shot in Canada. And it's accused SAG leaders of being overly militant and inflexible in their "one size fits all" approach to contracts.
SAG leaders decided last summer to institute block voting for its negotiating committee, opening the door for AFTRA to insist that SAG had violated the Phase One agreement and threaten to negotiate separately from SAG. The guild's leaders agreed a month ago to go back to Phase One but attached conditions to doing so.
Meanwhile, a recent Citi Investment Research report has warned that uncertainty over the SAG contract could impact the 2009 earnings for entertainment congloms.
"Current risk of a SAG strike may be preventing major studios from approving new film production in 2008, which could potentially disrupt the 2009 film schedule for major film studios," said analyst Jason Bazinet.
He noted that with the plug pulled on new films approved for production, there will "almost certainly" be some level of disruption to the 2009 film slate even if the actors unions ratify a new contract quickly.
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AFTRA puts SAG on clock
Letter sent to Actors presses for March talks
By DAVE MCNARY
AFTRA is turning up the pressure on the Screen Actors Guild to get to the negotiating table by the end of this month -- or watch AFTRA start bargaining on its own.
In a letter sent Monday to SAG prexy Alan Rosenberg, AFTRA president Roberta Reardon, said the American Federation of Television and Radio Artists needs an answer by Monday. The SAG-AFTRA film-primetime contract with the AMPTP expires June 30.
SAG, which has said it won't be ready to negotiate until April, had no immediate response to the letter. The AMPTP also had no comment.
But in a sign that it's not expecting a quick resolution to the talks -- whenever they start -- SAG announced Tuesday that it's offering interim deals to independent feature producers, under which actors could continue working on films even if there's a strike. The WGA signed more than 20 such deals during its strike, with companies agreeing in advance to adhere to terms of the guild's final contract agreement.
Reardon, Rosenberg and SAG national exec director Doug Allen were all attending the AFL-CIO exec council meeting in San Diego on Tuesday. AFTRA national exec director Kim Roberts Hedgpeth was in New York at AFTRA's network code negotiations for a new contract covering non-primetime work.
SAG's leaders agreed on Feb. 9 that they would be willing to negotiate jointly -- but only if AFTRA promised it would not offer contracts at lesser terms. AFTRA has indicated it's not willing to agree to any conditions until after the AMPTP negotiations are completed, contending that SAG violated the terms of the 27-year-old Phase One bargaining agreement by instituting block voting among its negotiating committee members.
"Time is of the essence now, and AFTRA can no longer let its members be idle when such important matters are before us," Reardon said in the letter to Rosemberg.
She also said AFTRA needs to be assured that SAG will be ready to start bargaining by March 31. AFTRA first warned SAG a month ago that it was willing to go solo in talks with the AMPTP over its primetime TV deal (Daily Variety, Feb. 4) -- a move that would diminish SAG's leverage at the bargaining table since it's presumed AFTRA would offer producers deals at more favorable terms.
AFTRA has only three primetime series under its jurisdiction but could likely start signing new shows with the perfomers unions unable to sort out which covers shows shot on digital.
"AFTRA believes it is our responsibility to our members and workers in the industry to proceed with negotiations promptly," Reardon said in the letter to Rosenberg. "AFTRA needs to know clearly by March 10 whether or not SAG can commit to moving forward under Phase One, as outlined above, so AFTRA can move forward one way or another. We urge SAG to take this opportunity to confirm our longstanding collaboration in bargaining and move the bargaining process forward."
Translation: Do it our, and producers, way or we will go in and low ball your contracts. Ah, and further more, you can say bye-bye to residuals.
The moves come with the town increasingly worried over SAG's refusal to schedule formal negotiations with the AMPTP -- particularly in the aftermath of the bitter Writers Guild strike and the deals in place for the WGA and DGA.
Despite pressure by top actors such as George Clooney to start talks ASAP, Rosenberg and Allen announced last week that they won't start contract talks until April at the earliest due to the need to complete the "wages and working conditions" process under which members offer up proposals for upcoming negotiations.
Hmmm, if I remember correctly Clooney and others wanted early talks to get the town back to work, but, surprise, surprise, the town seems to be getting back to work without any help from Clooney and his fellow actor/producers, thank you.
The prospect of an actors strike has created a ramp-up in feature production as a hedge against a work stoppage. Production schedules have been designed so that shooting's completed by mid-June -- with insurers insisting they won't issue completion bonds for projects that can't be completed by that deadline.
SAG said Tuesday that its Guaranteed Completion Contracts will allow qualifying indie producers to continue production even if SAG hasn't made a deal with the AMPTP.
The deals are available only to independent productions of theatrical pics that have neither financing nor distribution deals with any AMPTP-represented studio or company.
Here is AFTRA President Roberta Reardon’s lovely letter to SAG’s Leadership.
And now the Watchdog "Quiz of the Day!" Which of the following gifts would most appropriately accompany a letter like the one above?
If you don’t know the answer to that one, ah, grit your teeth, Baby!
A.L. Miller SW Editor & Chief
There are some board members that get it. One is the Ralph Morgan Award winner, Scott Wilson. You remember him, he was one the few members who stood up to agents, and saved the membership hundreds of millions by stopping agents taking fees on supplemental markets.
The following is an open letter to SAG NED Doug Allen and President A.L.
March 3, 2008
Dear Alan and Doug,
I fully understand and appreciate the importance of this collective bargaining. Many significant issues are to be addressed that will have a profound impact on the livelihoods of our members now and in the future.
I continue to believe, as I said in my February 5th written statement, see above, that we should not be negotiating jointly with AFTRA. To the detriment of actors, they have raided our contracts and have stated that they are coming after ALL jurisdiction. They have proven themselves to be a dishonest and treacherous bargaining partner. If any further proof is necessary, it was certainly provided by the statement Matt Kimbrough was required to make on March 1.
If we should go into bargaining with AFTRA, what is to stop them from pulling out before the conclusion and making a separate agreement at terms that are lower than the one's S.A.G. thought were achievable and vilifying us as "hard core" with the full support of New York and some branches who have harbored and encouraged AFTRA's aggressive behaviour from the beginning. Or threatening to pull out if we should not agree with their interpretation of a fair offer, holding us hostage to their position. Acquiesce or bear the consequence!
The Screen Actors Guild is at a crossroads. Is it going to survive as the institution that has protected actors for 75 years? Or not? High profile members are dictating how and when we should go into collective bargaining and are signing on to petitions demanding qualified voting. How do we turn this misinformed concern and energy into a force that truly benefits our membership?
I would suggest the following:
1. Negotiate the strongest contracts possible and negotiate them without AFTRA
2. Make a statement clearly identifying all of our work jurisdiction
3. Ask our members, through a referendum, to extend Rule One to all work identified as our jurisdiction.
4. Withdraw our funding from all AFTRA branches and offices and establish SAG branches wherever needed.
5. Move with all speed on the above and maintain the momentum with the utmost resolve
The membership must be fully informed and involved and in turn they must inform the board, through referendum, of their choice, Screen Actors Guild or AFTRA. The Screen Actors Guild was formed by actors for the protection of actors. It is time for us to allow the membership to have a voice in determining their collective future in the pursuit of their individual dreams.
In solidarity
Scott Wilson
All formatting is SW’s.
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AFTRA puts SAG on clock 
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