AMPTP Releases Final Offer to SAG

The Producers stand behind their final offer of June 30, 2008 and believe it is worthy of the support of Screen Actors Guild for one simple, significant reason – it offers more gains for SAG members than any other labor agreement in the Guild’s history.

On the economic side alone, the offer is the richest ever by historical standards, well above the 2005 TV/Theatrical deal that SAG described as “the most lucrative deal in the history of actor/producer collective bargaining.”  By any measure – including SAG’s own - the Producers’ final offer represents a solid achievement for SAG’s negotiators. 

These are clearly revolutionary times, and the final offer reflects that as well.  It establishes an unprecedented number of new media rights and residuals for actors.  All of the emerging platforms are addressed, with most residuals based on a percentage of Distributor’s Gross that is at or above the “Pay TV” rate favored by the Guilds and Unions.  Members would get their first-ever residuals for ad-supported streaming, made-for new media programs, and a near doubling of the home video rate for permanent downloads.  In addition, SAG would for the first time be granted jurisdiction for programs made for new media, including low budget original programs that employ a single professional actor. 

The Producers’ final offer to SAG is consistent with the five other deals reached this year with DGA, WGA, AFTRA and IATSE.  Each of these agreements also paired significant economic gains with a comprehensive new media “framework.”  The final offer is not a starting point in negotiations between the Producers and SAG.  Instead, it came about through 42 days of formal negotiations and includes significant concessions by the Producers to the Guild.

The new media framework has been tailored to the needs of SAG performers.  The new media framework is heavily weighted in favor of SAG members, while at the same time allowing Producers to maintain flexibility to compete in this new market so that they are not priced out by contract terms that are unnecessarily costly and restrictive.  Since 2001, SAG’s contract has allowed the Producers to make original Internet programs completely non-union.  The current proposals significantly restrict the Producers’ ability to produce non-SAG.  The framework also includes residuals for made-for new media programs, both derivative and original, in an amount that can be justified given the current economics of this emerging field.

We urge SAG members to take a realistic look at the terms of the Producers’ final offer in light of the embryonic state of the new media market.  When they do, we are confident they will conclude that the offer is not only fair but generous, and is the best deal achievable – with or without a strike.

Click to download Final Offer Summary (pdf)

Click to download June 30, 2008 Final Offer (pdf)