Dec 8 2007 04:19 AM ET

WGA/AMPTP talks collapse

Categories: Strike, TV Biz

No early present under the Christmas tree today. After another week of talks that had everyone hoping  Hollywood would finally put an end to the month-old strike, talks collapsed today between the Alliance of Motion Picture and Television Producers and the WGA. And it’s unclear when–or if–the two sides will return to the table.   

As has become customary, both sides came out firing with their own statements accusing the other party of derailing talks with unreasonable demands. The AMPTP struck first with this particularly angry missive about the WGA’s tactics:

"We’re disappointed to report that talks between the AMPTP and WGA have broken down yet again. Quite frankly, we’re puzzled and disheartened by an ongoing WGA negotiating strategy that seems designed to delay or derail talks rather than facilitate an end to this strike. Union negotiators in our industry have successfully concluded 306 major agreements with the AMPTP since its inception in 1982. The WGA organizers sitting across the table from us have never concluded even one industry accord.

"We believe our New Economic Partnership proposal, which would increase the average working writer’s salary to more than $230,000 a year, makes it possible to find common ground. And we have proved over the last five months that we want writers to participate in producers’ revenues, including in theatrical and television streaming, as well as other areas of new media. However, under no circumstances will we knowingly participate in the destruction of this business.

"While the WGA’s organizers can clearly stage rallies, concerts and mock exorcisms, we have serious concerns about whether they’re capable of reaching reasonable compromises that are in the best interests of our entire industry. It is now absolutely clear that the WGA’s organizers are determined to advance their own political ideologies and personal agendas at the expense of working writers and every other working person who depends on our industry for their livelihoods."

The statement goes on to say the WGA has made a number of "unreasonable demands" instead of negotiating, such as asking for restrictions "designed to prevent networks from airing any reality programs unless they are produced under terms in keeping with the WGA agreement."

Within minutes, the WGA replied with a statement of their own accusing the AMPTP of coming back to them with a counter-offer that included "a total rejection of our proposal on Internet streaming on Dec. 3… They are holding to their offer of a $250 fixed residual for unlimited one year streaming after a six-week window of free use. They still insist on the DVD rate for internet downloads. They refuse to cover original material made for new media. This offer was accompanied by an ultimatum: the AMPTP demands we give up several of our proposals, including fair market value (our protection against vertical integration and self-dealing), animation, reality, and, most crucially, any proposal that uses distributor’s gross as a basis for residuals. This would require us to concede most of our Internet proposal as a precondition for continued bargaining. The AMPTP insists we let them do to the Internet what they did to home video.

"We received a similar ultimatum through back channels prior to the discussions of November 4.  At that time, we were assured that if we took DVD’s off the table, we would get a fair offer on new media issues.  That offer never materialized."

No new negotiations are scheduled at this time.

Comments (1-30) of 82 Add your comment

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  • Kevin

    The writers are stupid, but I see what the AMPTP is doing. They’re stalling to wait and negotiate with the DGA. That will set the precident and the WGA will end up with a deal they won’t want, but have to take. AMPTP is protecting themselves. What a bold strategy.

  • Sean DL

    But then they have to deal with the SAG(Screen Acting guild) in the Summer of 08, so yeah, this is more about making sure they defeat the writers first before they fight the big dogs…

  • KG

    i read everywhere that the writers are the good guys and the amtp is filled with rich & selfish jerks. for me, a viewer of a lot of tv shows, i’m more mad at the writers bec they’re the ones that chose to go on strike. now i don’t have anything to watch anymore. i am the viewer – their customer. the customer is king! now get back to the table and negotiate and end this strike dang it!

  • trsquare

    The average wage for a writer is $230,000 annually? That’s considerably more than the educators who taught them HOW to write! As someone who makes a fifth of what they do working with kids, I feel no pity for the strikers.

  • CGK

    To trsquare: So your a teacher then? Well, let’s say your superintendent decided to record your lessons (the ones you spend countless hours on) and post them on the Internet so that others can take that same class online for a fee. Oh, and by the way, you won’t get paid any extra.
    And they also decide to make DVDs of these lessons so that people can buy those and learn all this stuff at home. Oh, and you’re not going to get paid anything extra from that either.
    And yes the AVERAGE salary is $230K. My guess is there’s a significant number who make less than that. If you just wanna be bitter about money, go out and get a job with a better salary.
    And to the person who whines about having nothing to watch: Get over yourself. You’ve probably got satellite or cable with hundreds of other channels. Find something else to watch.

  • Bob

    Trsquare — Don’t be tricked by the AMPTP’s statement. They clearly floated that misleading “230,000″ figure deliberately to inspire our outrage. Most writers make considerably less than 230,000 a year, including most Guild writers. We have to keep in mind that screenwriting comes with zero job security and often demands years and years of UNPAID work to even break in, not to mention fallow periods between jobs where writers must also continue writing UNPAID to stay current and eligible for the next job. Yes, WHEN writers are mid-level staffers at network or premium cable shows, they are well compensated…but at any given moment, those writers represent a fraction of all working writers. Look closely at their language: the AMPTP is trying to fool us and to turn the tide of public opinion against the writers.

  • Jenna Kellso

    Thank you CGK, not to mention the fact that the producers and actors get paid HOW MUCH a year? We all know conservative estimates are MILLIONS of dollars. Someone is making money off of what the writers do, and no one would makes any money on a project if the plot is stupid and dialogue unbelievable. All the writers want is a percent of money earned, it really doesn’t seem like too much to me.

  • Jenna

    Thank you CGK, not to mention the fact that the producers and actors get paid HOW MUCH a year? We all know conservative estimates are MILLIONS of dollars. Someone is making money off of what the writers do, and no one would makes any money on a project if the plot is stupid and dialogue unbelievable. All the writers want is a percent of money earned, it really doesn’t seem like too much to me.

  • EPro

    Exactly, Jenna. While the AMPTP floats this “$230,000″ figure, they fail to mention the $95 BILLION dollars the entertainment industry generates annually. The producers are just trying to get public opinion to sway in their direction. I will continue to support the writers, who deserver their fair share. Visit UnitedHollywood.com for a really great explanation of the stunts the producers are trying to pull.

  • Me

    When you become a TV writer, you know what the setup is going in. It’s not like all of sudden they spring it on you that you’re not going to get revenues from DVDs and internet streams. Further, when a scientist tests and develops a new drug, they don’t get residuals every time someone goes to Walgreens and buys a bottle. But the most important thing to me that I haven’t heard mentioned is their performance as writers. In my job, I get paid both by the position I have AND HOW WELL I DO MY JOB. How anyone that writes for General Hospital or How I Met Your Mother can think they deserve a raise for that is beyond me.

  • trsquare

    CGK, first off, it’s “So YOU’RE a teacher.” not “Your a teacher.” Obviously, you aren’t a writer. Yes, you can find lesson plans on the internet, and no, the teacher who developed those plans do not get residuals for their ideas.
    Also, I said I work with kids, not that I’m a teacher. I work in the non-profit sector with kids from the lowest socio-economic backgrounds.

  • average joe

    The writers make more then enough money (230k+ annually), their salary is not comparable to NO OTHER JOB. AND NOW they come to a conclusion that it is not enough, they want to CONTROL the industry by creating restrictions and rules, and if not followed they threaten to (and did) strike, ie. (little kid throwing tantrum on the floor like a spoiled rotten kid), everyone should wake up and realize what is happening, dont fall for the writers who should not control ultimately what you end up watching, why you watch it, when you watch it, how much you will pay to watch it, how long you get to watch it, and if you will even watch it at all. I can go on and on about their AGENDA it is numerous. Everyone should realize these ideas put forward by a handful or even a smaller number affecting hard working writers forced to submit or be labeled any term or word more than likely originating from the handful of the key WGA members putting forth this illusionary strike. WAKE UP!!

  • Kevin

    trsquare,
    230,000. That’s about how much the AMPTP pays their PR people. So the public isn’t exactly getting the whole picture from statements. And honestly, if that number is true, I am shocked that the figure is so low considering how many millionaire writers/showrunners there are in the guild. Basically this is worse than when it started. This is how I would sum it up.
    The WGA is demanding too much because they don’t want to be screwed again like they were in 1988.
    The AMPTP is saying “If you don’t play by our rules, we’re not playing.” It’s an ultimatum to get the WGA to play how the AMPTP wants to play.
    That’s all it is. Goodbye TV season. Thanks for the memories.

  • James

    You know, I would be swayed to one side when they accuse the other of being greedy millionaires. Except that they’re greedy millionaries too. So you see my dilemma.

  • Jonathan

    It’s interesting that i found the AMPTP’s statement far more articulate than the writer’s. It seems like the writers are being a little unreasonable now – I mean, come on, if AMPTP is going to give the average writer $230,000 a year… it’s all greed now.

  • Wildaces

    “It’s interesting that i found the AMPTP’s statement far more articulate than the writer’s.”
    That was really funny….and true! I think the bottom line is, the studios take all the financial risk, a risk the writers don’t take a part in. They can’t just ask for ridiculous splits. $230,000 on average is a lot of money for any position. Yes, I’m sure a good number make less than that, but as an average that’s impressive…not many other professions pay that much. I hate that my shows are on hold, but I hope the AMPTP holds out, I’m sure the writers will start crossing the picket line after they realize the studios can afford a longer hold out.

  • Sergio

    It’s ridiculous that the writers are trying to set restrictions on what reality shows a network can produce. I don’t think the networks should have to involve the writers at all if they don’t want to.
    Also to the person who insulted the writers of HIMYM… do you even watch that show? Because it is awesome.

  • frederick dubois

    First, for any of us to have a valid opinion there needs to be a good explanation of the entire picture. Whether something is unreasonable or not is difficult to determine otherwise.
    With that said, the area that appears to be unreasonable to me is the power grab for mandatory union membership for reality and animation. I thought reality was, well, more real, not scripted like WWF.
    As far as percentages go, that seems reasonable to a certian extent. But that extent depends on how many other entities are going to want a piece of the pie. If the writers get 5%, the actors get 7%, the electrical workers get 3%, the parking attendants get 2% and so on then eventaully they will exceed 100% and no one will have a job. There are many different functions that are ALL required to make a production happen. If every critical group demands a percentage the industry will fail.
    What this entire strike is reall good for is amature media.

  • ChuckT

    The producers may not know what business model(s) is going to be most successful on the internet, but at least they began moving their assets online, investing online and having a presence online over a year ago to have a stake in the future “web pot of gold”. Why haven’t the writers done the same? THE ELEPHANT IN THE ROOM that no one is mentioning is that billions of dollars is being made and millions of people are being entertained on the internet today WITHOUT Hollywood writers’ creative input. Their biggest problem is not negotiating an internet deal for the future — it’s proving that they’re going to be of substantial value to the internet in the future DESPITE the fact that they’re irrelevant to the internet today (and that their significance in tv is shrinking as scripted tv slowly dies). If the writers are sitting on their butts with their hands out waiting for the studios to define their value on the internet, then they don’t DESERVE to have a piece of the new media pie.

  • to me

    How can you insult How I Met Your Mother? That is one of the most well written comedies on TV right now!

  • tnygrl

    Enough about the WGA & AMPTP. My heart goes out to all the staff and crew who have lost jobs or can’t find other work because of this strike. Who’s speaking up for all those who rely on this industry to pay their bills on a check-to-check basis?

  • Me

    Exactly my point: How I Met Your Mother is one of the best written shows on TV right now. How sad is that? If the Seinfeld writers wanted more money, that would be one thing, but…

  • Kamari

    Who cares? Read a book.

  • Brandon Hall

    Come on? Dissing HIMYM? It’s legen..wait for it…dary!

  • steven

    The last scripted thing I watched was Charmed season 5 years ago. I am looking forward to the analog TV shut off and saving $47 a month for cable. Scripted TV stinks. Now to sign off and watch Deal or no Deal

  • Barry

    Don’t be fooled by the companies’ figures. The average writer makes $62,000. The writers are asking for a small piece of the internet pie. Currently they get nothing if their show or movie is shown online. But the huge media corporations sell advertising on these websites as they claim they aren’t making money. Don’t blame the writers blame the media giants: SONY, Rupert Murdoch, General Electric, etc.

  • alexis

    To Barry,
    But Barry, the company selling advertising and getting the revenue for the show is not the producer. It’s the broadcaster. They pay the producer a fee for the show. The producer pays the writer, actor, technician, assistants, well everyone you see in the credits. Everyone in the credits is paid by the producer. The producer is paid by the newtwork. The producer soes not see those advertising dollars except indirectly as a prorated portion of the license fee. If the producer can charge more from the networks to cover the increased demands from everyone, then there’s no problem, but right now, they can’t justify that increased rate because they don’t know the business model yet. The writers want a cut of the gross, not what the producers net.

  • Ben

    Without writers, those producers would be making *nothing*, and we’d all have crappy reality television every night of the week (more so than we already do).

  • Sienna Scorpio

    I’m an educator, but I have job security. It takes an act of congress to fire an educator (unless they do something illegal). Writers can lose their jobs like that. True I don’t make as much as them, but I understand of getting residuals, just like a book author or a musician. Also, when teachers help students pass tests, who gets the credit- the Superintendent who makes $250,000 or more per year and the Principal who makes twice as much as I do. The School Board only gives us a paltry 2-3% raise. Besides the DVD technology will phase out in the next ten years, so they need to protect themselves now. But the AMPTP knows if the writers get what they want, the actors and directors will ask for the same.

  • Sergio

    To the person insulting HIMYM: I think your point is being lost on the example you’re using. It’s not sad. It’s an excellent show.

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