Residuals have emerged as a key issue in the strike.
Residuals have emerged as a key issue in the strike.
For streaming titles, the WGA has asked for viewership-based residuals, on top of existing fixed residuals, to “reward programs with greater viewership,” according to a document issued in April detailing the guild’s offer. The AMPTP refused to make a counter-offer at the time as that would require data transparency, which streamers have adamantly opposed.
More than 100 days into the strike, there’s no clear pathway to resolving the work stoppage. Ziffren criticized how the two sides are approaching negotiations.
“It seems to me that if we can start having each side send a piece of paper on AI — figure three, four pages — of their positions on all the issues, trade those pieces of paper, sit down in a room and talk it through rather than posture, that we’ll get closer to full employment if we do that,” he said.
The WGA has accused the AMPTP of leaking information about meetings to the press despite “blackouts” forbidding either side from doing so.
On the issue of profit participation, specifically new bonus methodology on TV talent deals that allows studios to enjoy unrestricted control over the distribution of their programs, Ziffren said his clients prefer this framework over the old model based on modified adjusted gross receipts (MAGR), or the revenue the studios gets from the series minus distribution fees, expenses and production costs. While profit participation based on MAGR offers the most significant upside, he explained the new model likely leads to higher average payouts.
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