The Fine Print: Can You Explain SAG and AFTRA's Joint Negotiation Process?

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All big-budget feature films and scripted television shows (excluding daytime and programs made for basic cable) fall under the TV/Theatrical agreements that the Screen Actors Guild and the American Federation of Television and Radio Artists jointly negotiate with the Alliance of Motion Picture and Television Producers, which is the entertainment industry's official collective bargaining agent, representing studios, broadcast networks, and some independent producers.

These agreements expire every three years at midnight on June 30; they give SAG and AFTRA the right to negotiate terms for their members with the aforementioned producers. This is called jurisdiction. Once jurisdiction has been obtained, the unions renegotiate the agreements in future years in order to improve salaries, residuals, pension and health benefits, and working conditions. SAG has several other contracts that cover projects with smaller production budgets and in other media; these are negotiated differently.

What about the SAG-AFTRA Commercials Contract?

The Commercials Contract is renegotiated every three years with the advertisers' Joint Policy Committee but has very different rules regarding compensation and working conditions. Preparations for its negotiation are identical.

Why do SAG and AFTRA negotiate together?

Under the Phase One agreement of 1981, the unions agreed to negotiate their major contracts together. This is to prevent one union from undercutting the other or having one union ratify a contract while the other walks out. Per the agreement, SAG and AFTRA must have an equal number of representatives at the contract talks.

How do SAG and AFTRA choose items to bargain?

Several months prior to the opening of negotiations, all SAG and AFTRA members are invited to attend a number of open caucuses to educate the union leadership on what needs improving in the workplace. These caucuses are convened by the Wages and Working Conditions committees of every branch city. Possible contract improvements are debated and voted on by attendees. The branch approvals are then forwarded to the national negotiating team, which evaluates them again. An effort is made to gain advances for each of the unions' many constituencies. The national team then prioritizes the wish list. Some items are crucial; some can be put off until the next contract talks or used as possible trading chips. The national boards of SAG and AFTRA have final say on the committee's wish list. Traditionally, contract talks with employers begin when this process has been completed.

Who makes up the negotiating committee?

According to SAG precedent, each of the union's three divisions -- Hollywood, New York, and the regional branches -- is allotted a percentage of representation on the negotiating committee. This percentage is based on where SAG members live and work. Historically, the representatives are board members from their respective divisions. They meet in Los Angeles for the TV/Theatrical talks or in Manhattan for the Commercial negotiations. These unpaid volunteers, some away from their families and careers, spend long weeks and sometimes months weighing union demands against those of their employers. A team of top-level union staff who are experts on the issues under discussion counsels them. Other advisers have been guests from other guilds, showbiz lawyers, and agents. Usually the national executive directors (CEO types) of SAG and AFTRA are the chief negotiators at the main talks, though actors or staff

with expertise in certain areas may be invited to speak with their opposites at individual negotiating sessions. But only the performers on the team make the final decision as to whether the contract is accepted or talks are deadlocked.

What is pattern bargaining?

For years the AMPTP has followed a professed mindset: In general, it wants to award the Writers Guild of America the same revenue share as the Directors Guild of America. SAG and AFTRA are then allotted three times that amount. This is because in any production there are many more SAG and/or AFTRA participants dividing their union's portion of compensation. But once a union has been awarded a percentage of a new stream of studio profit, for example, that percentage sets a precedent for how much money the other two guilds will be offered. These pattern precedents have been very tough to negotiate against.

Contact Armin Shimerman at bsweditorial@backstage.com.