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Scene of The Crime Day: Writers Picket the AMPTP Building

WGAE PRESIDENT MICHAEL WINSHIP'S LETTER TO MEMBERSHIP ON NEGOTIATIONS

Dear Fellow Members of the Writers Guild of America, East:

They lie.

And then they lie again. And then they lie some more.

Because the AMPTP wants to create confusion, doubt, fear and dissension. They want to divide and conquer, to undercut our proven solidarity. They are spending a fortune -- money that better could be used to help cover the comparatively small amount we're asking for -- on newspapers ads, political spin doctors and crisis management consultants specializing in union busting.

The bottom line: Don't believe a word the AMPTP has to say.

If I hadn't seen and heard it with my own eyes, I might not have believed the extraordinary depths of their dissembling. Last week in Los Angeles, I sat in the caucus room as we waited for the studios and networks to come to the table and negotiate. And waited. And waited.

We were told that we would be receiving the second half of their so-called "New Economic Partnership," a proposal the first half of which seemed more Orwellian in its title than truly new or a generous partnership. Instead, we acted first, presenting in good faith a reasonable counterproposal to the first half of their "NEP," which had offered a puny amount of money -- $253 max -- for video streaming of television product.

Our counterproposal put forward a plan whereby for the first year, three percent of the applicable minimum would be paid, per quarter, for every 100,000 hits on the Internet. So if you wrote a one-hour episodic drama, you'd get $632.34 for the first 100,000 hits, then an additional $632.64 for the next 100,000 and the next 100,000 and so on -- quarterly, for the first year. After that, it would revert to 2.5% of distributor's gross. (There's further information on this and many other aspects of the negotiations on our website, www.wgaeast.org.)

There was no immediate response. Instead, the AMPTP asked that we break off into smaller groups to discuss not only our proposals for the Internet and new media but all aspects of our contract demands.

We saw this as progress -- it wasn't negotiating as such but it did lead to the first frank and substantive talks with the AMPTP on new media and a range of our other issues, from original content for the Internet to enforcement and jurisdiction in reality, animation and basic cable. (By the way, it is apparently on the basis of that brief discussion of jurisdiction that the AMPTP has fueled ludicrous rumors and fabricated the fairy tale that negotiations broke down because of animation and reality -- another one of their gross distortions. DON'T you believe it.)

On Thursday, we waited all day for new proposals they said were forthcoming any minute. Didn't happen. (This led to another lie from the AMPTP. They said, accusingly, "When they are at the negotiating site, WGA organizers typically spend as much time speaking among themselves as they do at the negotiating table." Yes -- but only because we were waiting for the truant AMPTP to show up around the bargaining table at all!)

On Friday, members of the negotiating committee waited all day AGAIN, until the end of the day and week, 6 pm, when the AMPTP finally made a presentation. As our negotiating committee chairman John Bowman wrote you, "The AMPTP came back to us with a proposal that included a total rejection of our proposal on Internet streaming of December 3rd. 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."

At this point, the talks broke down and it became crystal clear that this had been the AMPTP's intention all along -- a press release went out from them so headspinningly fast that it clearly had been prepared long in advance.

They refuse to negotiate until we accept their ultimatum. We refuse to bow to such supercilious, bullheaded intransigence, designed solely to destroy us. Yet we remain reasonable women and men willing to talk, bargain and negotiate anytime, anywhere.

At the same time, we must keep confronting their shortsighted obstinacy by continuing to bring our cause to the streets with our signs and our shouts, taking our story to the public, which maintains its staunch support of our cause. They recognize that, as SEIU President Andy Stern told Friday's Los Angeles Times, "This really is the first significant 21st century strike. It's raising the issues, as work changes, about how prosperity is going to be shared."

On Tuesday, December 11, we'll be picketing ABC Daytime, from 9:15 am to 2 pm, outside the studios of “The View" and "All My Children," at 320 West 66th Street, just west of West End Avenue. We march in support of our striking writers at both shows. The four hosts of “The View” have been notably unsupportive of their striking writers and we intend to let them hear our dissatisfaction.

On Thursday, December 13, from 10 am to 2 pm, we'll be back at Viacom at 44th and Broadway, this time with students and future WGAE members who will learn about our issues, show their support and help spread the word.

Seventy years ago, back in the fledgling days of the Writers Guild, its president, Dudley Nichols -- who wrote such classic movies as "The Informer," "Stagecoach" and "Bringing Up Baby" -- was asked why we were unionizing. He replied, "Because writers happen to be people who think."

We are smarter, more committed and more united. That is our strength. That is our power. That is why we will win.

Onward, in solidarity,
Michael Winship
President
Writers Guild of America, East

AMPTP BREAKS OFF NEGOTIATIONS!

LOS ANGELES – WGA Negotiating Committee Chair John F. Bowman, on behalf of the Writers Guild of America, West (WGAW) and the Writers Guild of America, East (WGAE), has issued the following message regarding Contract 2007 negotiations:

Today, after three days of discussions, the AMPTP came back to us with a proposal that included a total rejection of our proposal on Internet streaming of December 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.

We reject the idea of an ultimatum. Although a number of items we have on the table are negotiable, we cannot be forced to bargain with ourselves. The AMPTP has many proposals on the table that are unacceptable to writers, but we have never delivered ultimatums.

As we prepared our counter-offer, at 6:05 p.m., Nick Counter came and said to us, in the mediator’s presence: “We are leaving. When you write us a letter saying you will take all these items off the table, we will reschedule negotiations with you.” Within minutes, the AMPTP had posted a lengthy statement announcing the breakdown of negotiations.

We remain ready and willing to negotiate, no matter how intransigent our bargaining partners are, because the stakes are simply too high. We were prepared to counter their proposal tonight, and when any of them are ready to return to the table, we’re here, ready to make a fair deal.

John F. Bowman

Chairman, WGA Negotiating Committee

Contract 2007

Contract Negotiations Continue

The WGA Negotiating Committee, on behalf of the Writers Guild of America, East (WGAE) and Writers Guild of America, West (WGAW), today issued the following statement on Contract 2007 negotiations:

"The Writers Guilds met today with the AMPTP and discussed issues of jurisdiction for original content for the Internet, Reality TV, Animation, and Basic Cable. The talks also were focused on contract enforcement. For the last two days we have had substantive discussions of the issues important to writers, the first time this has occurred in this negotiation. However, we are still waiting for the AMPTP to respond to all of our proposals including Internet streaming of theatrical and television product and digital downloads. Bargaining resumes tomorrow at 10 am."

More on the WGA Contract Negotiations

Writers Guild of America, West (WGAW) President Patric M. Verrone and Writers Guild of America, East (WGAE) President Michael Winship today issued the following message regarding Contract 2007 negotiations:

To Our Fellow Members:

Yesterday, the WGAW and WGAE presented to the AMPTP a response to its proposal on streaming television programs.

We accepted the framework in their proposal of last Thursday for a fixed residual in the first year.

But rather than basing the residual for the entire first year on a small percentage of the applicable minimum, we proposed that the fixed residual be paid on a higher percentage of applicable minimum for each 100,000 streams per quarter.

This is a readily ascertainable number. In fact, the companies are already keeping records of streams for their advertisers. Both the advertisers and the companies are already using these numbers as the basis for their business model.

We believe these formulas will protect the writer even if all television reuse migrates to new media. This is our real goal – we simply want to make sure that writers keep up if reuse moves to the Internet. If new media reuse turns out to be additive, both partners will benefit.

After the first year, following the companies’ proposal, reuse is paid on a percentage formula. We held to our proposal that the appropriate rate for that payment is 2.5% of distributor’s gross and the same rate should also apply to streaming of theatrical motion pictures.

Finally, we modified our position to move closer to the companies on determining fair market value and ensuring our ability to obtain documents to enforce these revenue-based residual formulas.

Our fixed residual proposal is based on thorough analysis. To reach our formula, we looked at the value to writers under existing fixed television residuals and blended those residuals to the scale of new media. Our proposal protects the interests of both parties.

We look forward to the AMPTP’s response as we continue to pursue a discussion of all the issues important to writers.

If you care to read the language of the proposal, it can be found at these links:

http://www.wga.org/contract_07/W12b.pdf

http://www.wga.org/contract_07/W8.pdf

http://www.wga.org/contract_07/W12a.pdf

We recommend you might want to read an article from today's Wall Street Journal entitled, "Cracks in Producers' United Front” found here.

Thank you for your continuing involvement and resolve as this process moves forward. We are all in this together.

Best,

Patric M. Verrone
President, WGAW

Michael Winship
President, WGAE

Contract Update: Statement from John Bowman, Chair of the WGA Negotiating Committee

This letter was sent to members of the WGA by John Bowman, the chair of the WGA negotiating committee

LOS ANGELES – WGA Negotiating Committee Chair John F. Bowman, on behalf of the Writers Guild of America, West (WGAW) and the Writers Guild of America, East (WGAE), today issued the following message regarding Contract 2007 negotiations:

Fellow Guild Members:

Rumors, half-truths, and misinformation about what is actually happening at the bargaining table fly across the internet, are posted on blogs, passed across picket lines like a game of telephone, and appear in stories and advertisements in the trade papers.

So, to clarify exactly where we are, we have prepared a report and analysis, which you can read in its entirety at:

http://www.wga.org/subpage_member.aspx?id=2628

In the meantime, here’s a brief summary:

The latest WGA proposal would cost the companies $151 million over three years. It is reasonable, serious, and easily affordable. For instance, it would cost Sony only $1.68 million per year. Paramount and CBS would each pay only $4.66 million per year. MGM would pay only $320,000 per year.

The AMPTP claims its proposal would give us $130 million over three years. Our analysis – and again, please visit the website to see for yourself – tells us their offer is worth only $32 million. But if you factor in the companies’ regressive proposal on “promotional use” (streaming TV shows and feature films in their entirety for free) writers could potentially lose $100 million in income over the course of this contract.

So while we don’t see how their proposal adds up to anywhere near $130 million, we greet their public willingness to make such an offer with real interest. If the AMPTP is serious about this figure, the WGA is confident we are closer to a deal than anyone has suggested, and we are hopeful that the companies will respond positively to our proposal, which is a serious, reasonable, and affordable attempt to bridge the gap between us.

Sincerely,

John F. Bowman

Chair, WGA Negotiating Committee