In my 50 years in show business, I have never seen a worse negotiation by a guild than that being conducted by the team of the Screen Actors Guild with the studios for a new contract. The results so far are: the guild is split, the N.Y. chapter demanded a federal negotiator, relations with fellow guild AFTRA is in shambles, DGA is sore because SAG negotiators insulted their contract, the studios are alienated and actors have lost millions of dollars still working under the old deal. How can anyone believe it's anything but a disaster? A review of the facts is revealing:
FACT: The Directors Guild of America (DGA) contract expired with the studios June 30th, the same date as the Screen Actors Guild (SAG). DGA quietly started formal negotiations with AMPTP on January 11, 2008.
To prepare, DGA engaged expert consultants to develop forecasts and analyze future business models regarding new media use. No fanfare, no posturing, and just six days later, Jan 17, DGA reached an agreement with the AMPTP.
FACT: Using ideas from the DGA deal, ending their strike, WGA finalized an agreement with AMPTP on February 12th . When AMPTP invited SAG to begin early contract talks SAG leadership told them, in so many words, when they're ready they'll contact them. Like the DGA, SAG could have begin it's negotiation in January but delayed the first meeting for three more months until April 15.
FACT: With no progress in sight, AFTRA waiting to bargain together with SAG, in disgust decided to bargain separately. Only 17 days later, using the DGA/WGA template, AFTRA had an agreement.
FACT: Then in an outrageous act, SAG tried to sabotage another guild's contract when they mounted an all out campaign to scuttle the member's approval of the AMPTP-AFTRA agreement. SAG wasted time and money to defeat the ratification of the AFTRA agreement.
FACT: SAG's attack failed and the AFTRA agreement was approved. Now three guilds had an agreement with the AMPTP. SAG's response, they are not going to take it. It's a bad deal, and they want a better one. "A bad deal," not according to the other three guilds who responded, "it was groundbreaking".
FACT: Frustrated by the delays and incensed by insisting on a better deal than the other guilds the AMPTP made a non-negotiable final offer to SAG using the same template as WGA, DGA and AFTRA and, in addition, offering a $10,000,000 sweetener if the agreement is signed by August 15th. SAG didn't, so goodbye $10,000,000.
FACT: With the delays, the AFTRA fiasco, a stalemate with the studios, and SAG going nowhere, there was a major dissention in the guild. In a recent election a new slate of directors was put forward by the dissenters and they won and now hold a small majority of the board. Isn't that sad, on top of everything else the negotiating committee caused havoc in its own guild.
FACT: SAG insistence it must get a better media deal than DGA, WGA and AFTRA is ludicrous. Give me a break The AMPTP isn't going to make a more favorable deal with one guild over the others. Can you imagine what chaos it would create? They're never going to do it. So what happens now?
FACT: The SAG negotiating plan was weak and misguided. First they had too much trash talk before they started meeting with AMPTP. Next they caused too many delays. Three months earlier and they'd have been involved it setting the template.
SAG negotiators underestimated the strength of their opposition, DGA did not. The DGA was ready with that million dollar research report and subsequently made the deal they wanted. SAG decided to play hardball.
FACT: So now with SAG's disastrous start how will they get to a final solution? First they had to find away to get back to the table with AMPTP. After turning down a suggestion earlier by SAG's N.Y. chapter for a Federal Mediator, now pushed by the new board members, SAG finally agreed and the studios joined. It's the only way the old SAG negotiating committee was going to save face. But after 3 days negotiations broke down.
SAG keeps insisting on better terms than the other guilds, a point the studios are adamant they will not do.
FACT: Now SAG is discussing a strike. It requires a 75% vote of SAG members and in view of today's giant economic crisis, people are going to be hard pressed to strike.
Could a strike be effective today. When the studios were just film companies, a strike could cause a major financial disruption for the company. But today the studios are part of major conglomerates so a disruption of their movie division would be, with some, just a glitch in their overall operations. Also in today's economic climate it could give the studios an opportunity to cut down on overhead. A strike would be another disastrous move by SAG.
So with the other 4 guilds contracts in place after 8 months SAG is still floundering and is absolutely no closer to a deal. SAG members deserve better.
(This article has no interest in the terms of an agreement; it only criticizes how SAG chooses to get there.)