Issue link: http://digital.copcomm.com/i/184869
PERCENT LATE FEES BUMP SHORTER/LONGER VERSIONS – SECOND ALLOWABLE EDIT Since 1975, the liquidated damages for late payments to members has not changed — despite proposals to increase these amounts in practically every commercials negotiations since then — until now, thanks to the negotiating committee persuading the industry to bump up the amount. The structure remains the same, but the amount of the late fees increased by at least 20 percent. Now, for principals, the first tier of payment in the first 25 days jumped from $3 to $3.60 a day, with the maximum amount increasing from $75 to $90. The $90 is also the initial payment for second tier. For extras, increases were harmonized with principals, with an increase from $2.50 to $3.60 per day and from 30 to a 25-day fee structure. Extras are now paid under the same structure that applies to principals for the maximum and initial payment for the second tier. This now-uniform structure also applies to late fees for radio commercials. Additionally, the late payment damages are now indexed in future negotiations, whatever the agreed-upon wage increase may be. "We have not seen an increase to late fees in seemingly forever," said Negotiating Committee Vice Chair David HartleyMargolin. "The late fees provisions were by far the most prevalent proposals coming out of the W&W process leading up to the Commercials Contracts negotiation. The increase we achieved says loud and clear, 'We hear you, members.'" Also called the "mechanical lift" or "second allowable edit," this is when an original commercial is taken and edited into either a shorter or longer version of the same commercial. A new soundtrack can be recorded, but only to fit the length of the second mechanical edit. An example would be a 60-second commercial that is edited to a 30-second commercial and now they can also have a second mechanical edited 15-second version. Producers must pay an additional session fee to each principal performer in the second edited version and it is then treated as the same commercial for use purposes. The same goes for going from a shorter to a longer version, as long as the footage added was shot on the date of the original session. "In the faster-paced world of advertising, second edits allow the advertising agencies to be a bit more creative with their editing and perhaps even be more specific and timely with their targeted buys," Negotiating Committee Vice Chair Ilyssa Fradin said. "We already had one free mechanical lift before. This extra edit allows for creative flexibility and continued performer earnings at the same time, without overexposure." This new allowance does not apply to radio commercials. DANCERS ON TELEVISION SAG-AFTRA dancer members had a significant victory in the new television Commercials Contract over the long sought-after change in the group payment structure. Dancers in the Group 6-plus category will enjoy a 28.2-percent increase in pay, with the lowest rate of pay now at $406.90. Additionally, the advertisers agreed to eliminate the Group 9-plus category, which paid $317.40. "It was a huge victory for a small group," said negotiating team member and dancer Bobbie Bates. "We had a research staff who presented the cost values of each proposal and how much money it would cost the producers if we got the proposal. The basic ballpark for the dancers and what they were asking for was about 1 percent of the whole package. Having that information for everybody at the table was a small part of the overall picture and was so important to the community that it was worth fighting for." "Both sides of this negotiation were willing to take some risks in order to promote the continued vitality of a contract that is critically important to producers and performers alike. The parties' willingness to take those risks is a positive reflection on the success of our collective bargaining relationship and a reason to be optimistic about what the future holds for this contract." — Co-Lead Negotiator Ray Rodriguez SAGAFTRA.org | Summer 2013 | SAG-AFTRA 26A