DGA Monthly

A P R I L 2 0 2 0 I 3 Highlights of the new agreement include: Wages and Residual Bases: • General wage and residual base increases of 2.5% in the first year of the agreement and 3% in the second and third years of the agreement. Increase in Employer Contributions to Pension Plan: • Increased funding for the DGA-Producer Pension Plan. Even though it is the best-funded in the industry, the Guild sought to further secure the Plan from potential downturns in the market. • The Employer contribution rate to the Pension Plan will permanently increase by one percent (1%) in the first year of the agreement from 7% to 8%. • The DGA will also have the right to allocate up to .5% of the negotiated increases in salary rates in the second and third years of the Agreement to either the Directors Guild of America-Producer Pension Plan or the Directors Guild of America-Producer Health Plan. • Increases in the caps upon which pension contributions are made. Made-For-SVOD: • A nearly 50% increase in residuals for members working on original SVOD series, bringing the three-year residual for a 60-minute series on the highest subscriber SVOD services to more than $73,000. To put the accomplishment in perspective, when combined with the gains from the 2017 agreement, the residual is up nearly fivefold from under $15,000 in 2016, and exceeds the average residuals earned from all markets for the most popular network series. • Lower budget made-for-SVOD series will now also be captured under the new contract – expanding the scope of coverage to many more series and ensuring the vast majority of members working in this space benefit from DGA-negotiated terms, residuals and creative rights. • Elimination of "grandfathering" by which series that began production during a prior contract continued to be governed by the terms of that prior contract, even in subsequent seasons. Under the new agreement, grandfathering will be eliminated, enabling more members working on SVOD series to benefit from the newly negotiated terms. Television Director Creative Rights: • Gains to address the continuing and growing problem of late scripts – which result in reduced prep time, and negatively impact a director's ability to deliver the most compelling episode possible on time and on budget. • The creative rights negotiation also made progress in restricting electronic transmissions from set, securing additional cutting time for directors of pilots and first episodes of series without pilots, and protecting the director's right to participate fully in the casting process. Theatrical Feature Film Director Diversity and Inclusion: Building on the success of the DGA's past contractual gains in episodic television director diversity and inclusion, the Guild succeeded in securing commitment from the major theatrical feature film studios to: • Designate senior creative executives to meet with the DGA twice yearly on a company-by-company basis to discuss ongoing efforts to develop and expand theatrical feature film directing opportunities for individuals from underrepresented groups. • Establish a Joint Diversity and Inclusion Action Committee to discuss strategies and best practices to increase directorial opportunities for under-represented groups. The committee will consist of representatives from the DGA and the major theatrical studios including senior level executives. Additional Gains: • The new agreement also includes a number of other improvements related to SVOD features, non-dramatic programs, and safety. Term: • The term of the agreement is three years, July 1, 2020 – June 30, 2023. Details of the new agreement were presented to the Guild's National Board for approval at a special board meeting on Saturday March 7, 2020. The DGA's current contracts expire on June 30, 2020. Holland, AMPTP President Carol Lombardini, Avnet and Hollander pose for a photo after the successful conclusion to the negotiations. On March 11th, all active DGA members in good standing were sent ratification information by email containing a summary of the agreement that provides more specific details on how to vote online. All ballots must be completed no later than 6:00 p.m., Thursday, April 2, 2020 to be counted. For more information, please visit the DGA website. If you have any questions about the new agreement, please call Associate National Executive Director/Western Executive Director Daniel Bush at (310) 289-5383. DGA 2020 NEGOTIATIONS

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