The British actors union, Equity, is making significant strides in its push for new film and TV agreements with the producer trade body, PACT. The union’s primary focus is on revamping residuals, addressing artificial intelligence (AI) provisions, and ending the misuse of “special stipulations” by American buyers. These demands are part of a broader claim that Equity has recently submitted, with negotiations set to begin soon.
Equity General Secretary Paul Fleming has indicated that relations between the union and PACT are strong, and initial discussions about potential strike action have subsided. The two parties will meet bi-weekly over the next two months, aiming to finalize the deal by the end of September. This new contract will govern the majority of UK TV series and indie movies, including those produced by streaming platforms, for the next two to three years.
Equity has been crowdsourcing input from its 40,000-strong member base since the beginning of the year to compile its claim, which includes five key demands. In an email to members, Equity emphasized the importance of these negotiations, drawing parallels to last year’s SAG-AFTRA industrial action in the United States. The union stressed the need for collective action, stating, “If you all stand alone, PACT can ignore you. But if we all stand together, we can demand better and win.”
The five demands outlined by Equity are:
1. **Pay**: Substantially increasing minimum fees.
2. **Secondary payments**: Reforming royalty and residual payments to ensure artists receive a fair share in an evolving media landscape.
3. **AI**: Regulating the use of generative artificial intelligence in production and securing clear protections for members.
4. **Casting**: Establishing fairer methods of casting by codifying self-tape guidelines.
5. **Fair contracts**: Addressing the misuse of special stipulations that undermine collective agreements and ensuring contracts include key terms for suitable hair and make-up provisions for members of all ethnicities and cultures.
One of the most significant aspects of the negotiations is the revamp of residuals. Equity aims to shift the focus of compensation to how long a show or movie is licensed on a particular platform, moving away from a model that rewards viewership. Fleming explained, “We want more money for your work being exploited for longer. Considering the way streaming is going, we think this will disincentivize exploitation while giving actors a rise in pay.”
Equity’s residuals blueprint is described as a “hybrid between the [current] British, American, and Canadian models.” In the U.S., SAG’s three-year contract with the AMPTP, which followed a months-long strike, focuses on a success-based model with a bonus structure that rewards shows reaching a certain viewership threshold. Fleming noted that Equity’s demand is more complex, aiming to measure success in a more nuanced way by looking at license periods.
Another critical issue is the misuse of “special stipulations” by American networks and streamers. These stipulations often come with higher pay rates but also increased demands in areas such as availability, holiday pay, and sick leave. Equity is seeking to tighten the rules around these stipulations to prevent a deterioration in working conditions and an increase in job precarity. Fleming acknowledged that while this part of the claim might not be controversial with PACT, it could be contentious with the streamers, who may want to be involved in the negotiations.
Equity members have identified the misuse of special stipulations as their “biggest bugbear” during the crowdsourcing process. Whether the streamers and other American buyers will come directly to the negotiating table remains to be seen. Historically, companies like Netflix, Disney, Apple, and Comcast-owned Sky have approached Equity negotiations through “side letters,” which add a small premium to the deal with PACT. For example, Netflix’s deal includes a circa-25% pay premium on top of PACT’s agreement. Other streamers, such as Amazon Prime Video and Paramount, still use the Equity PACT deal.
Equity’s email to members indicated that the union would soon be renegotiating side letter agreements with streaming platforms like Apple, Netflix, and Disney+. The terms negotiated will then be reflected in Equity contracts across film and television in the coming years. However, Netflix, Apple, Disney, and Sky declined to comment on whether they would participate directly in the negotiations.
In addition to addressing special stipulations, the “Fair contracts” section of Equity’s claim also calls for an end to the lack of suitable hair and make-up provisions for members of all ethnicities and cultures. This issue was highlighted at Cannes by stars such as Lashana Lynch and Naomie Harris.
AI provisions are another cornerstone of Equity’s claim. The union has been at the forefront of AI research, particularly in areas like synthesization, where actors’ faces could be cloned and used in other shows. Fleming stated that the union’s claim aims to “set parameters” and “break the PR myth of AI” in a nuanced manner. The claim is tailored to address the implications of generative AI for different categories of actors, including dubbing and supporting artists.
Equity also strikes separate deals with the BBC and ITV for some shows that fall outside the PACT agreement. Recently, AI has been a central issue in the ITV negotiation, which Fleming said is nearly finalized.
The final two demands in Equity’s claim focus on pay and casting. The union is seeking a circa-7% pay rise for movies this year and a minimum 5% increase the following year. For TV, an increase of 7% for 2024, 3.5% for 2025, and 3% for 2026 has already been agreed upon. Equity aims for pay to rise above inflation to “narrow the gap between the market rate and its impact,” according to Fleming.
Mirroring actions in the U.S., Equity is also demanding guidelines on self-tape auditions be included in collective film and TV agreements. This follows reports of agents sending clients illegitimate invites for self-tape auditions, a practice that actors have long sought to regulate better.
Source: Deadline
