Extreme Reach recently had the pleasure of hosting the ANA/4A’s Joint Policy Committee at a seminar covering the recent SAG-AFTRA contacts. The event was attended by over 120 industry professionals in Marina Del Rey, and featured speakers Doug Wood and Stacy Marcus of the law firm Reed Smith. Doug and Stacy were the lead negotiators for the industry team that bargained the new 2013 Radio & TV Commercials Contracts with SAG-AFTRA.
The top highlights from the event included a review of the most significant changes in the 2013 Commercials Contracts.
Rate Increases: Wages were increased by 6% across the board, and are retroactive to April 1. Any commercials produced on or after that date are subject to the new rates and terms. Cable use payments are now maxed at 3000 units, up from 2000 units. P&H goes from 15.5% to 16.8%.
Spanish Language Increases: Spanish Language TV commercials saw an increase of 5-10% in addition to the 6% base increase noted above. Use in Puerto Rico is no longer to be paid for as “foreign” use.
Editing Provisions: Advertisers are now entitled to have a second free lift under Section 26A (Shorter/Longer Versions) and Section 26K has been modified to allow certain retail advertisers to make multiple versions of a basic spot (featuring different products) without creating a “new” commercial and having to pay additional use fees. Those changes were formerly so cost-prohibitive that signatory agencies had been at a competitive disadvantage pitching retail business.
In this seminar recap, learn about important changes regarding Internet content, new Ad-ID requirements, the Clearinghouse Initiative and more.
Your Extreme Reach talent management team is here to assist you in understanding how to implement new contract terms and provisions. In fact, we’re making all necessary retroactive payments on behalf of our clients. Questions? Contact us!