WGA Reveals Details Of Its Studio Deal

Key Points:

• The Writers Guild of America East and West announced a tentative agreement with studios and streamers, including a record $321 million payment from the Alliance of Motion Picture and Television Producers (AMPTP) to stabilize the union health plan.
• The new contract, if ratified, will extend the minimum basic agreement to four years through 2026, featuring increased employer contributions to the health plan and negotiated plan changes effective in 2027 to manage writers' out-of-pocket costs.
• The deal includes higher domestic and foreign streaming residuals, a success bonus increase to a 75% base residual for top shows, annual minimum rate increases, and ongoing discussions about AI implementation without established pay for AI training.
• The AMPTP initially sought a five-year contract but settled for four years, offering significantly more upfront money than in past negotiations, while the WGA agreed to some health plan cost concessions such as higher premiums and eligibility changes.
• The contract now awaits ratification by WGA members between April 16-24, with some expected scrutiny due to the quick bargaining process and concessions, as the union avoided a customary strike-authorization vote during negotiations.