Striking Hollywood writers represented by the Writers Guild of America (WGA) rejected a new royalty payments proposal offer from the industry's executives.
After a four week strike, the Alliance of Motion Picture and Television Producers offered writers an extra $130 million over three years. The WGA responded by calling it a massive rollback. Talks are scheduled to resume next week Tuesday as failed to agree on the studios proposal that was issued late Thursday.
The Writers Guild of America released the following details on Thursday's contract:
- Streaming of TV episodes online:
Studios offered a single fixed payment that would work out to about $250 for a year's reuse of an hour-long program.
Writers fear Internet streaming of shows will eventually replace standard reruns on network TV for which they get paid $20,000 per episode.
- Streaming of full-length movies online:
Studios offered no additional payment.
- Sales of videos through Web sites:
Studios did not offer to increase the current amount paid to writers. Payment for an online sale is the same as the amount received for a single DVD sale.
Writers want 2.5 percent of gross receipts paid to producers.
- Shows made specifically for the Internet:
Studios offered a minimum formula that would pay about $1,300 for a 15-minute online episode derived from a network show. Studios did not offer a similar deal for original Internet shows.
A previous agreement allows writers and producers to negotiate fees for original online content. Writers want guaranteed jurisdiction and payments.