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/ Home / Products / New Products / Industry News (misc) /
Big News, Little Articles
Union And Video Game Companies Reach Tentative Agreement On New Contracts
Ilyanne Morden Kichaven & Rebecca Rhine
06/08/2005


Los Angeles (June 8, 2005) -Screen Actors Guild (SAG) and the American Federation of Television and Radio Artists (AFTRA) today announced they have reached tentative agreements with video game companies on new contracts.  The new three-and-a-half year agreements -- reached after three months of bargaining, the break-off of talks on May 13, and right before the results of a strike authorization vote by both unions was to be announced -- include a 36 percent increase in minimum pay over the term, with 25 percent to be immediately implemented. In addition, the pacts contain significant increases in benefit contributions, as well as greater protections for the performers who do this work. The tentative agreements now must be approved by SAG's National Executive Committee and AFTRA's National Administrative Committee, both of which will meet in the coming weeks.
 
On the eve of a strike authorization vote, and after much deliberation, both unions reluctantly withdrew their demand that a residual, or profit-sharing, model be instituted for video games, in return for producers putting more money for minimum pay into both contracts.  Accordingly, the parties have agreed that the final vote tallies for the strike authorizations will not be announced.  
 
"The negotiating committee wrestled with a great challenge. Our members clearly support the inclusion of residuals in our Interactive contracts. However, with great reluctance, our negotiating committee concluded that it is in the interests of the members who work these contracts to make this deal," said SAG President Melissa Gilbert. "We will spend the next three-and-a-half years devoting resources to further organize this industry, and return to the bargaining table with renewed strength and vigor to establish a fair participation in the enormous profits generated by video games."

AFTRA National President John Connolly noted, "We are proud that this deal significantly enhances wages and increases benefits for performers in interactive games. While we did not get all that we want...and deserve... this contract is another important step in building artists' power in this growing sector of the media industry. The road to creating fair industry standards for working performers runs through significantly increased union density in interactive game production. We will vigorously pursue this objective during the term of this agreement. Achieving greater density in interactive games will dramatically serve our goal of winning residuals. I salute the hard work, hard road, and hard decisions that our member committee and our dedicated staff took on in these negotiations."

 
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