Picket Fences

The writer's strike presents me with an odd quandary: Do I continue to try to sell my script, or wait until after the strike is over?

For those of you who may not be familiar with the reasons behind the writer's strike, a little background: The Writer's Guild of America (WGA) is striking against the Alliance of Motion Picture and Television Producers (AMPTP), mostly over the amount they get paid for the distribution of their work via the Internet. Production companies, networks, and studios save up-front costs by paying "residuals", which are a percentage of the per-unit sale price of a movie or television show. Residuals are a significant part of the overall compensation writers earn for their work.

How much? Let's look at one film, Reign Over Me, which starred Don Cheadle and Adam Sandler. It's a good choice because it got good reviews, but wasn't a big box-office smash (it virtually disappeared from theatres in a month), having cost $20 million to make and earning around $21 million. For the week ending October 28th, that little film sold 55,872 copies on DVD, earning roughly $1.1 million. At the current rate of compensation, the writer received a residual check in the amount of $3,350.64, minus taxes.

One week.

This is not chump change.

Now, back in 1985, when VHS was new, the AMPTP put forth the position that the consumer market was changing and that the technology had not been proven, so they negotiated with the WGA to set a reduced percentage for residuals on the then-new technology, with the understanding that if it proved itself, the residuals would increase again. They reneged.

They did the same thing with DVDs, again claiming unproven marketability for new technology.

Incidentally, under the rate structure that existed before VHS, the screenwriter for Reign Over Me would have earned $16,753.22 that same week.

What's happening now is that new technology is reshaping the marketplace once again, and the AMPTP wants to cut the writers out of residuals entirely for this new technology. Internet streaming and downloads, cell phone downloads, things we didn't see as marketable three years ago are becoming commonplace. Miss your favorite TV show? Go to ABC.com and watch it! you'll be shown commercials, which the network is being paid for... But the writers of the show are not getting their residuals for the rebroadcast of the show. The AMPTP insists that the technology isn't yet proven to be marketable, but there it is, and the parallels with the introduction of VHS and DVD are clear.

Now, I'm not one to say that restitution should be made for the percentages the WGA negotiated away in the past, and in any case, that's not what they're asking for. They want in on the new technology because they wisely see the market headed in that direction, and they want a raise.

It's not an unfair position.

How does this relate to me?

The WGA's success or failure will undoubtedly affect the amount I get paid for my work as a writer.

Now, I am not a union guy. Far from it. But in this case, I agree with the WGA. Not because it will affect my paycheck, but because I sincerely believe they're right.

But will I be able to resist if someone offers me a quarter of a million dollars for my screenplay?

I don't know. I honestly don't know.

It would sure be nice to get the opportunity to find out, though.