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The Street
The Street
Rob Lenihan

Hollywood Directors Just Reached a Deal With Studios (Here's Why Not Everybody's Happy)

The Directors Guild of America reached a tentative agreement with Hollywood studios in a move that angered some writers who are currently on strike.

Under the agreement with the Alliance of Motion Picture and Television Producers (AMPTP), DGA members would see a 5% wage increase in the first year, 4% in the second and 3.5% in the third year. Assistant directors would also have their workday cut by one hour.

The agreement addresses the use of artificial intelligence, confirming "that AI is not a person and that generative AI cannot replace the duties performed by members."

AI is also a sticking point with the Writers Guild of America (WGA), whose members have entered their sixth week of strikes.

“We have concluded a truly historic deal,” said Jon Avnet, the chair of the DGA’s negotiating committee, said in a statement. “It provides significant improvements for every director, assistant director, unit production manager, associate director and stage manager in our Guild."

The deal also includes the first-ever pilot program to require the employment of dedicated safety; expanded safety training programs for both directors and their teams, and a ban of live ammunition on set.

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Anger from Some Writers

The film industry was rocked on Oct. 21, 2021 after cinematographer Halyna Hutchins was shot and killed on the Albuquerque, N.M., set of the film “Rust,” by a prop gun fired by actor Alec Baldwin.

The WGA announced a unanimous agreement to strike at midnight, May 2 after what it called “insufficient” responses from AMPTP.

News of the DGA deal sparked angry comments on social media from some writers.

“DGA sent us to war with a ‘we’re right behind you’ then made a deal behind our backs,” writer Julie Benson tweeted. “We should add to our list of demands & include ‘writers must go to set’ to remind them of our hard won battle scars that they claimed heel spurs or whatever instead of joining us on the lines.”

"No solidarity from the directors. (as usual),” another person said. “I guess those Directors really love shooting reality shows. Good luck with that.”

"So the already highly paid DGA folks take a deal which nets them even more... all while not having the backs of the people who WRITE THE STORIES they are directing... do I have that right?" writer Tim Westland tweeted.

"As always," writer Michael Tabb said. "Now the #AMPTP will play up to the press that the #WGA is being difficult if they don't accept the same terms, even though their membership's needs are totally different from most #DGA members, who are below-the-line crew, not directors. #typical #sameoldtricks."

WGA Congratulates Directors on Deal

Reached for comment, a DGA representative referred to a Writers Guild statement congratulating the directors for reaching the tentative agreement. 

"Out of respect for the DGA’s ratification process and in recognition of not knowing the contract language they have negotiated, we won’t be commenting on their deal points," the WGA said. "Our own bargaining positions remain the same as they were on May 1, 2023."

The WGA said it had sent an email last week "about how the AMPTP divide and conquer strategy won’t work this time."

"The AMPTP will not be able to negotiate a deal for writers with anyone but us," the WGA said.

The WGA had been in negotiations for six weeks with the AMPTP, consisting of Netflix (NFLX), Amazon (AMZN), Apple (AAPL), Disney (DIS), Warner-Discovery (WBD), NBC Universal (CMCSA), Paramount PARA and Sony  (SNEJF) .

Part of the strike is looking for concessions related to the transition to streaming, where a show could be rewatched millions of times without its writers earning additional compensation, as well curtailing the rising threat of AI.

Meanwhile, AMPTP will begin negotiations for a new contract with SAG-AFTRA, the guild that represents actors; their current agreement expires on June 30.

"We continue to stand in strong solidarity with the members of the WGA and with their strike, and we congratulate the DGA on their bargaining and look forward to reviewing the detailed terms of their agreement as soon as possible," Duncan Crabtree-Ireland, national executive director and chief negotiator of SAG-AFTRA, said in a June 4 statement.

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