Writers Guild of America Strikes Historic Deal with Studios and Streamers: A.I. Restrictions and Streaming Bonus Included
The Writers Guild of America (WGA) has reached a significant deal with leading studios and streamers, marking a historic agreement for the industry. The provisional three-year contract, subject to member ratification, includes several key points aimed at protecting writers’ rights and enhancing their earning potential.
Among the crucial provisions in the deal is the introduction of restrictions on the use of artificial intelligence (A.I.) in the writing process. Under the agreement, A.I. cannot be utilized to pen or rewrite original material under the minimum basic agreement (MBA), nor can it be used as source material for adaptation. While writers have the option to use A.I. as a tool if their employers permit it, they cannot be compelled to do so. Additionally, the companies must disclose any A.I.-generated material given to writers during the writing process. The WGA also has the right to assert that the exploitation of writers’ material to train A.I. is prohibited.
Compensation for streaming shows was another significant focus during the negotiations. The WGA proposed the establishment of a viewership-based residual to reward programs with higher viewership. The final compromise agreed upon involves the introduction of a new residual that grants bonuses to projects viewed by 20% or more of the domestic subscribers of streaming services in the first 90 days of release or subsequent exhibition years. For instance, a half-hour episode on major streaming platforms could receive a bonus of $9,031, while a streaming feature with a budget over $30 million could earn a bonus of $40,500.
Minimum staffing in television writers’ rooms also received attention in the deal. The WGA requested a minimum staff of six writers for pre-series order scripted programs, with an additional writer for every two episodes thereafter, up to a maximum of 12. The tentative agreement sets a minimum staff size of three writer-producers for first-season shows running 20 weeks or longer, with additional staff requirements tied to the number of episodes. This measure aims to prevent studios and streamers from using A.I. as a cost-saving measure by employing fewer writers.
The agreement also encompasses other gains for writers, including higher foreign residuals, annual minimum pay increases of 5%, 4%, and 3.5% over the contract’s duration, and enhanced employment guarantees for development and post-greenlight rooms. However, the WGA did not secure a commitment from the AMPTP that would allow its members to refuse to cross other unions’ picket lines without consequences.
The ratification vote for the contract will take place between October 2 and October 9, and if the majority of eligible voters support the deal, it will go into effect. Otherwise, union negotiators will return to the bargaining table to address concerns and improve the proposal.
The WGA’s agreement with studios and streamers represents a significant milestone in protecting writers’ rights and providing fair compensation for their work. The inclusion of A.I. restrictions and streaming bonuses addresses key concerns in an industry rapidly shaped by technological advancements and changing consumption patterns.
