YEARS, ACTORS AND WRITERS ARE

STRIKING AT THE SAME TIME,

BRINGING HOLLYWOOD MOVIE AND TV

PRODUCTION TO A HALT.

THE WRITERS GUILD HAS BEEN ON

STRIKE SINCE MAY AND SAG-AFTRA,

THE UNION REPRESENTING TV AND

FILM ACTORS, JOINED THEM LAST

WEEK AFTER NEGOTIATIONS WITH

STUDIOS BROKE OFF.

TWO OF THE KEY ISSUES AT THE

CENTER OF THESE STRIKES, HOW

STREAMING AND ARTIFICIAL

INTELLIGENCE ARE UPENDING THE

PROFITS., AFFECTING INCOME AND

WE SHOULD NOTE, THE NEWSHOUR IS

IN ACTIVE NEGOTIATIONS WITH

SAG-AFTRA TO REPRESENT SOME OF

THE EDITORIAL STAFF.

BROADCAST JOURNALISTS ARE NOT

COVERED BY THE SAME CONTRACT AS

THE ACTORS IN SAG-AFTRA

CURRENTLY ON STRIKE.

LET'S TURN NOW TO THE PRESIDENT

OF SAG-AFTRA WHO JOINS US NOW.

WELCOME TO THE NEWSHOUR.

FRAN: THANK YOU SO MUCH.

I AM A PROUD SUPPORTER OF PBS,

AND VERY HAPPY TO BE HERE.

GEOFF: WE APPRECIATE THAT.

MAJOR ACTORS GUILD STRIKES ARE

FAIRLY RARE, ESPECIALLY

RECENTLY.

LOOKING BACK AT THE CONTRACT WAS

RATIFIED IN 2020 BY SAG-AFTRA,

IT WAS APPROVED BY NEARLY 75% OF

THE VOTING MEMBERSHIP.

THERE WERE WAGE INCREASES,

IMPROVED RESIDUALS OR CONTINUED

PAYMENTS FOR VIDEO STREAMING.

FAST-FORWARD TO THE CURRENT

MOMENT, WHAT HAPPENED?

WHY WAS NOW THE RIGHT MOMENT TO

GO OUT ON STRIKE?

FRAN: I MEAN LOOK, I WAS NOT IN

LEADERSHIP THEN.

I DON'T KNOW WHETHER I WOULD

HAVE BEEN SO QUICK TO AGREE WITH

THAT CONTRACT.

BUT I THINK AT SOME POINT, YOU

REACH ACROSS ROADS -- REACH A

CROSSROADS.

THE SATURATION OF STREAMING AND

HOW IT HAS IMPACTED OUR INDUSTRY

IS EXPONENTIAL.

AND IT IS THE RISK -- IT HAS

DISEMBOWELED THE OLD BUSINESS

MODEL, WHICH IS THE ONE THAT

LET'S SAY, THE NANNY FLOURISHED

IN.

AND EVERYBODY UP AND DOWN THE

LADDER BENEFITED BY IT, AND MADE

MONEY OFF OF IT.

TO THIS DAY, THEY CONTINUE TO

GET MONEY FROM IT.

BUT THAT IS NOT THE CASE

ANYMORE.

WITH STREAMING.

AND ALL OF THE PROGRAMS THAT ARE

MADE FOR THE STREAMING CHANNEL,

YOU EXIST IN A BOX, IN A VACUUM,

AND THERE IS NO TAIL OF REVENUE.

AND OUR REVENUE SHARING THAT WAS

ESTABLISHED IN 1963, BORN 1960,

-- OR 1960, WHEN WE HAD THE BIG

STRIKE WITH THE WGA AND RONALD

REAGAN WAS PRESIDENT OF SAG.

THAT BUSINESS MODEL WAS

PREDICATED OFF OF TELEVISION

THAT RAN AS LONG AS THERE WERE

EYEBALLS AND ADD DOLLARS.

LONGEVITY WAS THE NAME OF THE

GAME.

THAT MADE SENSE.

BUT NOW, LONGEVITY IS NOT THE

NAME OF THE GAME.

SEASONS ARE VERY SHORT.

324, MAYBE, AND THEN IT IS OVER.

GEOFF: WHEN YOU ARE STARRING IN

"THE NANNY," THAT WAS A SEASON

THAT STARTED IN SEPTEMBER, RAN

THROUGH MAY, IT WAS 22 TO 24

EPISODES A SEASON.

NOW ON STREAMING, A SHOW IS

LUCKY IF THEY HAVE 10 EPISODES A

SEASON, AND THEY ARE LUCKY IF

THEY GET A SECOND SEASON.

WHAT DOES THAT MEAN IN TERMS OF

TAKE-HOME PAY?

FRAN: YOU CAN'T MAKE A LIVING.

THE ECONOMICS HAVE BEEN CHANGED

SO DRAMATICALLY THAT WE HAVE TO

MOVE OVER INTO THE POCKET WHERE

THE MONEY IS.

WE HAVE TO FOLLOW THE MONEY.

BUT EVEN WITHIN THE OLD

STRUCTURE, EVEN WITHIN PEOPLE

WORKING IN THESE LIMITED SERIES,

THEY DON'T WANT TO RAISE

MINIMUMS.

SO THEY ARE EXPECTING MY MEMBERS

WHO EARN MINIMUMS ON THEIR

PERFORMANCE TO EARN LESS THAN

THEY DID IN REAL MONEY IN 2020,

ALL THE WAY THROUGH TO 2026.

THEY REFUSE TO GIVE US WHAT THE

ECONOMY DEMANDS.

MOST OF THEIR LABOR UNIONS GET

COST-OF-LIVING RAISES.

GEOFF: WE SHOULD SAY WE

REQUESTED INTERVIEWS WITH STUDIO

HEADS AND WITH THE ALLIANCE OF

MOTION PICTURE AND TELEVISION

PERVERT -- TELEVISION PRODUCERS,

ALL OF WHOM DECLINED.

BUT THEY DID PROVIDE A

STATEMENT, PART OF WHICH READS

THIS WAY.

THE DEAL THAT SAG-AFTRA WALKED

AWAY FROM ON JULY 12 IS WORTH

MORE THAN $1 BILLION IN WAGE

INCREASES, PENSION, AND HEALTH

CONTRIBUTIONS, AND RESIDUAL

INCREASES AND INCLUDES FIRST OF

THEIR KIND PROTECTIONS OVER ITS

THREE YEAR TERM, INCLUDING

EXPRESSLY WITH RESPECT TO AI.

OR ARTIFICIAL INTELLIGENCE.

WHY WAS THIS DEAL, AS YOU SEE

IT, INSUFFICIENT?

WHAT ARE YOU ASKING FOR?

FRAN: FIRST OF ALL, DON'T

BELIEVE A WORD OF THAT.

THAT IS THE FIRST THING.

THE SECOND THING IS BECAUSE THE

REAL QUESTION IS THOSE CEOS ARE

MAKING $78,000 A DAY.

AND THE MAJORITY OF MY MEMBERS,

LIKE NINE OUT OF 10 OF THEM,

CAN'T EVEN QUALIFY FOR HEALTH

BENEFITS THAT HAVE A THRESHOLD

OF $26,000 A YEAR.

WHY WOULD WE GO ON STRIKE IF IT

WAS SUCH A FANTASTIC DEAL?

DO YOU THINK WE ENJOY BEING OUT

OF WORK?

DON'T BELIEVE A WORD THAT THEY

SAY.

WHEN THEY OFFER AS A DEAL AND

THEY SAY THAT A BACKGROUND

PERSON WILL GET PAID FOR ONE

DAYS WORK, WE WILL SCAN THEIR

BODIES, AND THEN WE CAN USE

THEIR LIKENESS IN PERPETUITY,

WHAT IS GOING TO HAPPEN TO THAT

BACKGROUND PERSON?

HE IS OUT OF WORK.

HE HAS BEEN REPLACED BY AI.

THAT IS UNACCEPTABLE.

THAT IS A DEALBREAKER.

GEOFF: YOU KNOW THE POSITION OF

THE STUDIO CHIEFS TO INCLUDE BOB

IGER, CEO OF THE ASH OF DISNEY

WHICH OWNS ABC, A NUMBER OF

CABLE NETWORKS, AND STREAMING

PLATFORMS.

HE MAKES THE CASE THE UNION IS

NOT BEING REALISTIC.

HE DOES HAVE A POINT, THAT THE

BUSINESS HAS CHANGED.

LINEAR TV IS FLATLINING.

STREAMING PLATFORMS ARE NOT

PROFITABLE ACROSS THE BOARD.

YOUR SHIP HABITS HAVE CHANGED.

-- VIEWERSHIP HABITS HAVE

CHANGED.

SETTING ASSIGNED THE MESSENGER,

BUT THE UNDERLYING MESSAGE.

FRAN: FIRST OF ALL, HOW DO YOU

INSULT ME BY SAYING THEY ARE NOT

PROFITABLE WHEN YOU ARE SITTING

THERE MAKING $50 MILLION A YEAR?

WHERE DOES THAT MONEY COME FROM?

THERE ARE PEOPLE WAY AT THE TOP

THAT ARE GETTING RICHER AND

RICHER.

AND THE FIRST PLACE THEY LOOK TO

SQUEEZE IS MY MEMBERS.

THAT'S WRONG.

THEY HAVE TO CHANGE THEIR

CULTURE.

THEY HAVE TO START THINKING, WE

ARE IN PARTNERSHIP WITH THESE

PEOPLE.

GEOFF: MOST SAG-AFTRA MEMBERS AS

YOU MENTIONED DON'T MAKE ENOUGH

MONEY TO MEET THE SAG-AFTRA

THRESHOLD TO QUALIFY FOR HEALTH

INSURANCE.

HOW LONG CAN THESE FOLKS STAY

OUT ON THE PICKET LINES?

HOW LONG WILL THIS GO?

FRAN: THEY ARE THE ONES THAT

GAVE A HISTORIC STRIKE

AUTHORIZATION VOTE.

97.91%.

THAT IS HOW UPSET THEY ARE.

THAT IS HOW MARGINALIZED THEY

FEEL AND DISRESPECTED.

LISTEN, MOST OF MY MEMBERS ARE

USED TO WORKING OTHER JOBS.

AND IF WE HAVE TO, WE WILL.

I DON'T KNOW WHAT THEY ARE GOING

TO DO WITHOUT US, BUT WE CAN

SURVIVE WITHOUT THEM IF WE HAVE

TO.

BECAUSE AT SOME POINT, YOU HAVE

TO SAY, NO.

GEOFF: FRAN DRESCHER, PRESIDENT

OF SAG-AFTRA.

THANK YOU FOR YOUR TIME IN YOUR

INSIGHTS.

WE APPRECIATE IT.

FRAN: THANK YOU.

MY PLEASURE.

♪