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ATPAM: News: HL1200A

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ATPAM and League Successfully Conclude Contract Talks

Membership Ratifies New Pact

On October 12, 2000 representatives of ATPAM, the League of American Theaters and Producers, SFX Theatrical Group and Buena Vista Theatrical Ventures (Disney) concluded negotiations for two successor agreements to the ATPAM/League MBA which expired on September 5, 1999. The new Minimum Basic Agreement (MBA) for Managers and IATSE/League Memorandum of Agreement (MOA) for Press Agents were discussed at the Union’s October General Membership meeting and subsequently overwhelmingly ratified by secret mail ballot tabulated on November 21, 2000. The Membership also approved a new split between salary and annuity as part of the deal. These new agreements will also set the standard for other non-League employers operating in ATPAM jurisdiction.

No Give-Backs—Economic Gains

There were no give-backs of any terms and conditions contained in the expired agreement. All terms of the new agreements are retroactive to September 6, 1999. The salary increases negotiated (see chart) are above cost-of-living and within the pattern of the other contract settlements in the entertainment industry. The COLA provision was renewed and will help guard against inflation that might occur over the life of the agreements.

New Rules for Press Agent Employment

There is one major change in the manner in which Press Agents will be employed and contracted. Going forward, all references to Press Agents will be removed from the MBA and inserted into the new IATSE/League MOA. The MOA will be jointly administered by the IATSE and ATPAM; however, the contracts will be issued to Press Agents by the IATSE when the pink contracts (crew) are issued for each show. The purpose of this change is to ensure that contracts are issued to persons actually performing the service in fact related to the covered employment as a safeguard against possible violations of the Employee Retirement Income Security Act of 1974 (ERISA).

Going forward from the date of signing, Producers will have the option to hire a Press Agent as a direct employee of the production or to engage a bona fide Press Agent Agency. A Press Agent Agency is defined as two or more Press Agents - including two Seniors or a Senior and an Associate who hold themselves out as doing business together in a corporate, partnership or sole proprietor with employees. These agencies will be signatories to the MOA with the IATSE and shall have all the rights and responsibilities as the employer of record of the covered Press Agents working in their employ.

ATPAM was successful in ensuring that all Press Agent payrolls will continue to be drawn by the Producer as a payroll company on behalf of the Press Agent Agencies. This means all salary, pension, welfare, annuity, dues, tax remittance checks, etc., will be prepared by the Producer on behalf of the Press Agent Agency which will have its own tax ID number. Additionally, both Senior and Associate must have payroll taxes deducted from their weekly grosses and cannot take their salary as a "fee." This is to ensure the protection and continuation of all employee benefits required under the agreement and by law, such as unemployment insurance eligibility, workers comp, disability, etc. Salary splits will continue to be determined by the Press Agent Chapter and strictly enforced. A key provision of the agreement is that Producers shall directly remit all contributions and reports to the Pension, Welfare and Annuity Funds on behalf of the Press Agents employed by Press Agent Agencies. Press Agents working directly for a Producer will continue to be paid in exactly the same manner heretofore.

The negotiations were lengthy and protracted, focusing primarily on the employment status of Press Agents. The entry of major new non-League employers into the industry added to the intensity of the talks. The IATSE, and in particular President Short, was instrumental in bringing all of the major employers to the table and keeping them there until there was a deal. The Negotiating Committee’s efforts were also aided by the overwhelming vote of the ATPAM Membership to authorize a strike if necessary to settle the contract.