Netflix must shell out a hefty sum in a combat over screenwriter pay. As Deadline reports, the Writers Guild of America has received an arbitration ruling that can have Netflix pay 216 theatrical film writers an additional $42 million in unpaid residuals. The WGA can be in search of one other $13.5 million in curiosity for late fee.
The WGA accused Netflix of “self-dealing” that helped it skimp on author pay. Residuals for theatrical releases are alleged to be paid on revenues earned in a given market, in accordance with the guild, and licenses like Netflix’s (the place it is each the producer and distributor) demand charges primarily based on extra typical relationships — a Sony film licensed to Netflix, for instance. Netflix, nonetheless, reportedly negotiated offers with the Directors Guild of America and Screen Actors Guild (SAG-AFTRA) that allow it pay residuals by itself motion pictures for “significantly less” than the price of the movie.
The win was helped by an earlier victory over the Sandra Bullock film Bird Box, the WGA claimed. An arbitrator discovered that Netflix considerably underpaid a screenwriter utilizing a system like that from the newest dispute. The officiator advised Netflix to pay the author $1.2 million in residuals and curiosity.
We’ve requested Netflix for remark. The WGA wasn’t shy about its criticism, nonetheless. It characterised Netflix as one of many “worst violators” of the guild’s primary agreements for residuals, and noticed the arbitration as a pushback in opposition to media firms attempting to “depress” pay by streaming companies. Don’t be shocked if there are extra battles like this throughout the business.
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