The International Union of Theatrical Stage Employees concluded the first week of “general” negotiations on a new contract on Friday, resuming next week.
The union spent much of this week focused on its benefits plan, which faces a $670 million shortfall over the next three years.
The Film Industry Pension and Health Insurance System extended health insurance coverage to members who lost their jobs during last year's strike, but an unusually large funding shortfall remained.
The union provided a brief update to members Friday night but gave no indication of the progress of negotiations.
IATSE represents approximately 50,000 film and television professionals under an agreement in principle with the Alliance of Motion Picture and Television Producers. The agreement includes 13 local residents, primarily in Los Angeles, who will be responsible for photographers, hairstylists, grips and a number of other skills. The contract is scheduled to end on July 31st.
One of the union's top priorities is to establish new sources of funding for the benefit system. The plan is primarily funded by employer contributions based on hours worked. But pandemic shutdowns and strikes have cut off sources of income, contributing to significant shortfalls.
“If funding is wholly or significantly dependent on hourly contributions, depletion of hourly contributions will have a negative impact on the plan,” Mike Miller, IATSE's international vice president, said in an interview last week. Stated.
Mr Miller said the union was seeking a “safety net” to protect the plan in the event of future unforeseen disruptions. That will come in the form of a new balance payment from the streaming platform, which will be paid out regardless of production activity.
Such a stay would shift the burden of funding plans to streamers rather than production companies not affiliated with streaming platforms.
The shortage is partly due to rising medical costs. Members pay no premiums for their individual plans, and monthly premiums for dependents are very low.
The Motion Picture Industry Pension and Health Insurance Plan also covers the Teamsters and other Hollywood Basic Crafts unions, which were also involved in discussions on benefit issues Monday through Wednesday.
IATSE also addressed “working conditions” on Thursday and Friday. Unions are concerned with items such as break times and meal penalties, which were also major concerns in the 2021 bargaining cycle.
AMPTP has already reached 13 interim agreements with each IATSE local, covering import issues for each vessel. The on-site consultations were held for five weeks from March to April.
Talks are expected to move at some point to general wage increases and artificial intelligence, which could pose major obstacles to reaching an agreement. Unions will need to develop AI regulations across a variety of ships, each of which faces unique challenges with the technology.
IATSE has not said whether it will seek authorization for a strike, which would raise the stakes in the negotiations.
“This is a very important contract to negotiate,” Miller said. “We're going to come to contract negotiations as we have in the past. That's our focus, that's our intention.”
Basic agreement negotiations are expected to continue for a further two weeks, followed by consultations on regional standard agreements covering a further 23 IATSE locals across the country. These negotiations would be followed by basic craft negotiations targeting Teamsters, electricians, plumbers, plasterers, and laborers.