Agreement calls for upfront 6% wage hike
Reps for the ad industry and American Federation of Musicians have reached a tentative three-year deal covering production of music for TV and radio ads.
The jingle agreement calls for an upfront 6% wage hike, retroactive to Oct. 17 and conditioned on approval by AFM members. Negotiators for both sides have recommended approval for the pact, expected to cover over $100 million of work during its term.
The agreement comes a year after the Screen Actors Guild and the American Federation of Television & Radio Artists settled a bitter six-month strike with the ad industry. It will replace the current three-year AFM deal, which expired Oct. 16.
“We think this is a very reasonable deal,” said Ira Shepard, lead negotiator for the Assn. of National Advertisers and the American Assn. of Advertising Agencies “Both sides worked hard to grapple with the difficult economic times facing the country generally and the ad industry specifically.”
The deal boosts the minimum call session fee to $106 from $100. The wage hike will boost the dub fees, set at 75% of session fees, that musicians receive to cover repeat use of spots.
The deal also covers new ground in providing fixed rates on made-for-Internet spots along with pension and health contributions.
The AFM’s current agreement with the major record companies runs out Jan. 31.