Thursday, November 12, 2009
Study to Test Commerical Pay Structure
PricewaterhouseCoopers has started a two-year pilot study for the ad industry, SAG and AFTRA to test a revamp of compensation for thesps in commercials that would be based on ratings [Gross Ratings Point Talent Compensation Model] rather than the current pay-per-play model. The study was commissioned as part of the three-year deal reached last spring between the industry and the performers unions.
The pact, which covers about $900 million in annual blurb work, maintains the current method of pay-per-play payment for ads run on network (also known as the "Class A" payment structure). The ad biz had hoped to shift the payment to a formula based on ratings for blurbs rather than plays but settled for a pilot study instead.