English Entertainment
Reality TV writers in the US sue major networks, production companies
MUMBAI: 12 reality TV writers, assisted by the Writers Guild of America west (WGAw), have filed a class-action suit in the Superior Court of California.
The suit charges eight television networks and production companies with gross violations of California’s labour laws governing payment of overtime, wages, and meal periods.
WGAw president Daniel Petrie Jr said, “These violations of California law are no mere accounting errors.They are deliberately designed to deny these writers the basic rights and legal protections of fair wages, overtime, and a meal break. Unfortunately, those cases are not unique.
“It is but one example of the pervasive conditions we have found in reality television productions – and it underscores why so many reality writers and editors have come to the Writers Guild seeking union representation.”
The writers who brought the suit worked on such reality shows as The Bachelor, The Bachelorette, Are You Hot?, The Two Timer, The Will, The Starlet, and The Real Gilligan’s Island. They were given such various job titles as assistant story editor, story assistant, story editor and story producer.
Their complaint charges four production companies – Next Entertainment, Telepictures Productions, Syndicated Productions and Dawn Syndicated Productions and four networks ABC, CBS, WB and TBS with failure to pay overtime, willful falsification of or failure to maintain payroll records, and the chronic failure to afford meal periods required by law. The suit also seeks class-action status on behalf of the plaintiffs and others employed on these programmes.
According to the suit The Bachelor and the other shows established a flat weekly rate for an 84-hour work week. Regardless of the number of hours employees worked, they received only the flat weekly rate, even when the law requires that they receive time-and-a-half after 40 hours and double-time after 80 hours. In California, employers are required to calculate an employee’s hourly rate by dividing 40 hours into the weekly rate.
The suit alleges that once they were hired, the 12 writers were required to falsify their time cards, either by simply writing the term “Worked” across the card or by entering predetermined start and end times for each day of the week. In fact, the suit notes, the employees worked far in excess of 40 hours per week during virtually every week of their employment but never received any premium overtime pay.
Petrie notes, “The entertainment industry established basic decent working conditions and compensation standards decades ago. What is happening here harkens back to the conditions experienced in the early 20th century. The companies falsified the hour rates on their pay stubs to reflect that overtime had been paid when it hadn’t. To add insult to injury, they refused to give meal periods to writers when they were working 10-, 12-, and 20-hour days, six or seven days a week.
“These are major production companies and networks with financial and creative control who should be ashamed to have talented writers with a de facto hourly pay of less than $10 per hour, with no overtime, no meal periods, no pension and health, and no residuals. It’s time to put an end to these conditions.”
English Entertainment
Warner Bros. Discovery shareholders approve Paramount deal
Investors wave through a $111 billion megamerger but deliver a stinging, if toothless, rebuke over half-a-billion-dollar goodbye packages
NEW YORK: The shareholders said yes to the deal. They said no to the cheque. At a virtual special meeting on Thursday that lasted barely ten minutes, Warner Bros. Discovery investors voted overwhelmingly to approve Paramount Skydance’s $111 billion acquisition of the company — and then turned around and voted against the lavish exit pay packages lined up for chief executive David Zaslav and his fellow outgoing executives.
Not that it will make much difference. The compensation vote is purely advisory and non-binding. The Warner Bros. Discovery board can, and almost certainly will, pay out as planned.
But the symbolism stings. It is the second consecutive year that WBD shareholders have voted against the executive compensation packages, and this time they had good reason. Zaslav’s exit deal is, by any measure, extraordinary. Under the terms filed with the Securities and Exchange Commission, he is set to receive $34.2 million in cash severance, $517.2 million in equity in the combined company, and $44,195 in continued health coverage — a total of at least $550 million. On top of that, Warner Bros. Discovery has agreed to reimburse Zaslav up to $335 million for taxes assessed by the Internal Revenue Service on his accelerated stock vesting, though the company says that figure will decline depending on when the deal closes. As of March 11, Zaslav also held $115.85 million in vested WBD stock awards — and last month sold a further $114 million worth of WBD shares.
Shareholder advisory firm ISS recommended voting against the compensation measure, citing “problematic” tax reimbursements to Zaslav and the full vesting of his stock awards.
Zaslav will be bound by a two-year non-competition covenant and a two-year non-solicitation of customers and employees after the deal closes.
His lieutenants are not walking away empty-handed either. J.B. Perrette, chief executive and president of global streaming and games, is in line for $142 million, comprising $18.2 million in cash severance and $123.9 million in equity. Bruce Campbell, chief revenue and strategy officer, will receive an estimated $121.5 million, including $18.8 million in severance and $102.7 million in equity. Chief financial officer Gunnar Wiedenfels is set for $120 million, made up of $6.6 million in cash severance and $113.1 million in equity. Gerhard Zeiler, president of international, will get $82.6 million, including $11.9 million in severance and $70.7 million in equity.
The deal itself, clinched in February after Netflix declined to raise its bid for Warner Bros., still needs regulatory clearance from the Justice Department and European authorities. Several state attorneys general are also weighing legal action to block it.
Senator Elizabeth Warren, Democrat of Massachusetts, was unsparing. “The Paramount-Warner Bros. merger isn’t a done deal,” she said after the shareholder vote. “State attorneys general across the country are stepping up to stop this antitrust disaster. We need to keep up this fight.”
If it does go through, the combined entity would be a formidable beast, bringing together Paramount Skydance’s stable — CBS, CBS News, Paramount Pictures, Paramount+, BET, MTV and Nickelodeon — with WBD’s portfolio of HBO, Max, Warner Bros. film and TV studios, DC, CNN, TBS, TNT, HGTV and Discovery+. Paramount has said it expects $6 billion in cost savings from the merger, which is Wall Street shorthand for mass layoffs on a significant scale.
The ten-minute meeting was presided over by chairman Samuel Di Piazza Jr., with Zaslav, Campbell, Wiedenfels and chief communications officer Robert Gibbs in virtual attendance. Di Piazza was bullish. “We appreciate the support and confidence our stockholders have placed in us to unlock the full value of our world-class entertainment portfolio,” he said. “With Paramount, we look forward to creating an exceptional combined company that will expand consumer choice and benefit the global creative talent community.”
Zaslav echoed the sentiment. “Over the past four years, our teams have transformed Warner Bros. Discovery and returned the company to industry leadership,” he said. “Today’s stockholder approval is another key milestone toward completing this historic transaction that will deliver exceptional value to our stockholders.”
Paramount Skydance struck a similar note. “Shareholder approval marks another important milestone towards completing our acquisition of Warner Bros. Discovery,” it said in a statement, adding that it looked forward to “closing the transaction in the coming months.”
The shareholders have spoken on the merger. On the pay, they were ignored before the vote was even counted.
