The Dow is still down–"only" 90 points as of now, which, in this crazy world, is considered good–but I still am skeptical that The Fed rate cut yesterday will do much to avoid a worsening economy. Note: I use the word "worsening" because for most people the economy has been pretty bad for them for some time if you look at higher debt, higher inflation, stagnant wages, disappearing pensions and no health care.
But, I digress. I really wanted to highlight that the Writers Guild of America and the producers have agreed to go back into informal talks. It’s important to point out it was the producers who broke off the negotiations (a fact that The New York Times story today fails to mention), saying that unless the Guild talk certain provisions off the table, there would be no more talking. Adult-like, huh? We won’t talk about reaching an agreement until the things we want to talk about are the only issues on the table. So, let’s be very clear–the producers have been the impediment to making a deal.
Here is the message sent to WGA members by Patrick Verrone, president of the Guild’s west branch, and Michael Winship, president of the east branch:
We have responded favorably to the invitation from the AMPTP to enter into informal talks that will help establish a reasonable basis for returning to negotiations. During this period we have agreed to a complete news blackout. We are grateful for this opportunity to engage in meaningful discussion with industry leaders that we hope will lead to a contract. We ask that all members exercise restraint in their public statements during this critical period.
In order to make absolutely clear our commitment to bringing a speedy conclusion to negotiations we have decided to withdraw our proposals on reality and animation. Our organizing efforts to achieve Guild representation in these genres for writers will continue. You will hear more about this in the next two weeks.
On another issue, the Writers Guild, West Board of Directors has voted not to picket the Grammy Awards in Los Angeles. Members of the American Federation of Musicians (AFM) face many of the same issues concerning compensation in new media that we do. In the interest of advancing our goal of achieving a fair contract, the WGAW Board felt that this gesture should be made on behalf our brothers and sisters in AFM and the American Federation of Television and Radio Artists (AFTRA).
As I wrote the other day in looking at the deal reached with the Directors Guild of America, the question of future jurisdiction is crucial. I understand why the Guild has agreed to drop the demand that the contract cover reality and animation–there is pressure to make a deal. But I also understand, and agree wholeheartedly with the Guild leadership, why the Guild stuck with this proposal for so long. The more work that stays non-union, the worse the long-term prospects are for Guild members in five, ten, twenty years. It is self-evident to me, and I assume most people who have been around labor for long enough, that if you don’t keep your jurisdiction at a high level, then, you will obviously get hurt at the bargaining table.
As the statement makes clear, organizing those areas will continue–it just won’t be won via the contract negotiation this time around. I’m not privvy to the internal discussions of the Guild but I get why that would be something to let go of. The DGA deal, inferior deal that it is in many respects, has created some chattering inside the WGA about reaching a deal.

