I thought the writers were simply asking for a percentage cut of the gross income from online operations and advertising.
That is what they are asking for.
Because the management is getting less than “bupkis.” Revenues, downloadings, hits, etc. do not yet translate into profits or cover costs.
and they never will, just like movies almost never show a profit.
The current contract gives them residuals on the dominant revenue stream. That revenue stream is moving to another venue (relatively slowly at this point) opening up these negotiations on how that revenue will be distributed.
Residuals are a large part of writers income.
Let’s say your job were based largely on sales of your work and your contract was negotiated such that you received a certain amount on in person sales, a different percentage for phone sales, and nothing for internet mediated sales. You agreed to this when there were virtually no internet mediated sales and there was no obvious revenue stream there. Since you began work internet mediated sales increased dramatically and it looks like these sales will expand explosively while in person and phone sales diminish in importance. Your employer is actively pursuing internet mediated sales and sees large potential profits. Now your contract is up and it is time for you to negotiate a new contract. What do you do? Do you accept a new on the same terms or do you negotiate for a peice of the internet mediated sales?
