The Association of Canadian Advertisers, along with the Institute of Communication Agencies, negotiates the National Television and Radio Commercial Agreement with the Alliance of Canadian Cinema, Television and Radio Artists (ACTRA), which covers talent payment and working condition details for performers in broadcast commercials in English Canada. The current three-year contract runs until June 30, 2020, and covers such areas as Compensation for Use and Reuse, Talent Cycles, Work Permits, Casting and Auditions and Definitions and other working conditions.
The new agreement addresses the majority of challenges facing Canadian marketers, building on the inroads achieved during previous negotiations. Updates include:
- A digital low-budget pilot project, designed to help marketers and their agencies compete with non-union rates while accessing professional talent. Known as the ACTRAonline Opportunity Pilot Project (AOPP), it secures a reduced rate for performance and unlimited online versions for the advertiser for ads with budgets of $75,000 or less.
- The elimination of move-over fees: going forward, talent will be paid once for the session and then for use in the chosen media. This ends a costly practice of paying extra to air a TV commercial in digital and additionally simplifies the agreement.
- Unlimited versions for digital commercials. In today’s increasingly fragmented environment this gain allows advertisers to produce versions in the formats most conducive to the media. In exchange, marketers accepted an anticipated rate increase for 1 year of digital use. To help marketers who don’t need unlimited versions, there is a 45-day rate and six-month digital rate, as well as the previously mentioned pilot project.
- More versions for TV – up to 5 from 3. This will benefit marketers who are taking advantage of producing multiple commercial lengths.
- A new, lower rate for group background performers allowing for the capability to shoot large cast productions.
- Stock footage, stock stills, or library footage are removed from the agreement. This simplifies the agreement and can help reduce the cost of productions.
- In line with recent private sector wage settlement agreements, annual increases were kept to 2% over the course of the deal. The digital media increase use rates and AOPP are frozen for the remainder of the agreement.