The ongoing negotiations between ACTRA and the ICA have been ended by a mediator, who says the parties are too far apart on fundamental issues to successfully mediate their dispute.
On Monday, mediator Eli Gedalof ended mediation after two months, concluding that “that the conditions are not ripe for compromise at this time.”
The dispute, which has been ongoing since the union filed a complaint against the ICA in May 2022, has faced numerous setbacks over the past 17 months, including previous failed mediation attempts. It has also been the genesis for protests at industry events such as the Marketing Awards in June.
In response to the end of this phase of mediation, the ICA issued an open letter to the industry in which it claims “the problem we face today is of ACTRA’s making.”
:ACTRA has created the dominance of the non-union performer sector with its manipulation of Article 3005, which opened a Canadian ‘backdoor’ into the National Commercial Agreement (NCA),” writes Scott Knox, president and CEO of the ICA, in the letter.
“The Association of Canadian Advertisers and ICA have warned ACTRA about this fundamental problem and sought to adress the issue in every round of negotiations and almost every quarterly town hall meeting since 2008.”
The ICA also released the proposal it presented, and which was rejected by ACTRA. In it, the ICA proposed an immediate 8% pay rise, an increase in digital fees and a short-term pilot project to test bringing lower budget TV back to union members – this would create more work opportunities for ACTRA members and agencies.
The ICA also proposed an independent committee to investigate systemic issues on Diversity, Equity, and Inclusion, a jointly funded campaign to protect Performers and Creatives against Artificial Intelligence and a virtual advertising agency created to showcase the value of using ACTRA and to encourage performers to join the union.
In its own statement, ACTRA pointed to the ICA’s Knox as “misleading agencies, brands and their consumers by blaming the union for the unlawful lockout that began 514 days ago.” It also said the proposal from the ICA would actually slash performer rates at a much higher rate.
“While they are dangling an 8% percent increase, the reality is no matter how you look at their terms and details, they are seeking pathways where every commercial production scenario would access discounts that result in a 50 to 60% reduction in performer pay compared to current National Commercial Agreement (NCA) rates,” said Marie Kelly, ACTRA’s national executive director and lead negotiator.
“At a time when workers are struggling with record inflation and corporations are earning huge profits, it’s deplorable that these big advertising agencies are insisting on drastic pay cuts for some of the most precarious workers in Canada,” added Kelly.
Knox said in the association’s letter that “if the ICA was to sign the NCA deal that ACTRA wants, the speed of exit by advertisers from union to non-union would accelerate dramatically. ACTRA members would lose more work than they had in 2021. It would usher in the end of union commercial performance in Canada.”
This story originally appeared in Strategy
Photo courtesy of ACTRA Toronto