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this post was submitted on 12 Aug 2023
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I don't think I'm ignorant of the gig-work nature of these things - I am, by choice, a contractor, but in a different field (engineering services). But my contracts specify that the deliverables are "works for hire" and that the client owns all IP, and I am not entitled to residuals or royalties or any other income from the work I've done under such contracts.
I just genuinely don't know if writers thought that they should be getting more. And if so, why?Because there are plenty of analogous (i.e. IP-generating) jobs that don't have such arrangements.
What do you mean by "more", and relative to what? The main complaint from writers are that in recent years the trend has been them all getting paid significantly less. Not just a few percentage points, more like 1-10% of what they used to get.
So, they want to get paid the same as they used to, which is more than currently but not "more" when looked at from a longer time frame.
“Works-for-hire” is exactly the key point here.
This is about who holds the IP. Sometimes, depending on the employer and contract, an engineer will get to share in a patent created in the course of the job. Or might have incentives such as Employee Stock Ownership Plans (ESOPs) or options.
So it’s not true that the IT folks are exclusively paid salary. Many share in the risk as well as the returns of their firms.
Let’s unpack that.
Yes, there are ‘writers for hire’ in licenced tie-in fiction and comics. These authors get a flat advance BUT they still get royalties based on the number of books or comics sold. That is - base payment and then returns based on success if the product.
Film and television writers are compensated by residuals in addition to salary. The studio owns the IP but the creators have a stake. It’s a risk and return sharing relationship with the studio. That’s the standard arrangement.
How is this different from an ESOP or options as an incentive remuneration?
How would an IT employee feel if a firm licenced the IP and then excluded its value from the calculation of ESOPs and options due, or the dividends on the nonvoting shares issued to employees?
It's different with writers, because if their contracts worked like ours did they would have no hope of retiring. So when a fat fish like Suits comes along everyone who has a hand in making it is hoping to swing that either into money or more lucrative work.
That's the way I've come to see it. Actual writers may disagree