AFM Musicians Ratify Commercial Announcement, Videogame Agreements

American Federation of Musicians (AFM) member-musicians have ratified the revised AFM’s Commercial Announcement (jingle) agreement and a new Videogame agreement. The newly ratified jingle agreement went into effect June 5, 2014 and will extend through June 4, 2017. The videogame agreement became effective June 10, 2014, and will expire Dec. 31, 2017.

“I am pleased that we were able to achieve significant improvements for musicians who earn a living recording music for commercial announcements, and I am also encouraged by the interest we are receiving from the videogame industry concerning the use of our new game agreement,” said AFM International President Ray Hair.

New features of the Commercial Announcements agreement include:

(1) 6 percent increase to base wages, initial use and re-use cycles, dubs, and conversions
(2) Increase in Health and Welfare Fund contributions to $26.00 and 6 percent of scale
(3) Increase in Pension Fund contribution to 16.5 percent
(4) Increase in sideline musician base wages to $215.00
(5) Internet/New Media per-spot use applicable to made-for or moved-over, will increase to $100 for an 8-week cycle; $200 for a 26-week cycle; and $300 for a 52-week cycle
(6) New 52-week initial use cycle, per spot, for all media, all platforms—$1,245 payable up front
(7) New 52-week re-use cycle, per spot, all media, all platforms—$933.75, payable up front

The Videogame Agreement, a product of discussions with representatives of Microsoft Corporation that spanned 18 months, provides for a 33 percent increase in hourly session pay, compared to rates contained in an existing agreement promulgated by the AFM in 2006. An important feature of the new agreement is a provision permitting game companies to use tracks recorded for a particular game across all platforms applicable to a game franchise or series.