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WGA’s New Contract Provides Major Boost To Keep Health Plan Solvent; Other Key Elements Of Pact Revealed


The WGA’s ailing health plan will get a $65.85 million infusion of employer contributions over the next three years to keep it solvent once the guild’s new contract is ratified by the members.

Combined with $21 million in cost savings, the additional revenue and savings will provide $86.85 million to keep the health plan solvent, which was one of the WGA’s key goals going into the recent contract negotiations.

A WGA summary offers other new details of the contract, which was approved unanimously Thursday night by the respective board and council of the WGA West and East, including a 2% increase in most of the guild’s minimums in the first year of the contract and 2.5% increases in the second and third years. “Some minimums and rates increase less, typically 1% or 1.5% per year, or increasing only once or twice during the contract,” the WGA said in its new summary. “A few items do not increase during the term of the 2017 contract. Most of these exceptions are the result of patterns established in the industry.”

See more at Deadline.


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