The AMPTP announced today it has retained Mark Fabiani and Chris Lehane of Fabiani & Lehane and Steve Schmidt of Mercury Public Affairs "to assist in communicating the industry's proposed New Economic Partnership." All I can say is, Big Media is nuts if it really thinks at this late date it can win the hearts and minds of the public at large. Or start distributing YouTube videos about the writers as "greedy millionaires".
But I'm convinced something else is at work here, given the high-level political ties of both flackeries: the Hollywood CEOs want to ensure that neither Congress nor the FCC nor even the Justice Department come after them on the thorny issues of media consolidation, unfair business practices, and funny accounting. More than the writers or the directors or the actors guilds, that scares them shitless. (See my previous, Mr. WGA Goes To Washington With SAG and Writers And Producers Tried To Hire Joe Lockhart).
Fabiani and Lehane have a long history in Democratic politics, serving as senior aides and advisors to President Clinton, Vice President Gore and other Democrats across the country. (But didn't they also rep California guv Grey Davis and lose?) They have also been very active in flacking sports teams and leagues (NHL) and movies (Michael Moore's Fahrenheit 9/11 and Sicko).
Schmidt is a close advisor to California Governor Arnold Schwarzenegger who also
served as his campaign manager in 2006. He also provides high-level counsel to major
corporations, including Hollywood studios and professional sports teams. Schmidt also served in high-ranking posts with the Bush White House, serving as the lead strategist on the confirmations of Chief Justice John Roberts and Justice Samuel Alito to the U.S. Supreme Court. Schmidt has served on presidential campaigns and dozens of other campaigns at the national, state and local levels.
Oddjob’s hat.
The AMPTP is starting to get very nervous. The WGA should try to shame this hackery into abandoning the job. If they really are tight with the Democrats, they should be ashamed of themselves for getting into bed with such a union-busting organization.
We should shine the spotlight on the AMPTP’s new friend and see if they really want that heat.
Comment by anotherWGAmember — December 5, 2007 @ 1:12 pm
ENOUGH corruption with these cozy old boys clubs
the public needs to rise up against having our government hi-jacked by corporations and lobbyists
the public is starting to get the big picture of what’s being done to them
the government is duty bound to investigate these kinds of mass scale accounting frauds and business practices
call or e-mail your senator and congressperson and demand investigation into media consolidation, funny accounting, and unfair business practices.
Comment by howard beale — December 5, 2007 @ 1:22 pm
Will some of you writers start printing the IDIOTIC NOTES these execuitives give us. Then everyone will know they have nothing to do with the creation of product aside from paying for it. They should take 1% and us 90. Enough is enough.
Comment by Jockey — December 5, 2007 @ 1:47 pm
Nikki, there’s one more angle that I can think of…. What if these guys know that this strike is going to be prolonged for another few months and they want to control the backlash?
Comment by Shayne R — December 5, 2007 @ 2:12 pm
So, big surprise, they’re hiring the big guns not because they’re scared of public opinion turning against them (Seriously, why would they care? Is this New Economic Partnership ™ suddenly a ballot initiative?), but because they’re scared of this sudden attention to their books that the strike is bringing. Maybe I’m way off base but this seems to me the one ace the writers have up their sleeve. The strike on its own isn’t going to cripple the moguls (Whether right or wrong, they seem to be pretty cocksure that they can weather that storm), but there’s one thing that would. If I was on the WGA negotiating team, I’d casually mention Peter Jackson, and invite them to imagine the kind of legal trouble he brought about just by suing to open New Line’s books…and then have them imagine that on a class action scale. Because that’s what would happen if congress decided to poke its nose in this. The legal floodgates would be opened. I guarantee you that media consolidation isn’t the only thing on Verrone’s mind when he goes up to Capitol Hill.
This is the biggest bargaining chip in hollywood history. The writers know they’ve been Enron’d for decades. The AMPTP isn’t in the position of advantage that they think they are. Believe it or not, they actually have more to lose than the writers do. Maybe the WGA should remind them of that.
Comment by talk to your children about funny accounting — December 5, 2007 @ 2:15 pm
Fabiani and Lehane? Geesh. Clintonite smear-meisters who have left a long trail of, uhm, failure behind them (Kerry, Wesley Clark, etc.). Want a fun primer? Google “Chris Lehane is an asshole.’
Heh.
Comment by Harley — December 5, 2007 @ 2:43 pm
Congress held a million hearings investigating Alberto Gonzales firing eight lawyers. Since this involves everyone in Hollywood losing their job, maybe Congress could hold one hearing getting Hollywood CEO’s to open up their books!
Comment by Hollywood makes Halliburton look honest — December 5, 2007 @ 2:57 pm
Again, what does anyone at the negotiation table care what anyone outside the room thinks? Joe Public has nothing to do with the writers strike and doesn’t much care about the strike except for being pissed that his favorite shows are off the air for a while so why hire a publicist to sway the public as if Joe Public being with your or against you means a damn thing?
Comment by Ruby Redlips — December 5, 2007 @ 2:58 pm
Divide and conquer. Divide and conquer.
Decide which studio is the one we can hold our noses and make a deal with and offer them something utter fantastic a great rate, the best talent and settle with us and we’ll negotiate endlessly with the other studios (or networks)giving our new friend a massive leg up on the competition.
Then watch the others scramble to settle before their investors start asking why they didn’t take that deal.
Comment by anotherWGAmember — December 5, 2007 @ 3:17 pm
Another indication the only thing the AMPTP is interested in right now is public opinion. It seems obvious the only reason they came back to the bargaining table was to craft a new storyline for the strike - make a ‘generous’ offer which the writers ‘unfairly’ and ’roundly’ refused. The WGA played into their hands with initial hot-headed reactions. And while initial press coverage hasn’t been exactly what AMPTP hoped for, they know their hand isn’t fully played out yet. When talks fall apart - a distinct possibility - they will push their narrative - ‘We tried, they’re the difficult ones.’ If they can sell it - a big if, but one worth spending some dough on - they can kill all their birds with one stone. They can return to talks with an upper hand, not have to worry about congress (politicians live by opinion polls) and - their biggest concern - buy time with shareholders getting anxious over strike ramifications….
Clever online videos or not - it begs the question of why the WGA doesn’t hire a PR firm…
Comment by hale — December 5, 2007 @ 3:35 pm
The WGA should offer interim deals to the strong friends of the Guild - the late nite comedy shows. Nobody can sway public opinion faster. Just ask Larry Craig. Latenite writers on strike website bragged about getting their 100,000th hit in a month. If the late nite shows were back, there would be more than 10 million hits a night!
Comment by The WGA can divide and conquer too — December 5, 2007 @ 3:49 pm
Big media trying to do a PR job? This is pretending that the public and the unions are stupid. Really, we’re done with big-time spin as a viable PR tactic. Audiences are just too smart, too informed, and not into anything but knowing the truth. The moment the media congloms try to spin and twist, that will work against them because it isn’t the truth. It used to be that PR folks could spin their way into a win only because the access to the truth was not available. But now … PLEASE! …
Also, these media congloms show their immaturity in the biz by treating their suppliers and future suppliers with disrepect and hostility. Other industries have long learned that they don’t live in a vacuum, that companies are run by and interact with humans not robots, and that you have to be responsible about the sustainability of your business otherwise you won’t have a business in the future. By treating your suppliers (actors, writers, directors, staff, other vendors) with respect, integrity, investment, and competitive compensation, then you nurture the health and morale of that supplier chain. Nurturing brings loyalty, good morale, and people who are willing to tow the line for the company. They are willing to create with joy, and bring the company rich rewards as a result. The moment someone from the congloms can push forward and TRUTHFULLY treat the writers with nurturing respect instead of confrontation, then there will be a resolution. Who of the 7 egos in the room on the AMPTP side has guts enough to be this guy???
Comment by Tweety — December 5, 2007 @ 4:49 pm
The AMPTP has hired the PR big guns to thwart backlash for what is going to be a prolonged strike, or am scared to say, a break in talks… UGH.
I don’t think this has anything to do with the studios being scared about Washington DC coming down on them. They have big shot lawyers to protect them of that…
Comment by Shayne R is right — December 5, 2007 @ 5:24 pm
why do they do this now when all this “we’re getting closer to let’s make a deal? The public, like our species in general adapts and changes to the climate. We get what we want in the end or minimize what we don’t want. We get away from commercials by buying boxed sets; we go online to download to fit our lifestyles and our dislike of being ‘hawked” at for products. You put adverts on the internet we’ll get blockers; you put in on TV we get tivo.
The advertisers and their money is the way that needs to change; we usually know the brands we like; have a history or listen to “word of mouth” if we are savvy shoppers. Only fools through away money on impulse buying in bad economies.
These moguls need to find revenue other then commercials; and not PO the talent for that is a zero sum game in the end.
Comment by Tactical inquiry form public — December 5, 2007 @ 7:03 pm
Unless congress can see a way to pin this on George Bush, there won’t be any hearings in Washington.
What the studios are really concerned about right now is Wall Street. If the big investment banks lower media conglomerate earnings estimates and/or downgrade their stocks, that will put the fear of God in the CEOs and their boards of directors.
Comment by anotherWGAwriter — December 5, 2007 @ 7:53 pm
Shane R is right said…
The AMPTP has hired the PR big guns to thwart backlash for what is going to be a prolonged strike, or am scared to say, a break in talks… UGH.
I don’t think this has anything to do with the studios being scared about Washington DC coming down on them. They have big shot lawyers to protect them of that…
If there are Senate and/or Congressional hearings, a subpoena will be issued to open the financial books (including budgets, tax statements, et al), internal communications, etc. That’s Kryptonite to studios & their lawyers. Worse, that type of transparency makes shareholders disintegrate.
Comment by e — December 6, 2007 @ 7:30 am
Fabiani and Lehane make JOe Lockhart seem like a good idea (and Lockhart is a dumb shmuck). Fabiani and Lehane quit the Kerry campaign — sound like a smart idea? Maybe, except they quit to go work on Wesley Clark in ‘04. Can you say DISASTER?
This is great news for the writers!
Comment by Anonymous — December 6, 2007 @ 8:51 am
“They have also been very active in flacking sports teams and leagues (NHL)”
As any sports fan can tell you, that may be the single most hollow endorsement I have ever heard of a PR firm. The NHL is to the point that most people don’t even consider it a major professional sports league. Their reputation is so bad that their television contract is with a network most people don’t even know exists (Versus).
I honestly can say that a move like this doesn’t surprise me at all coming from a big business in a strike time. Sad really.
Comment by Pat — December 6, 2007 @ 10:36 am
Fabiani and Lehane? Consider me unimpressed.
They are Democratic political consultants.
We are now entering the hot molten core of a BITTERLY CONTESTED, MULTI-CANDIDATE DEMOCRATIC PRESIDENTIAL PRIMARY.
And Fabiani and Lehane are available to flack the AMPTP’s New Economic Partnership?
Comment by grimes — December 6, 2007 @ 1:20 pm
Friday, December 7, 2007
Call to Action: Show There’s No Money in Union Busting
This is the first of what we hope will be a number of “calls to action.”
As of last week, the AMPTP retained the powerhouse “crisis management” firm of Fabiani and Lehane (known in political circles as “the Masters of Disaster.” )They also have “a reputation for hardball tactics in damage control and inflicting damage on opponents.”
This firm has built a reputation and a substantial income largely from Democratic, progressive political causes. A short list of their past employers includes Al Gore, Bill and Hillary Clinton, Michael Moore/Miramax (for Fahrenheit 9/11 and Sicko), and my personal favorite, the Screen Actors Guild. Founding partner Chris Lehane is currently a consultant for the Californians for Fair Election Reform, a major Democratic group, among other things.
My DC lobbyist friends tell me that for emergency “crisis management,” firms like Fabiani & Lehane charge as much as $100,000 dollars a month. But the AMPTP is also paying Steve Schmidt, a veteran Republican-leaning PR guru. He could easily cost another $100,000 a month.
My concern is this: no one hires crisis management firms at such huge expense if they’re planning on making a fair deal. A fair deal doesn’t require hundreds of thousands of dollars of spin to sell. A fair deal is its own good PR.
The WGA hasn’t hired a huge PR firm. We don’t want to “spin” anyone. United Hollywood is an all-volunteer blog, and our PR strategy is simple: we tell the truth.
The truth is, we’re fighting for the future for all working people in Hollywood.
The truth is, new media coverage and internet residuals are vital to the income of writers, directors and actors.
The truth is, the below-the-line unions rely on residuals to fund over half of their pension and health plans, and their rate is tied directly to ours. If we lose, their P&H will likely be decimated.
The truth is, if we don’t get coverage for new media productions, the below the line unions won’t get it either. If we lose, they lose.
This strike is a disaster for the working men and women of California, and many other regions that rely on the entertainment industry for jobs. We didn’t want this strike. And the AMPTP could stop it tomorrow because our proposals are affordable and reasonable.
But instead of making a fair deal with us, they hire Fabiani & Lehane. The proposal gets a snazzy new name, the CEO’s take out new ads and tell everyone how great their proposal is. Except that then, they don’t give it to us. Remember the second half of the proposal they said we’d have on Tuesday? We still haven’t gotten it. Hard to negotiate without the offer. And it’s becoming clear they don’t intend to give it to us — one theory being that they’re stalling, looking for an opportunity to walk out of the talks and blame the WGA leadership for it.
It’s time for the CEO’s to stop playing PR games and get a deal done.
When Fabiani & Lehane worked for SAG in 2002, Lehane said at the time:
“… we believe strongly in the need to preserve the strength of the union and this agreement does that. We both come from liberal, progressive backgrounds, and this union represents working people.”
For the record, so does the WGA, which is why SAG is our ally. And yet, right now Chris Lehane is helping the conglomerates try to divide this union internally and orchestrate ways to get us to question our leadership.
In other words, Chris Lehane is union busting.
And since Lehane and his firm have made their fortune – and continue to make it – off of Democratic Party connections and progressive causes, I think the hypocrisy here is pretty appalling.
Below is the contact info for the three frontrunners for the Democratic presidential nomination. Hillary Clinton, who says she supports the writers in this strike, has worked extensively with Fabiani & Lehane. Barack Obama and John Edwards also support the strike, and they work with many of the organizations that Fabiani & Lehane rely on for their business.
Call these 3 candidates, and politely ask them to promise to hold Fabiani & Lehane accountable for what they are doing.
Tell Clinton, Edwards and Obama this:
“As long as Fabiani & Lehane are in the business of union-busting, we want your personal assurance that they will not be in the business of working with Democratic organizations, businesses, politicians or candidates.
A strike is not a business opportunity to make a profit by harming the interests of working men and women.”
Hillary Clinton (213) 908-0190 socalhrc@hillaryclinton.com
John Edwards (919) 636-3131 trusso@johnedwards.com
Barack Obama (866) 675-2008
The AMPTP likes to say that this is all about business. Well, the business of hypocrisy shouldn’t pay.
CEO’s: end the strike. Make a fair deal.
Comment by jake — December 7, 2007 @ 10:54 am
Let the AMPTP’s hot-shot PR team know how you feel:
Fabiani & Lehane LLC
Mark Fabiani’s direct line (858) 551-2818
Mercury Public Affairs
515 Flower Street
Los Angeles, CA. 90017
P 949 387-3779
F 949 387-3309
Comment by scott — December 7, 2007 @ 2:28 pm
The AMPTP has offered nothing but insults and gamesmanship, the WGA cannot accept no money for new media and they know it. The networks and studios are fools to think that they are bullet proof, they are going to suffer terrible ratings, advertisers demanding refunds, and falling stock values. NBC claims it is bulletproof but I hear that GE is already planning to dump them. It is insane for them to refuse to make a fair deal with the writers. Personally I am a TV viewer, and I support the writers!
Comment by Marian Martell — December 8, 2007 @ 10:20 am