Equity has issued a statement in response to reports that a number of videogames vendors are attempting to delay buyout payments to performers. The statement says that such a move "would shift the financial risk away from studios and onto individual workers, which is wholly unacceptable" and that buyouts should be paid at the start of an engagement.
What is a buyout?
A usage buyout is a compensation agreement between the performer and the game development studio or publisher. This agreement stipulates that the performer will receive a one-time payment for their work in the game, and in exchange, they relinquish any ongoing or residual rights to additional compensation, such as royalties or usage fees, for the use of their voice or likeness in the game.
Shannon Sailing, Equity's Audio and Videogames Official, says:
"Recent attempts by some videogames vendors to delay buyout payments to performers are unacceptable. Pay and conditions in videogames are already lagging behind the rest of the industry and Equity is working to raise standards, not roll them back.
"These proposals push buyouts to the end of a contract, or months down the line, instead of paying performers upfront as is standard practice. This would shift the financial risk away from studios and onto individual workers, which is wholly unacceptable.
"Performers are workers. They have rent and bills to pay, families to support. Those costs do not wait for a game to be finished, marketed or released. Buyouts are not a bonus. Buyouts are compensation that goes a small way to offset low pay rates in an industry where games that performers voice can generate billions in profit.
"Equity’s position is clear: buyouts should be paid at the start of an engagement. We urge performers and agents not to accept contracts that fall below Equity’s recommended standards. Equity will continue to push for our minimum recommended rates, defend best practice, and prevent delayed buyouts from becoming industry precedent."
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