Beyond Remuneration: The Secret Costs Killing Producers

Industry had started discussing once again critical issues like 8 Weeks OTT Window, Percentage System In Theaters, VPF Charges, etc.

The consultations have begun and the aim is to arrive at a consensus on all the issues to tide over the crisis. On 12th of this month, there is a meeting of all Chambers of Four languages in Bengaluru regarding the 8 Weeks OTT Window. This is to ensure all the Southern industries are on the same page.

Besides these issues, the industry should also discuss issues like Staff Payments and Shooting Vehicles.

Remunerations of artists have increased by leaps and bounds after COVID. Producers are silently bearing them saying it is all supply and demand. But then, the issue of Staff Payments and Vehicles has become a huge headache.

Gulte.com Representative sat with a Producer and happened to go through the Budget Estimate Document of his next film. It is a film being planned with 8 Crore Budget for an estimated working days of 40 days.

A part of that document is at the bottom of this article.

If you see the expenses towards the Vehicles to ferry the artists to the shooting locations, it is coming around 45 Lakhs.

These expenses will increase if the shooting days will go up.

The Staff Payments will come around another 15 Lakhs. These are the staff accompanying the artists.

So for a film of 8 Crore Budget, these expenses are 60 Lakhs which means 7.5% of Total Budget and that is completely unnecessary.

For a Star film, it will go up for 3-5 Crore or even more.

There is no artist who is charging less than 15,000 Per Day for his staff in the industry right now and most of the supporting actors are charging around 25,000 per day for their staff. And their food charges are extra.

For example, there is a senior supporting actor who charges Five Lakhs Per Day. He does not come to the shooting location on his car. He needs an innova for himself and another for his staff. And then, there should be a single door caravan at the shooting location for him.

The cars will cost around 13,000 Per Day (Rent, Driver Battas, Fuel) and another 5,000 Rupees for Caravan. His Staff do not eat Production Food. They order food from Outside saying its sir’s Menu. That will be another 5,000 Per Day.

That means 23,000 per day. Their Staff Payments are another 25,000 Per Day. That means 48,000 Rupees Per Day are the Expenses after paying him Five Lakh rupees Per Day.

When he is being paid five Lakhs per day, why should he not come in his own car and pay for his own staff? It is reasonable that he asks for Petrol/Diesel. But what is this non-sense of fleecing the Producer?

In case of Big Heroes and Heroines, the Staff Payments run from 80,000 to 1,20,000 Rupees.

The industry should discuss this as well and ensure that artists come in their own vehicles and pay their own staff.