Recently, there was a rumor on the internet that Wang Baoqiang, the blockbuster film "The Chinatown Detective 3", was earning as much as 80 million yuan! Many people can't help but wonder, isn't there a "salary limit order"? Why are stars still paid so high for their movies?

"We won't discuss exactly how much Wang Baoqiang's film remuneration is, but we have to say that when it comes to the film and television industry and popular stars, the first thing people think of is" skyrocketing film remuneration. "". Some people believe that abnormal high film remuneration has become a major public hazard in the film and television industry, with a few star actors enjoying exclusive "skyrocketing film remuneration", while film and television productions have paid the price of a decline in overall quality. Moreover, the excessive income of stars has distorted the values and wealth values of the entire society, and it is necessary for the industry authorities to correct their deviations. Some people also believe that "skyrocketing movie remuneration" is a self adjustment of supply and demand, and a natural result of market and audience selection. Movie remuneration is the legitimate labor income of celebrities, and government departments should not impose interference. Others believe that government regulation is useless. As long as capital manipulates the market and stars monopolize the flow, sky-high price film rewards will never disappear, but will only exist in a more hidden form.

In the same sentence, in terms of China's national conditions, radio and television works, including movies, TV dramas, and variety shows, have never been purely entertainment products. They bear the responsibility of promoting positive values and establishing a correct public opinion orientation. With the rising value of celebrities and the accumulation of malpractices in the film and television industry, the emergence of "salary restriction orders" is imperative.

"Salary Limit Order" is an abbreviation in the industry, mainly referring to the "Notice on Further Strengthening the Management of Radio, Television, and Online Audiovisual and Artistic Programs" issued by the State Administration of Radio and Television on October 31, 2018. The author has collected a series of normative documents and industry self-discipline rules to briefly introduce the germination, generation, and upgrading of the "Salary Limit Order".

1、 On June 26, 2017, the State Administration of Press, Publication, Radio, Film, and Television (formerly the State Administration), the National Development and Reform Commission, the Ministry of Finance, the Ministry of Commerce, and the Ministry of Human Resources and Social Security jointly issued the "Notice on Several Policies to Support the Prosperity and Development of TV Drama", It is pointed out in the article that: "Establish and improve a scientific and reasonable investment and distribution mechanism for TV dramas. Fully respect and encourage originality, and reflect the value of creativity and knowledge in investment and distribution. Industry organizations have issued guidance on the cost allocation ratio of TV dramas, guiding production enterprises to reasonably arrange the cost structure of TV dramas, and optimizing the film remuneration distribution mechanism. Standardize purchasing and broadcasting activities, maintain the healthy development of the industry, and prohibit broadcasters from using stars as the sole bargaining target." accurate "Variety shows and online dramas shall be executed in accordance with the provisions of TV dramas."

The author believes that this notice should be the embryo of a "salary limit order", which does not explicitly limit the remuneration of actors, but only requires industry organizations to issue guidance on the cost allocation ratio of TV dramas, guide production enterprises to reasonably arrange the cost structure of TV dramas, and optimize the remuneration allocation mechanism.

2、 Not long ago, on September 22, 2017, the China Federation of Radio, Film, and Television Social Organizations, the China Network Audiovisual Program Service Association, the China Television Drama Production Industry Association, and the China Network Audiovisual Program Service Association jointly issued the "Opinions on the Cost Allocation Ratio of Television Drama and Network Drama Production", The article requires: "Each member unit and film and television production institution should limit the proportion of actors' remuneration to a reasonable range of production costs, with the total remuneration of all actors not exceeding 40% of the total production cost, of which, the main actors should not exceed 70% of the total remuneration, and other actors should not be less than 30% of the total remuneration."

This opinion is a management opinion of the industry association, not a normative document of the competent department, and should be the prototype of a "salary restriction order". The opinion clearly states that the total remuneration of actors in TV dramas and online dramas should not exceed 40% of the total production cost, with major actors not exceeding 70% of the total remuneration. However, this opinion does not contain provisions on how to punish those who violate it. It simply requires that if the total remuneration of all actors exceeds 40% of the total production cost, the production organization should file and explain the situation with the affiliated association and the China Radio and Television Union Actors Committee.

3、 On August 10, 2018, three major video websites and six major film and television production companies, namely iQiyi, Youku, Tencent Video, Noon Sunshine, Huace Film and Television, Ningmeng Film, Ciwen Media, Yaoke Media, and Xinli Media, jointly released the Joint Statement on Suppressing Unreasonable Film Rewards and Combating Industry Unhealthy Trends. The statement stated: "From now on, the maximum remuneration limit system of all actors and guests in each film, TV series, and online audio-visual program will be strictly implemented, with the total remuneration of all actors and guests from relevant departments not exceeding 40% of the total production cost, and the remuneration of major actors not exceeding 70% of the total remuneration;... The remuneration (including tax) for a single episode of a single actor shall not exceed 1 million yuan, and the total remuneration (including tax) shall not exceed 50 million yuan."

Although this statement only represents the requirements of the three major video websites and the six major film and television production companies, the three major video websites iQiyi, Youku, and Tencent Video basically monopolize most of the online broadcast channels of movies, TV dramas, and online audiovisual programs, virtually playing a leading role in industry self-discipline. Moreover, this statement includes not only the previous industry association explicitly proposed the total remuneration limit for actors in TV dramas and online dramas, but also the initiative to propose the same restrictions on the remuneration of actors and guests in movies and online audio-visual programs. 2. Not only has the proportion of actors' remuneration been limited, but it has also been explicitly proposed that the single episode remuneration (including tax) of a single actor should not exceed 1 million yuan, and its total remuneration (including tax) should not exceed 50 million yuan.

4、 On October 31, 2018, the State Administration of Radio and Television issued the "Notice on Further Strengthening the Management of Radio, Television, and Online Audiovisual and Artistic Programs" (GDF [2018] No. 60), The text stipulates that: "For variety shows broadcasted on various TV star comprehensive channels from 19:30 to 22:30, it is necessary to report to the State Administration of Radio and Television the names of guests, their remuneration, and the proportion of costs in advance. The total remuneration of all guests for each program shall not exceed 40% of the total cost of the program, and the remuneration of major guests shall not exceed 70% of the total remuneration of the guests. The online variety shows of key online audio-visual program service institutions shall also comply with the above regulations, and the above information shall be reported to the State Administration of Radio and Television before going online." "Strictly implement the industry self-discipline regulations on the cost allocation ratio of teleplays and online dramas (including online movies) that have been issued, and the remuneration of all actors in each teleplay and online drama (including online movies) shall not exceed 40% of the total production cost, with the main actors not exceeding 70% of the total remuneration."

This notice is a normative document of the competent department and is commonly referred to as a "salary limit order" in the industry. The notice clearly limits the remuneration of all actors (guests) to no more than 40% of the total production cost, with the main actors (guests) not exceeding 70% of the total remuneration. 2. The scope of application of the "salary limit order" has been expanded from the previous TV dramas and online dramas to online movies and variety shows. 3. It is stipulated that if the total remuneration of all actors exceeds 40% of the total production cost, but there is no legitimate reason or concealment, once verified, the affiliated association shall report to the State Administration of Radio and Television, and, depending on the situation, take disciplinary measures such as suspending or permanently canceling the broadcasting and production qualifications of the drama according to law. 4. It is also stipulated that TV series and online dramas (including online movies) whose actor's remuneration exceeds the allocation ratio or the maximum remuneration limit, regardless of whether they have been filed or not, shall not participate in the selection awards of party committees, government departments, and mass organizations, and shall not enjoy government subsidies.

5、 On April 19, 2019, the Television Production Committee of the China Federation of Radio, Film, and Television Social Organizations issued the "Notice on Strictly Implementing the Regulations on the Production Cost Allocation Ratio of TV Series and Online Dramas", The article once again reiterates: "Reasonably arrange the investment cost structure of TV dramas and online dramas, optimize the remuneration distribution mechanism, and limit the proportion of actors' remuneration to a reasonable production cost range. The total remuneration of all actors should not exceed 40% of the total production cost, among which, the main actors should not exceed 70% of the total remuneration, and other actors should not be less than 30% of the total remuneration."

The background of the announcement circulated in the industry is that at that time, a star actor asked for more than the "salary limit order", and the strike led to the suspension of the production team, causing concern and discussion in the media and public opinion. This notice once again proposes that if there is any situation that does not comply with the "salary limit order", without justifiable reasons or without concealment, once verified, the affiliated association shall report it to the State Administration of Radio and Television, and, depending on the situation, take disciplinary measures such as suspending or permanently canceling the broadcasting and production qualifications of the drama according to law. In addition, any unit that violates the provisions of the Notice of the State Administration of Radio and Television (G.D.F. [2018] No. 60) shall be punished and dealt with by the competent department of radio and television in accordance with the Regulations on the Administration of Radio and Television, the Measures for the Handling of Violations by Radio and Television Broadcasting Institutions (for Trial Implementation), and other regulations and documents; The competent department of the unit that violates the regulations or the unit that has the power to deal with it shall, in accordance with the law, punish and deal with the responsible person in charge or the person directly responsible.

6、 On February 6, 2020, the State Administration of Radio and Television (SARFT) issued the "Notice on Further Strengthening the Production Management of TV Drama and Online Drama Creation" (GDF [2020] No. 10), The text stipulates that: "In order to improve the long-term mechanism and strengthen daily supervision, starting from the date of issuance of this notice, at the completion of the review stage of TV series and online dramas, the production organization must submit a report on the allocation ratio of the final production cost and a copy of the actor's remuneration contract to the relevant radio and television authorities for filing. The total remuneration of the actors in each TV series and online drama shall not exceed 40% of the total production cost, of which the main actors shall not exceed 70% of the total remuneration."

This notice has upgraded the "salary limit order" and introduced clear new requirements and measures for industries such as "skyrocketing film remuneration" for actors. It requires production agencies to submit a report on the allocation ratio of production cost final accounts and a copy of the actor film remuneration contract to the relevant radio and television authorities for filing. It should be noted that this notice mainly involves television dramas and online dramas.

From the past and present lives of the "salary limit order", it can be seen that the regulatory agency "salary limit order" has clear regulations on TV dramas, online movies, and variety shows, but the "salary limit order" for movies is not so strict, and is mainly self-discipline by the industry. On the one hand, due to the high threshold for film shooting technology and artistic appreciation, poorly crafted films cannot win the "Dragon Mark" and sell at the box office; On the other hand, because movies are paid for, and there are fewer viewers than television, it is more reasonable to adjust by the market. Film actors often receive high film remuneration based on box office distribution, which may lead to film and television salary restrictions, which may limit you to others.

To sum up, the phenomenon of abnormally high star film remuneration is a very complex issue, which is not only an economic issue related to the supply and demand relationship in the actor market, but also an industrial issue related to the development direction of the film and television industry; It is not only a question of social value and public opinion guidance, but also a question of government regulation and industry management. We look forward to the joint efforts of people from all walks of life to promote the prosperity and healthy development of the film and television industry.

(This article is translated by software translator for reference only.)