South Korea’s entertainment industry, known for its powerhouse status, is now experiencing labor unrest similar to what has occurred in Hollywood. The Directors Guild of Korea is calling for revisions to the Copyrights Act in an effort to allow directors to receive residual pay from successful movies and engage in collective bargaining. In April, members of the guild protested in central Seoul during a press conference on copyright law, marking the first street protest since 1998.
The Korean directors argue that the current Copyrights Act grants all intellectual property and profits from video content to service providers, such as streaming platforms like Netflix, without being shared with individual professionals involved in the creation process. This means that even with massive hits like “Squid Game,” Korean directors and screenwriters receive no residuals. Their goal is to revise the legislation and establish minimum rights to share in profits with production companies, so that backend remuneration is not nonexistent.
On Monday, the Directors Guild of Korea plans to hold a press conference at Seoul’s National Assembly building to urge lawmakers to promptly process bills related to revising the Copyrights Act. One such bill proposed by ruling party lawmaker Lee Yong-ho seeks to allow creators to claim additional remuneration if there is a significant imbalance between their compensation and the profits generated from the copyrighted work.
The current law in South Korea allows staff screenwriters for broadcasting stations to receive residuals from streaming services and broadcasters, while independent directors and screenwriters who make most films and series are denied these rights due to their status as freelancers. For example, Bong Joon-ho, a member of the Directors Guild of America, receives residuals for his Netflix film “Okja” in the U.S., but Hwang Dong-hyuk, the Korean creator and director of “Squid Game,” does not receive any residuals despite the show’s global success.
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The Directors Guild of Korea emphasizes that their demands are basic and not about large sums of money. They simply want to initiate a discussion about the remuneration system and establish acceptable guidelines within the industry. However, the Media Platform Alliance for Copyright Issues, representing service providers like local broadcasting stations, cable channels, and streaming services, has voiced concerns about the proposed legislation. They argue that it could weaken investment and fail to consider the current market structure, where producers and service providers bear most of the financial burdens and risks.
Hwang, the director of “Squid Game,” has acknowledged in past interviews that Netflix took the risk of investing in a production that other networks rejected, allowing him creative freedom. However, the situation for most Korean directors is far from ideal. According to the Directors Guild of Korea, its members spend an average of 4.5 years on a single production and receive an average annual salary lower than the country’s minimum wage when translated to a full-time work schedule.
The guild hopes that the government can mediate in negotiations with the companies, and even considers providing funding to service providers who agree to the remuneration system as a buffer. As the debate continues, it remains to be seen how South Korea’s legislature will address the demands of the Directors Guild and potentially reshape the country’s entertainment industry.
