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84.9% of studios handed over all copyright to production upon completion, which means they get no royalties, no kickback for any of the additional success that title received. 39.6% said they were paid often for this, but it's typically included in a production fee.
But if you think about it, if 60% are already operating at a loss, and you're going to include that fee within the production fee that's already lower than what they ask for. They're essentially either doing it for free or for a negative amount of dollars.
They now moving on to subcontractors. It says 26.6 of subcontractors reported delays longer than the legal 60-day limit. This is typically due to the main studios not receiving their payment on time. owe that payment, that lack of payment then trickles down to the subcontracting studios affecting their pay as well. And while 75% reported increasing budget, 34.4 still had operating losses. So essentially, everybody's losing.
Onto freelancers who make up 50 to 70% of the workforce. Despite having the Freelance Act, which mandates written contracts, only 38.9% received written contracts. And of that, 16% received them after completing the work. Only 9.7% said extra pay for short deadlines was discussed or agreed on in advance of the work being completed. And 44% 44.4% received rushed orders without extra pay, which means they got you buzzing your ass for no for no money at all. And obviously this leads to a bigger number of 52.1% of people remain unhappy with the pay of their work.
And lastly, streaming sites are known to pay more on the front end, but due to lack of privacy and data, anime studios are not able to negotiate for higher backend deals for huge successes. So, I would just like to point out that all of this leads to what I've been saying in the past that you cannot outrun bad business. You can't outrun the system. So, if you're going to work underneath a system that's going to constantly require growth and you cannot meet that because people are not machines, you will inevitably fail. If you see people as resources and not as humans, you will inevitably fail.
So when you want to watch your slop, you want to watch your isai slop where they're all having the the same story regurgitated over and over again. You have to keep that in mind that these studios are probably the same people who are not paying their workers. They are not getting re they're not getting contracts for the work that they're they're producing. They're not being paid on time. And all of that work that you are enjoying that you're getting to see is at a cost. It's at the cost of other people's livelihoods. It's at it's at the the the cost of those businesses. Sometimes they're going bankrupt and it's at the cost of some They are some ass stories. So if we're going to take these numbers at face value, you have to see that many of the studios that are making these these ass shows, a lot of them are probably the culprits of this the survey.
So, as I've been saying, the system has been working as it should. This is not a glitch. It is a feature. You are not going to be able to work people like machines and get the outcomes that you want long term. There is a direct inverse relationship between working people to the bone and the quality that you get out of them. You cannot continue to not pay people for their work. Um, and the freelancers who make up 50 to 70% of your workforce are are told that they're unhappy. You're not going to be able to get the best out of humanity if you see them as the same thing that you see that machine making shoes or or some other device that's meant to aid in production. You cannot substitute humanity for a machine. This is not something that that works in a bubble. You have to see that this is a larger industry thing and it's it's across many industries outside of anime and movies as well. These numbers are too big to ignore. 60% operating at a loss. The anime industry has to change. You have to get back to quality and not quantity as well as the the type of revenue that you're hoping to see will have to lessen if you want sustainability. Obviously, this is a global issue that is affected with all sorts of economic things. Um, you can see it across countries and industries. So, using the anime industry to highlight this, hopefully people will be able to see just because you see a rose growing out of concrete does not mean you should pick it up. If you want to be able to enjoy the beauty of it, you have to think about raising the concrete up so that you can see all of the beauty that lies underneath. It's not going to help you just to take that beauty and then end up killing in the process. You can love something, but if you end up strangling it, it doesn't really matter what your intentions were, now does it.