SAG-AFTRA’s National Board Approves Multimillion-Dollar Deal with Studio CEOs
In a groundbreaking move, the majority of SAG-AFTRA’s National Board has voted to approve a tentative agreement reached with studio CEOs and the AMPTP earlier this week. Valued at over one billion dollars, this deal is set to bring significant changes to the entertainment industry.
The 80-page summary of the agreement will be sent to eligible guild members on November 13th. This will allow them to review the details closely before the ratification voting begins on November 14th and continues until the first week of December.
One of the key highlights of this agreement is the unprecedented wage pattern. It includes two wage increases within the first year of the contract and another increase in the second year. This will provide substantial financial benefits for the members of SAG-AFTRA.
Notably, background actors will also see a surge in wages, resulting in almost 11,000 new covered background work days annually. Additionally, the contribution cap for one-hour and half-hour productions will increase, leading to enhanced contributions to the Health and Pension/Retirement funds.
In a move to address the evolving streaming landscape, the agreement introduces a new compensation stream for performers working in streaming. This stream will provide a substantial bonus on top of existing residuals structures and is expected to distribute around $120 million over the course of the new contract.
Aside from the significant financial benefits, the agreement also includes important improvements in areas such as hair and makeup equity, diversity statistics sharing, and sexual harassment prevention protections. Furthermore, there are enhancements in the casting process, relocation allowances, and minimums for high-budget made-for-AVOD programming.
This deal has already garnered significant praise for shattering pattern bargaining and being described as “industry-breaking.” However, it is important to note that the true impact of the agreement will be determined by the full summary and fine print.
Fran Drescher, an iconic actress and member of SAG-AFTRA, has hinted at future negotiations ahead of the contract’s expiration in 2026. This suggests that further improvements and advancements in the industry may be on the horizon.
As guild members eagerly await the opportunity to vote on this historic agreement, the entertainment industry holds its breath, waiting to see the long-lasting effects that this multimillion-dollar deal will have on the future of SAG-AFTRA and its members.
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