SAG-AFTRA National Board Overwhelmingly Approves Commercials Contracts Deal
The decision, made at the regularly scheduled, two-day, in-person assembly, yielded a deal valued at an increase of $218.4 million in new earnings and benefit plan contributions over three years. If ratified, the agreements would provide compounded increases in performer compensation at a rate of 5% in year one, 4% in year two and 3% in year three.
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With the board recommending a vote of 'yes,' one-year streaming use fees would increase by up to 33.33% to keep stride with the transforming advertising industry; additionally, paid YouTube.com use now commands a 12% increase over the current Traditional Digital rates — a restructuring that reflects its rise as a premium platform.
'A huge congratulations goes out to the Commercials Contracts negotiating committee for their diligent work in this agreement which is an important step forward for protecting the stability of performers' livelihoods during this time of major technological upheavals in the ad industry,' SAG-AFTRA president Fran Drescher said in a statement. 'The Committee was co-chaired by Katie Von Till and Erin Fritch who led with strength, wisdom, intellect and patience. Brava ladies! The Commercials Contracts are a real powerhouse when it comes to addressing tech with more A.I. protections than any contract so far! Well done!'
SAG-AFTRA National Executive Director & Chief Negotiator Duncan Crabtree-Ireland added, 'This deal, hard-won thanks to an incredibly dedicated negotiating committee, achieves real wage growth and puts rules and a price tag on digital replica use — essential progress for a changing industry. I'm thrilled the National Board has approved this forward-thinking agreement and that members will now have a chance to review its many gains. I also want to extend my deepest appreciation to our extraordinary and courageous negotiating committee, especially co-chairs Erin Fritch and Katie Von Till, and the best co-lead negotiator anyone could ask for, SAG-AFTRA Chief Contracts Officer Ray Rodriguez.'
Other highlights from the deal include the following: performers' data can't be used to train artificial intelligence without consent; performer consent is required before any digital replica is created; use of a digital replica to generate a performance requires informed consent and triggers a 1.5x session fee plus applicable holding and use fees; provisions that ensure a level playing field in generative AI and remove economic advantages to the use of synthetic performers; the total pension and health contribution rate is raised from 20.5% to 23.5%, subject to a waiver reduction for JPC authorizers to 19.95%; an initiative to develop an automated commercial use monitoring service; created a new extra zone and preference of employment for Austin, Texas; disability accommodation(s) must be offered, in writing, at the time of engagement; dramatic improvements in protections for minor performers; late fee penalties have been strengthened and streamlined; per diems are required to be paid on the first day of work and/or travel; dancers who are asked to lip-synch now earn an extra 25% of session; singer wage increases for non-air demos; a brand new digital structure in the Audio Commercials Contract.
Eligible SAG-AFTRA members will have until 5 p.m. PDT on May 21 to cast their vote on ratification.
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