Key Takeaways
- SAG-AFTRA’s board approved a new tentative commercials deal, sending it to members for a final vote.
- The three-year agreement includes significant pay raises, totaling 5% in year one, 4% in year two, and 3% in year three.
- It brings major updates for digital advertising, including much higher fees for streaming and YouTube use.
- The deal introduces strong protections against Artificial Intelligence (AI), requiring consent and payment for using digital replicas of performers.
- Members have until May 21st to vote on ratifying the new contracts.
The National Board of SAG-AFTRA has given a strong thumbs-up to the new tentative agreement for its Commercials Contracts, reached with advertisers earlier in April.
This approval means the proposed deal, valued at an estimated $184 million in new earnings and benefit contributions over three years, will now be presented to the union’s membership for ratification.
If approved by members, performers will see compounded pay increases of 5% in the first year, followed by 4% in the second year, and 3% in the third year.
The union’s board is recommending members vote “yes” on the deal, which notably addresses the changing advertising landscape. Fees for one-year streaming use are set to jump by up to 33%.
Additionally, paid use on YouTube will now command a 12% premium over current digital rates, acknowledging its status as a major platform.
SAG-AFTRA President Fran Drescher praised the negotiating committee, calling the agreement “an important step forward for protecting the stability of performers’ livelihoods during this time of major technological upheavals.”
One of the most significant aspects involves Artificial Intelligence. The contracts include provisions stating performer data cannot train AI without consent. Creating a digital replica also requires permission.
Furthermore, using a digital replica to generate a performance needs informed consent and triggers substantial fees – 1.5 times the session fee plus usage payments. These rules aim to prevent AI from undercutting human performers economically.
National Executive Director Duncan Crabtree-Ireland highlighted these gains, telling Deadline the deal achieves “real wage growth and puts rules and a price tag on digital replica use.”
Other improvements include increased pension and health contributions, an initiative for automated commercial use monitoring, and adding Austin, Texas as a new work zone with hiring preference.
The agreement also boosts protections for minors, strengthens late fee penalties, clarifies per diem payments, and provides extra pay for dancers asked to lip-sync.
Eligible SAG-AFTRA members have until 5 p.m. Pacific Time on May 21 to cast their votes and decide whether to ratify these new commercials contracts.