Tentative Deal Reached by Hollywood’s SAG-AFTRA Union Ends 4-Month Strike

After a strike that lasted 118 days, U.S. actors are anticipated to return to their jobs. On Wednesday, the Screen Actors Guild‐American Federation of Television and Radio Artists (SAG-AFTRA) announced the unanimous approval by their TV/Theatrical Committee of a deal that concluded the strike as of 12:01 a.m. on Thursday. Following this, the agreement will be put forward for approval by the union’s national board on Friday.

After about two weeks of resumed negotiations, the performers union disclosed the provisional agreement on Wednesday. This announcement came just before a 5 p.m. deadline that the Alliance of Motion Picture and Television Producers (AMPTP) had set for the union to confirm if a deal had been reached.

While only limited details of the agreement have been shared by the union so far, it’s expected that more information will be released in the days leading up to the union’s ratification vote.

In a message to its members on Wednesday evening, the union disclosed that the agreement is valued at over $1 billion and includes pay raises that surpass those other unions received this year, a “streaming participation bonus,” and rules on artificial intelligence usage. The deal also raises the limits on health and pension funds, increases compensation for background performers, and includes “critical contract provisions protecting diverse communities.” If ratified, the contract could go into effect soon, but if not, union labor negotiators would have to return to the negotiating table with AMPTP.

In a statement released on Wednesday night, the AMPTP expressed that the tentative agreement signifies a new paradigm, providing SAG-AFTRA with the highest contract-on-contract gains in the union’s history. This includes the largest increase in minimum wages in the last 40 years, a novel residual for streaming programs, comprehensive consent and compensation protections regarding the use of artificial intelligence, and sizable increases in contract elements across the board. The AMPTP has expressed its satisfaction with the tentative agreement and “looks forward to the industry resuming the work of telling great stories.”

Fran Drescher, the president of SAG-AFTRA, took to social media to celebrate the agreement. “We did it!!!!” she exclaimed, appreciating the members “for hanging in and holding out for this historic deal!”

Actors are also showing enthusiasm for the negotiated deal. Zac Efron, at the premiere of his new wrestling movie, “The Iron Claw,” described the agreement as “incredible.” Jeremy Allen White, Efron’s co-star and “The Bear” TV drama lead, heard the news of the strike’s end during an interview on the red carpet with Entertainment Tonight, to which he responded, “That’s amazing!”

The entertainment industry is intertwined with retail, so this deal should be a good sign not just for film companies like Warner Bros. Discovery that have suffered due to the strike, but also for companies like Mattel that collaborate with them. It also may allow more opportunities for product placement in movies, TV shows, and other forms of media.