SAG-AFTRA Reaches Commercial Contracts Deal With Advertisers

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The deal introduces an alternative compensation model that specifically addresses the realities of the modern ad business.

Screen Actors Guild-American Federation of Television and Radio Artists and the Joint Policy Committee, representing the advertising industry, have reached a tentative agreement on terms for successor television and audio commercials contracts. Details weren't immediately disclosed. 

The deal would introduce an alternative compensation model that specifically addresses the realities of the modern ad business, the union said. The agreement is subject to approval by SAG-AFTRA's national board at its April 13-14 meeting, and then ratification by the membership. Both are expected.

SAG-AFTRA president and negotiating committee chair Gabrielle Carteris said that the tentative agreement would deliver essential gains for performers while at the same time position them and the industry for growth in a rapidly changing environment.

“This agreement represents a real step forward for actors in this space. It modernizes the commercials contracts making them more relevant to the industry now and into the future. It is a monumental advancement in growing our jurisdiction. We are proud to have helped create this important benchmark that clearly speaks to the needs of the membership and the evolution of our industry,” Carteris said.

SAG-AFTRA national executive director David White served as chief negotiator for the union.

Under the new agreement, which generates roughly an estimated $1 billion per year in wages and residuals, SAG-AFTRA members working in commercials also will see across-the-board wage increases for all categories of work; increases to the benefit plans; coverage of stunt coordinators; outsize gains to group dancers; protections against workplace sexual harassment; and streamlined processes for commercial agents representing SAG-AFTRA members, the union said.

JPC chief negotiator Stacy Marcus said, “The members of our respective committees worked cooperatively to address the serious needs of both the industry and the SAG-AFTRA membership. The result of that hard work and committed partnership is a landmark agreement that protects industry and member interests, while creating a structure that will also grow the opportunities for years to come. Both the industry and SAG-AFTRA should be proud of their collective accomplishment.”

For more on this subject, visit THR‘s labor page.