SAG/AFTRA Reach Tentative Agreement on New Corporate/Educational Contract

The three-year pact features small increases in minimums and P&H, as well as first-time new media provisions.

One of the lesser-known SAG/AFTRA contracts, at least in Hollywood, is the agreement covering work done for corporations and educational institutions. That pact, which was to expire April 30, is negotiated with industry representatives, and has now been renewed through April 30, 2014.

The new agreement includes a 4.04% overall increase in minimum compensation during the term of the agreement, with a 2% increase effective on May 1, 2011 and another 2% increase effective on Nov. 1 2012, 18 months into the term of the contract. That pencils out to an increase of about 1.33% per year, which contrasts with the 2% year increase in the agreement reached last fall with the AMPTP.

The agreement also features a 0.2% increase in employer pension and health contributions, which raises the total employer contribution from 15.3% to 15.5%.

In addition, the contract now includes new media provisions. Details of those provisions were not released.

SAG Negotiating Chair Ed Kelly said, “We are pleased to have reached this tentative agreement. This is an important and meaningful agreement to our many members across the country.”

AFTRA Negotiating Chair Mike Kraft commented, “For union performers, securing work under this contract often makes the critical difference in qualifying for health and retirement benefits and in smaller markets such as  Cleveland, this contract is our ‘bread and butter.’”

The contract cover performers rendering on-camera and voiceover services in sales programs, educational and training videos, informational and promotional messages seen in stores and video included in certain consumer products, and other projects that are exhibited outside of the traditional broadcast arena. AFTRA’s version of the contract also covers audio-only content, such as telephone messages and sound included in consumer products.

The SAG and AFTRA versions of the contract have also been renamed as the AFTRA National Code of Fair Practice for Corporate/Educational Recorded Material and the Producers-SAG 2011 Codified Corporate/Educational Contract. The contracts were previously known as the SAG Industrial and Educational Contract and the AFTRA National Code of Fair Practice for Non Broadcast/Industrial/Educational Recorded Material.

The co-chief negotiators of the agreement were AFTRA executive Mathis L. Dunn, Jr., and SAG executive Ray Rodriguez.

Details regarding final approval and ratification of the agreement by SAG and AFTRA will be announced soon.