Actors’ Strike Looms as Hollywood Studios Scramble to Reach Deal

Hollywood’s major film and television studios and the union representing 160,000 actors were engaged in last-ditch talks on Wednesday ahead of a midnight deadline to try and avoid a second labor strike in the entertainment business. The Screen Actors Guild-American Federation of Television and Radio Artists (SAG-AFTRA) has been negotiating with the Alliance of Motion Picture and Television Producers (AMPTP) over pay in the streaming TV era, plus safeguards around the use of artificial intelligence (AI). Members have authorized a strike if negotiators cannot reach a deal, which could affect production for TV shows, movies, and commercials.

The dispute comes at a difficult time for media companies that have invested billions of dollars in programming to lure new subscribers to their online services. A strike by SAG-AFTRA would further deprive the industry of content and likely lead to millions of lost subscriptions.

SAG-AFTRA has made a series of demands, including streaming being factored into payments for writers and a minimum number of writers on writing staff to ensure continued employment and safeguards on the use of generative AI. The union also wants to retain ownership stakes in its work. The AMPTP has been reluctant to give in on these points, which has led the union to take the unusual step of calling for a strike authorization vote. The move is typically used to gain leverage during negotiations or when a strike appears imminent.

Negotiators for the two sides will meet again on Thursday to find a compromise. Sources said a federal mediator may be brought in to help find the middle ground and speed up the process.

It’s unclear if the call for a federal mediator is a sign of weakness from the actors’ side or a concession to pressure for a quick resolution. A day before the original deadline, more than a thousand actors, including Meryl Streep and Pedro Pascal, signed a letter urging SAG-AFTRA to refuse to cave to the studios’ demands. The letter was also signed by the president of SAG-AFTRA, Fran Drescher, who starred in the 1990’s sitcom The Nanny.

SAG-AFTRA’s top negotiator, Alexis Arquette, has told the Associated Press that the union will not consider any proposal by studio representatives that includes cuts to benefits and other concessions. She has called on the AMPTP to “stop using the threat of a SAG-AFTRA strike as a bargaining tool and make real and significant offers.”

Several major studios have already held pre-deadline press junkets for films, including Warner Bros’ Barbie and Sony Pictures’ Gran Turismo, with many more planned over the next few weeks. SAG-AFTRA has asked publicists for those films to include disclaimers on press conferences that indicate the events were recorded before the contract deadline.

The union has also requested that any press events for movies shot before the new deadline be recorded with a SAG-AFTRA actor or actress present to prevent a contract violation.

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