The Alliance of Motion Picture and Television Producers (AMPTP), which represents Hollywood studios and streamers in union negotiations, has responded to SAG-AFTRA’s version of events before the performers’ union went on strike. In a 23-page document released on Friday, the AMPTP addressed SAG-AFTRA’s chart of alleged union proposals and management responses, claiming that the chart was misleading in its characterization of the producers’ offer. The AMPTP provided its own chart of SAG-AFTRA proposals and AMPTP counter-offers to present its perspective on the negotiations.
According to the AMPTP, the deal offered to SAG-AFTRA on July 12 was worth more than $1 billion in compensation and benefits increases. The union’s boldest proposal was for casts to receive a cut of streamers’ subscriber revenues when their performances are exhibited on streaming platforms. The AMPTP objected to this proposal, stating that it created a one-size-fits-all approach that ignored the relationship between program suppliers and exhibitors. The group argued that the proposal did not “follow the money” and that it did not offer true revenue sharing but instead benefited performers only in success, not in failure.
In terms of basic wage increases, SAG-AFTRA sought an 11 percent increase in the first year and 4 percent in years two and three. The AMPTP countered with a 5/4/3.5 percent combination, which it considered historic, noting that the last time the union secured a general wage increase of 5% in any year was in 1988. The producers’ proposal would provide $717 million in additional wage compensation, more than double the gains in SAG-AFTRA’s 2020 contract.
Another contentious issue was the union’s proposal regarding artificial intelligence (A.I.). SAG-AFTRA aimed to establish provisions to protect human-created work and ensure fair compensation when a member’s performance is used in an A.I.-powered system. The AMPTP claimed that its counter-offer addressed many concerns but that the union never responded to it. The group stated that it required companies to obtain consent to use a digital replica of a background actor for a project other than the one they were hired for and agreed not to use digital replicas in place of hiring the required number of background actors.
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Regarding performers, the AMPTP argued that it agreed to obtain consent before creating a digital replica of a member and to limit digital alterations beyond typical post-production practices. When a company wants to use a digital replica for a different project to the one the performer agreed to, they must obtain the performer’s consent and negotiate separately, according to the group.
SAG-AFTRA has been on strike for a week since failing to reach an agreement with the AMPTP on July 12. The ongoing Writers Guild of America strike had already impacted major productions, and the SAG-AFTRA strike has further shut down and delayed projects such as “Deadpool 3” and “Mission: Impossible 8”. This strike marks the first time in over 40 years that SAG-AFTRA has gone on strike and the first “double strike” in over 60 years, with both performers and writers picketing film and TV companies.
It is important to note that SAG-AFTRA has not yet responded to the AMPTP’s document. The negotiations between the two parties are ongoing, and it remains to be seen how the strike will be resolved and what agreements will be reached. As the strike continues, the impact on the entertainment industry may become more significant, affecting the production and release of upcoming films and TV shows.
