The SAG-AFTRA Strike: What It’s About
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Throughout this past month, you’ve likely come across a post or story by a celebrity on Instagram regarding the current SAG-AFTRA strike, which was approved after weeks of negotiation between actors and producers. Thousands of actors, ranging from those typically in smaller roles to A-List actors, have expressed their solidarity with the union. As soon as the strike was put into effect, it became clear that it would have an impact on the film industry. Both Barbie and Oppenheimer press tours were cut short following the start of the strike, with the Barbie cast being unable to reach its final destination, New York, and the Oppenheimer cast boycotting the film’s US premiere.
This strike will likely cost the industry hundreds of millions of dollars, as well as months of production time, especially because the Writer’s Guild of America (WGA) is on strike. Because members of the union are barred from participating in filming, film festivals, and award shows, the release of several shows and films, as well as events, will likely be postponed. For instance, filming for Netflix shows Emily in Paris and Stranger Things are currently on halt. Additionally, considering that the WGA’s three month strike in 2007 is estimated to have cost the industry hundreds of millions of dollars, the joint strike will likely cost the industry a significant amount.
SAG-AFTRA, short for the Screen Actors Guild – American Federation of Television and Radio Artists, is a labor union that represents approximately 160,000 media professionals. These media professionals consist of actors, announcers, broadcasters, journalists, dancers, and others. Ever since the union was founded in 2012, its members have worked to negotiate the best wages, working conditions, and health and pension benefits. Most of the negotiation is done through the Alliance of Motion Picture and Television Producers (AMPTP), a trade association responsible for the negotiation of guild and union contracts. It represents most of Hollywood’s major studios: Paramount Pictures, Sony Pictures, Universal Pictures, Walt Disney Studios, and Warners; broadcast television networks such as ABC, CBS, FOX, and NBC; and streaming networks such as Netflix, Apple TV+, and Amazon.
The 2023 SAG-AFTRA strike is the first joint-strike in decades, with SAG-AFTRA joining the WGA (Writers Guild of America) in its fight against the AMPTP. It reflects the growing frustrations of actors in response to unfair policies set in place following the growth of streaming services. The use of streaming networks drastically grew this past decade especially during the Covid-19 pandemic, in which streaming traffic grew by 26% globally. Undoubtedly, it seems to be the future of the film industry. However, though this signaled growth in video distribution culture, the practices related to it have only regressed actors’ status.
One of the many points of conflict between the actors and producers is streaming residuals. After a show garners success, it’s commonly believed that actors make millions of dollars through residuals, which are generated for actors when content is shown in reruns on a streaming service, or watched in digital or physical forms. In reality, long gone are the days of actors being able to make a fortune through residuals like the Friends cast. At least, that is the case when it comes to streaming residuals. Residual calculations and policies differ between televised and streamed shows. “The residuals that I get when it’s on network television versus what I would get on Netflix are night and day,” says actress Kellee Stewart.
For instance, actress Kimiko Glenn shocked fans when she revealed she was being paid cents in residuals from the Netflix show Orange is the New Black. This was especially shocking for fans because Orange is the New Black is considered Netflix’s breakthrough show, running from 2013 to 2019. Glenn wasn’t the only cast member to protest poor residuals. Alysia Reiner, who played Natalie Figueroa on the show, says: “We all took a risk together, and the reward for Netflix does not seem in line with the reward for all of us who took that risk. I can go anywhere in the world and I’m recognized, and I’m so deeply grateful for that recognition. Many people say they’ve watched the series multiple times, and they quote me my lines. But was I paid in a commensurate way? I don’t think so.” Actors are simply asking for a fair share of the profits.
Specifically, according to a 12-page report released by SAG-AFTRA regarding the negotiations, the union asked that producers “limit the amount of a performer’s salary that can be reduced due to the advance payment of residuals” and “require transparency with a separate residual check that goes to the union, the same as all other residuals.” However, they refused the union’s request for transparency. Additionally, the union asked AMPTP to require residuals for streamed films regardless of the budget or length of the picture and to “increase the residual that applies when a traditional media picture is exhibited on a streaming platform that is free to the consumer.” Both of these requests were rejected by AMPTP.
Streaming companies have justified these rejections by stating that SAG-AFTRA’s proposals are unrealistic. Disney CEO Bob Iger says, “there’s a level of expectation that they have, that is just not realistic. And they are adding to the set of the challenges that this business is already facing that is, quite frankly, very disruptive.” It’s understandable that producers may have financial consequences. However, production CEOs are earning tens of millions of dollars annually, bringing into question the sincerity of this response. Iger himself has the potential to earn up to 27 million dollars in 2023.
The performers’ requests aren’t them being lazy or greedy. For many of them, it’s a matter of whether or not they have health insurance or not. In fact, only 12.7% of SAG-AFTRA members qualify for SAG-AFTRA’s health plan, which requires that one has a yearly income of at least $26,470. Actors are asking for nothing more than a more equitable distribution of profit to be able to continue doing the job they love and put years of their lives into without having to worry about being able to provide for themselves and their families.