AFTRA/SAG spot contract a done deal

SAG and AFTRA memberships overwhelmingly approved new three-year radio and television contracts, voting 93.84% in favor of them. Approximately 132,000 members of the two unions received ballots, of which 28% were returned.

The pact with the Association of National Advertisers and the American Association of Advertising Agencies goes into effect retroactively to April 1, 2009, and will remain in force until March 31, 2012.

The unions estimate that the three-year increase will generate more than $108 million in member earnings. This includes approximately $24 million in increased contributions to their respective health and retirement plans.

The total combined value of the AFTRA and SAG contracts is projected at more than $3 billion over the three-year term of the agreement, for working actors, singers, dancers, choreographers, stunt persons, and extras.

Going into effect in the third year of the contract is the first payment structure established for internet and new media commercials.

Additionally, the new contracts contain an agreement outlining terms for a pilot study to test the Gross Rating Points (GRP) model of restructuring compensation to principle performers, as proposed by Booz & Co.

The two-year pilot study will be conducted by a jointly retained consultant engaged by the unions and the industry. The study is expected to be paid for by grants from Screen Actors Guild-Industry Advancement and Cooperative Fund (IACF) and the AFTRA-Industry Cooperative Fund (AICF).

SAG has 20 branches nationally and represents nearly 120,000 actors in film, television, industrials, commercials, video games, music videos and other new media. AFTRA has 32 locals, consisting of a total membership of 70,000 professional performers, broadcasting and recording artists.

Both unions are affiliates of the AFL-CIO.