Studios and actors union extend talks as threat of 2nd Hollywood strike looms - Action News
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Entertainment

Studios and actors union extend talks as threat of 2nd Hollywood strike looms

Hollywood's actorsunion and major Hollywood studios agreed to extend their currentlabour contract through July 12 and keep talking to try to reacha new labour agreement, both sides said in a statement on Friday.

Faced with midnight deadline, sides extend current agreement through July 12

The word 'Hollywood' is spelled out in big, block letters on a hillside.
A-list Hollywood stars including Jennifer Lawrence and Meryl Streep say they are ready to walk off the job if negotiators cannot reach a 'transformative deal' on higher base pay and safeguards around the use of artificial intelligence. (Mike Blake/Reuters)

Hollywood's actorsunion and major Hollywood studios agreed to extend their currentlabour contract through July 12 and keep talking to try to reacha new labour agreement, both sides said in a statement on Friday.

Seeking to avert a second labour strike this summer, studiosincluding Walt Disney Co and Netflix Inc are intalks with the SAG-AFTRA actorsunion. Members of the WritersGuild of America (WGA) walked off the job on May 2.

SAG-AFTRA's contract with studios had been set to expire atmidnight on Friday. The extension gives the two sides more timeto try to work out a deal.

"The parties will continue to negotiate under a mutuallyagreed upon media blackout," the parties said in their statementFriday evening.

A-listers want 'transformative deal'

A-list stars including Jennifer Lawrence and Meryl Streep, in a letter to union leadership this week, said they were ready to walk off the job if negotiators cannot reach a "transformative deal" on higher base pay and safeguards around the use of artificial intelligence (AI).

The letter came after union negotiators issued a video saying their talks had been "extremely productive," a possible sign that a deal was within reach.

Negotiations were taking place during a difficult time forHollywood studios. Conglomerates are under pressure from WallStreet to make their streaming services profitable after pumpingbillions of dollars into programming to attract subscribers.

A strike by SAG-AFTRA, which represents 160,000 actors, would turn up the heat on Hollywood studios already grappling with a nearly two-month work stoppage by the WGA.

Production shutdown and delays

The walkout by 11,500 writers has shut down a wide swath of TV production and delayed the filming of movies including Marvel's Thunderboltsand Blade.Any ongoing filming would have to halt if actors also strike.

Striking workers carry signs as they walk on a picket line.
Workers and supporters of the Writers Guild of America picket outside Universal Studios Hollywood in the Universal City area of Los Angeles on May 3. (Mario Anzuoni/Reuters)

Leaders of SAG-AFTRA and the WGA say the entertainment industry has changed dramatically with the rise of streaming television and the emergence of new technology such as generative AI, which they fear could be used to write scripts or create digital actors.

Some actors have spoken publicly of their support of a walkout.

Phoebe Waller-Bridge, star of the new Indiana Jones and the Dial of Destinymovie, noted that she was already on strike as a member of the WGA.

"I'm on the edge of my seat hoping that SAG will follow suit and stand up in support of the writers, and just really hope we can get this sorted," Waller-Bridge said in an interview with Reuters at the movie's Londonpremiere.

A woman with chin-length dark hair wearing a chain mail dress and white cape smiles and poses for photographers in front of a sign reading Indiana Jones and the Dial of Destiny.
Actor, writer and producer Phoebe Waller-Bridge, star of Indiana Jones and the Dial of Destiny, told media at the film's London premiere on June 26 that as a member of the Writers Guild of America, she was already on strike, but hoped the Screen Actors Guild would follow suit. (Jeff Spicer/Getty Images)

SAG-AFTRA already voted to give its leaders the authority to call a work stoppage if talks break down before their contract expires on Friday night.

"I think we need the actors to go on strike so that it all could get worked out," filmmaker and actor Judd Apatow told Reuters. "All these issues affect everybody."

The Alliance of Motion Picture and Television Producers (AMPTP), which negotiates on behalf of the studios, had no comment on the ongoing talks with SAG-AFTRA.

No talks with striking writers

With the writers, the AMPTP said it had offered "generous" pay increases but could not agree to all of the writers' demands. The studios and the WGA have not held talks since the writers' strike began on May 2.

The WGA walkout is hitting caterers, prop suppliers and other small businesses that generate a large portion of their income from Hollywood productions. The last writers' strike in 2007 and 2008 cost the California economy an estimated $2.1 billion US.