In a notable move to help resolve the ongoing SAG-AFTRA strike, some of Hollywood’s biggest stars, including George Clooney, Tyler Perry, Ben Affleck, Scarlett Johansson, and Emma Stone, have offered an annual contribution of approximately $50 million to the cause. The purpose of this generous offer is to address the stalemate that has persisted in the strike negotiations. Moreover, their proposal aims to change the way residuals are distributed, prioritizing lower-billed actors over the top-billed ones.
Meeting of the A-Listers and Union Leaders
On a virtual platform via Zoom, these top film actors held a meeting with SAG-AFTRA union leaders, featuring President Fran Drescher and National Executive Director Duncan Crabtree-Ireland. Although their proposal was discussed during this meeting, insiders revealed that it didn’t receive an immediate green light. Instead, it was taken back to the guild’s negotiating committee for further consideration.
The Proposal’s Key Points
George Clooney elaborated on the proposal, stating that it involves eliminating the existing cap on membership dues, which currently stands at $1 million. The intent behind this change is to bridge the negotiation gap between SAG-AFTRA and the Alliance of Motion Picture and Television Producers (AMPTP).
Additionally, the proposal introduces a new residual system for streaming services. It suggests a formula that would prioritize the lower-billed actors on a project, who are often less financially secure, by ensuring they receive their residuals first. Conversely, the top-billed actors on the same project would be the last to receive their residual payments.
Estimated Financial Impact
If this proposal were to be accepted, it could potentially result in an annual contribution of around $50 million. Over the span of a three-year contract, this sum would accumulate to $150 million. It is worth noting that SAG-AFTRA has yet to make a final decision on this offer, and they are expected to release an official statement on the matter soon.
Clooney’s Perspective
George Clooney emphasized the willingness of high-earning actors to be part of the solution. He stated, “These negotiations will be ongoing, but we wanted to show that we’re all in this together and find ways to help close the gap on actors getting paid.”
Complex Implementation
Despite the potential benefits of Clooney’s proposal, implementing such changes is far from straightforward. Any modifications to the dues structure would require a vote by delegates during the upcoming national convention, which will be held virtually. However, the submission deadline for resolutions to be voted on has already passed.
Addressing the Impasses
While the A-listers’ offer might assist working-class actors in coping with inflation and the rising cost of living, it might not be sufficient to resolve the ongoing issues between SAG-AFTRA and AMPTP. The latter recently stepped away from negotiations, citing differences over a proposed revenue-sharing scheme for streaming services.
The studios had initially demanded a 1% levy on all streaming revenue, while the guild requested a flat fee of $1 per subscriber per year, which the studios found excessive. Duncan Crabtree-Ireland, on the other hand, contended that the proposed levy by the union was 57 cents per subscriber. These differences underscore the ongoing debate over compensation structures in the age of streaming.
Impact on the Industry
The strike has caused substantial economic hardship for many rank-and-file industry members who have been out of work for an extended period. Furthermore, studios have faced challenges promoting their theatrical and streaming releases since striking actors are prohibited from participating in publicity efforts for such projects. This has had a negative impact on conventional theatrical pre-release marketing campaigns and the overall vibrancy of the awards season.
George Clooney and his fellow A-listers’ generous offer has the potential to inject much-needed funds into the ongoing strike negotiations. However, it remains to be seen whether their proposal will gain approval and, more importantly, if it will effectively resolve the issues at the heart of the strike. The entertainment industry, as well as countless actors and crew members, eagerly await further developments in this critical negotiation process.