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Advertising Industry Reaches Tentative Agreement with SAG-AFTRA

On April 3, the Joint Policy Committee (ANA/4As) and SAG-AFTRA announced a tentative agreement for the 2016 TV & Radio Commercials Contracts.

The deal is scheduled to be reviewed by the SAG-AFTRA Board of Directors on April 9-10. Once approved, the agreement will then be sent to the union’s membership for ratification, after which the new rates and terms will be finalized and implemented.

While the JPC and the union have agreed not to release any details of the agreement until after the Board meets this coming weekend, we recommend that advertisers and agencies plan for new rates for all commercials produced on or after April 1, 2016 and for “new” commercials that are edited from existing footage, on or after that date. Term or Celebrity Contracts that have an effective start date of April 1 may also be affected by any increase in the Pension & Health contribution rate.

The Extreme Reach Business Affairs team is here to help you navigate these changes. If you have any questions on the new deal between SAG-AFTRA and the JPC, feel free to contact us!