All the Actors Strike Questions You Were Afraid to Ask

Mia Galuppo
·8 min read
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Actors are walking picket lines outside major Hollywood studios.

But will that affect the release of the next movie in your favorite franchise? What does streaming have to do with the strike? And why is everyone mad at Bob Iger?

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For the casual viewer, here are some quick answers to some of the most pressing questions about the strike.

Why are the actors on strike?

The actors are striking because they couldn’t reach an agreement with studios and streamers on a new three-year contract covering scripted TV and movies. Because union leaders asked members to greenlight a potential strike as they went into contract negotiations with Hollywood studios and streamers, and members overwhelmingly voted yes, the union called one once their current contract expired and talks broke down. The union has said that the key issues at stake in this negotiation — including artificial intelligence and compensation from streaming — are so existential for actors that a labor stoppage is necessary to get the best deal.

What are they still fighting about with the studios?

According to the union, the two sides couldn’t reach an agreement on major topics like regulating the use of generative AI in entertainment, basic pay increases, and a proposal the union put forth to have TV and film casts share in subscriber revenue from streaming projects. But there are also many other, smaller concerns that both sides continue to bicker over, from a proposal to raise the cost incurred when meal breaks are delayed to whether performance-capture acting work (like when actor Andy Serkis transformed into Gollum for the Lord of the Rings trilogy) can be covered under a union contract. The studios, for their part, claim that SAG-AFTRA walked away from a deal that entailed more than $1 billion in compensation and benefits increases.

What does the actors strike have to do with the writers strike?

Currently, the Writers Guild of America (WGA), the union representing Hollywood film and television writers, is also on strike. While many of the demands of the actors union and writers union differ, there is overlap, especially when it comes to AI and residual payments from streaming series.

And what exactly is a residual?

A residual payment is a type of royalty payment to talent after a show has aired its initial run. Actors receive residuals when film or TV projects that they worked on continue to air or screen on other networks, streaming platforms, etc.

Streaming seems to be a big issue. Why?

In case you haven’t heard, Hollywood is in its “streaming age.” Almost every studio either has its own streaming service (Disney has Disney+, Universal has Peacock, etc.) or the studio is a streaming service (Netflix, Amazon, Apple). Streaming has upended long-established business models when it comes to actors’ compensation for film and TV series. Typically, a streaming show has fewer episodes and fewer seasons, limiting up-front money, as compared to the previous norm of 22-episode seasons on network television. Residual payments are also limited on streaming services. The union is asking to share in the revenue generated by projects on streaming services, with payments based on viewership numbers, but studios have been notoriously secretive about such data.

So, should I cancel my streaming subscription?

While SAG-AFTRA has not called for a consumer boycott, some individual members have urged consumers to do so.

Why are some actors so mad at Bob Iger and David Zaslav?

Iger, the CEO of The Walt Disney Co., and Zaslav, the CEO of Warner Bros. Discovery, have garnered particular ire among striking members, with their names printed on picket signs along with colorful language.

Prior to the strike, Zaslav’s regime shelved nearly finished films (see: Batgirl) and pulled completed series and movies from its HBO Max streaming service (now called Max) in the name of an apparent tax write-down, a move that angered creatives throughout the industry. Recently, Iger received a lot of flak for comments he made during an interview with CNBC while attending Allen & Co.’s Sun Valley Conference, which is attended by CEOs and billionaires, where he called the strike “very disturbing” and the demands of the unions “just not realistic,” adding that the strikes will have a “very, very damaging effect on the whole business.”

Then there are the CEOs’ massive salaries. While unions contend that wages have stayed stagnant or dropped across the industry — a large point of contention in both the actors and writers strikes — Hollywood CEOs have been netting massive paydays. When he re-upped at Disney as CEO, Iger’s 2023 pay package was valued at $27 million. Zaslav’s 2022 compensation package hit $39.3 million.

Why is Fran Drescher from The Nanny leading the actors?

Drescher, best known for her role in the beloved ’90s sitcom The Nanny, is the president of SAG-AFTRA, the union representing the actors. She was elected in 2021, with backing from A-list actors like Tom Hanks; she is currently up for reelection and remains the frontrunner.

How will this affect the shows I watch?

Production on many shows has already been halted due to the ongoing writers strike, including fan favorites like Stranger Things, Cobra Kai and Yellowjackets. That work stoppage means audiences will be waiting longer for new seasons of their favorite shows. The dual strikes have led to further stoppages and the lowest production levels in Los Angeles since the height of the COVID-19 pandemic. Some streamers may also begin to push back shows without their stars to promote them.

Will movie release dates get pushed back?

It is currently unclear if movie dates will be pushed, as many of these are set far in the future. But several big Hollywood productions, including the Gladiator sequel and Deadpool 3, had to shut down due to the work stoppage. The longer the strike lasts, the more productions will be delayed and the less time productions will have to meet their current release dates. As of publication, no films have pushed their release dates because of the strike.

How many actors are on strike?

SAG-AFTRA represents 160,000 media professionals, mainly actors, but also broadcasts journalists, program hosts, puppeteers, stunt performers, voiceover artists and other entertainment workers. All of the members in actors-performers caucus are currently on strike against the major Hollywood studios (though the union has given a limited number of exceptions for actors to work on low-budget indie productions.)

Aren’t actors already making a lot of money?

Yes, A-list actors are known to pull in larger paydays, but SAG-AFTRA advocates for all of its 160,000 members, including background actors, singers, dancers and stunt performers. Only 12.7 percent of SAG members make the annual $26,470 needed to qualify for union health insurance, according to some guild members. Actors made a median salary of $46,960 in 2021, according to SAG chief negotiator and national executive director Duncan Crabtree-Ireland.

What can’t actors do during the strike?

There is a full work stoppage during the strike, meaning that SAG-AFTRA members can’t film shows or movies for major studios or streamers. Promotion for finished projects is also prohibited, including attending events like the upcoming Venice and Toronto film festivals and participating in For Your Consideration events during Emmys season. The cast of Christopher Nolan’s Oppenheimer left the screening at the film’s London premiere when it appeared that a strike was imminent. Promotional posting on social media about projects is also not allowed. Additionally, off-camera work, including voice-acting and narration, as well as background and stand-in work, is barred.

So, what can actors do during the strike?

Other than walking the picket lines, SAG members will be allowed to film a select few projects. According to calls with agents leading up to the strike, members will be allowed to work on ACTRA (Alliance of Canadian Cinema, Television and Radio Artists) and U.K. Equity projects, so projects not filming in the United States. The union has also granted several productions waivers, or interim agreements, that will allow them to continue filming under a specific set of conditions. These include an Anne Hathaway-starring A24 movie and the Lionsgate movie The Killer’s Game.

How long will this go on?

As long as it takes to reach a deal. How long that will take is unclear. Both the AMPTP and SAG have said they are far apart on key issues, including streaming residuals and AI. On the first day of picketing, Drescher said the union looked at the potential cost of striking for up to six months.

What is the AMPTP?

The AMPTP refers to the Alliance of Motion Picture and Television Producers, which is a group that negotiates on behalf of major entertainment producers like Disney, Netflix and Apple with Hollywood unions, from SAG-AFTRA to the Writers Guild of America to IATSE (International Alliance of Theatrical Stage Employees). Basically, they’re management in this situation, and management and labor need to come to terms in order to end the strike.

How will it end?

The strike will end when the studios and the union agree on a new contract, and the majority of union members vote to ratify that contract.

And what exactly is Tom Cruise doing?

Tom Cruise — cinema’s greatest cheerleader, savior of movie theaters and lover of popcorn — called in to a June negotiating session to plead a case to both the AMPTP and SAG-AFTRA. His request to the studios? Listen to the concerns of SAG (see above), especially when it comes to the union’s proposals about stunt professionals and the use of generative AI to capture performances. His request to SAG? Let movie stars promote their summer movies, given the fragile state of the theatrical market. He joined the meeting via Zoom, not via parachute.

Katie Kilkenny contributed to this report.

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