Animation Guild reaches tentative deal with Hollywood studios

The union that represents animators has reached a new contract deal with the major Hollywood studios after more than three months of bargaining, securing pay increases and artificial intelligence protections.

The Animation Guild, aka IATSE Local 839, secured a tentative agreement with the Alliance of Motion Picture and Television Producers early Saturday, the union said Monday. The AMPTP represents the studios in labor relations.

The proposed contract now goes to the guild’s membership for ratification.

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Negotiations began in August for a new contract that would increase wages, address the shrinking of crews and establish protections against AI, which many animators see as an existential threat to their craft. Studios are eager to save money amid an industry contraction, and AI tools in animation and special effects offer some obvious opportunities to do so.

The talks took place in a climate of increasing angst among entertainment industry workers who are contending with the studio cost-cutting, consolidation and the outsourcing of production.

An agreement was not reached within the initial five days allotted for bargaining. Negotiations resumed in September, and a deal was locked in after 16 nonconsecutive days of talks.

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The guild touted several gains in the three-year deal, including increases to health and pension funds and wage increases of 7% in the first year, 4% in the second and 3.5% in the third. The pact features AI protections that include notification and consultation provisions; protections for remote work; and the recognition of Juneteenth as a holiday.

“After weeks of negotiations that covered months in the calendar, I am very proud of the agreement that we reached with the studios for our new contract,” Steve Kaplan, business representative for the Animation Guild, said in a statement. “Not only have we seen the inclusion of the advancements in the industry realized by the other Unions and Guilds, but we were able to address industry-specific issues in a meaningful way.”

The Animation Guild was founded in 1952 and represents more than 5,000 artists, technicians, writers and production workers in the animation industry.