2025 Commercials Contracts

• The contracts contain expansive  and groundbreaking A.I. terms. While you may recognize a lot of concepts that have underpinned SAG-AFTRA’s work in other agreements, such as consent, control and compensation, these agreements build upon those prior gains to take us further in protecting union performers and ensuring the appropriate use of A.I. Under the new agreements, digital replicas have a broad definition, protective rules and a fair price tag. We secured language that performer consent is mandatory before any digital replica is created and informed consent is required prior to use, including the requirement that companies provide a reasonably specific description for how a replica will be used. And your digital replica gets paid! Use of a digital replica to generate a performance triggers a 1.5x session fee, plus full applicable holding and use fees. We secured provisions that ensure a level playing field in generative A.I. and removed economic advantages for the use of synthetic performers. And performers’ data can’t be used to train A.I. without union consent.

• The MPU applicable to the commercial for which the performer was engaged when they consented to the creation and use of the digital replica applies. The terms do allow producers to seek performer consent to use the digital replica to create performers in commercials in which the performer has not yet been engaged, and, if the performer does consent, such use constitutes engagement on those new commercials. In that circumstance, the MPU of those commercials is either the MPU of the original commercial for which the producer engaged the performer or six months, whichever is the longer.

• The contract requires that producers limit access to digital replicas and use commercially reasonable efforts to protect the security of any digital replicas. Further, if a producer wishes to keep a digital replica after the MPU of the last commercial for which it was used, they must obtain the performer’s consent, and if they have not obtained that consent, the digital replica must be destroyed.

• Wage increases compound with one another under the SAG-AFTRA Commercials Contract and Audio Commercials Contract. Whereas typically these contracts include an initial upfront wage increase, the 2025 Contracts include three annual increases that are each multiplied by the prior year’s rate. This means that by year two of the contract, the two increases of 5% and 4% yield an effective increase from the 2022 rates of 9.2%. By the third year of the contract, the additional 3% increase yields an effective increase of 12.476% above the 2022 rates.

• The annual increases begin on April 1 of each indicated year.

• Historically, the Commercials Contracts have garnered a one-time upfront increase. In 2022, the increase was divided into two, approximately three months apart. For the 2025 Commercials Contracts, we succeeded in obtaining increases during each year of the three- year contract as follows: 
  • Year one: A 5% increase to wages and use fees.
  • Year two: A 4% increase to wages and use fees. 
  • Year three: A 3% increase to wages and use fees. 
• With compounding factored in, the overall gains equal 12.5% over the three-year period.

• We gained a 3.5% increase to the contribution rate, going from 20.5% to 23.5%. JPC authorizer companies receive a waiver, which reduces their rate to 19.95%. 

• It stands for the Digital Transition Impact Mitigation Fund. This fund was created during the 2022 Commercials Contract negotiations in an attempt to lessen the financial impact from the shift in earnings from linear to streaming.

• In 2025, we leveraged a 0.05% increase to the DTIMF. This will result in 0.25% of all commercials benefit plan contributions going to the fund.

• Under the terms of the 2025 Commercials Contract, the MPU of a commercial is now 24 months, beginning 10 working days after the first day of on-camera production. This will ensure that all performers can easily determine when holding fees may be due.

• Nothing has changed with Class A. We were able to maintain the structure created in 2022, which establishes a pay per use rate with a 13-week cycle cap.

• The 2025 Commercials Contracts bring with them enhanced protections for minor performers addressing set safety, education, and artificial intelligence. Background checks are now mandatory for any teacher/welfare worker, etc. who are overseeing minors, now defined as anyone 17 years and younger.  

• Traditional Digital now covers use on social media, websites, and YouTube.com channels. We achieved a carve-out of commercial use on Traditional Digital with Paid YouTube as a premium use type. The higher rate for paid YouTube use addresses the increasing use of commercials as pre-roll, mid-roll and other paid media use on the platform.

• The editing provisions remain essentially the same as from 2022 with some minor edits.  We have solidified that a principal performer who is asked to perform scripted alternate lines and/or scenes receives an additional session fee that may not be credited. Additionally, on-camera principal performers in Spanish-language and English-language commercials receive two session fees as well as two sets of residuals.

• If a principal performer is asked to perform prescripted alternate scenes and lines, one additional session fee will be due. This session fee may not be credited against use.  Additionally, the content created may be used to create edits of the original commercial. An extra performer who records alternate scenes will receive one session fee for the use of the content in a commercial.

• The 2025 contract achieves the removal  of the 13-week session rate for extra performers, meaning that all extra performers will now be compensated under the unlimited use rate.

• For both principal performers and extra performers, we achieved not only an increase in allowances, adjustments and fees consistent with the overall increase in the 2025 Contract, but we have also indexed these provisions to the overall increases gained in our future contract negotiations.

• The union achieved outsized gains to streaming platforms, netting a 30% increase over the 2022 rates. This means that under the 2025 Commercials Contract, a 52-week use cycle on streaming will now pay on-camera principals $10,000. 

• Under the 2025 Commercials Contract, we have clarified that on-camera principal performers working on a commercial for the general market and the same commercial in the Spanish market are paid session, holding fees and use for both spots.

• The non-air/demo rate for singers, including solo/duo and groups, has been adjusted to match the off-camera rate structure.

• Dancers now earn a 25% session premium when they are required to lip-synch while dancing. 

• The rules put in place regarding self-tapes for dancers provide that the producer shall supply any required music or sound, and that the specific choreography they are requested to perform does not exceed four eight-beat counts, can be performed in an 8x8x8 space and must be a solo performance.

• Under the 2025 Commercials Contract, all session fees may be applied to all use types. However, holding fees may not be applied to Traditional Digital and/or Traditional Digital with Paid YouTube unless and until linear and/or streaming use is purchased.

• Disability accommodations must be offered in writing at the time of engagement.

• Producers must use commercially reasonable efforts to provide principal and extra performers their full contracts, including any riders and addendum, 24 hours in advance of their first work day.

• Building on our gains in 2022, in addition to the production being required to provide qualified hair stylists and makeup artists, they must now use commercially reasonable efforts to provide the performer with contact information for the stylist/artist. The information is to be provided 24 hours in advance of the work day and is to allow the performer an opportunity to consult with the stylist/artist.

• Principal performers now receive the same payment that extra performers receive if they use their own hairpiece or are asked to do their own hair in a period style.

• Under the 2025 Audio Commercials Contract, we achieved the same 5%, 4% and 3% overall wage increases. Additionally, internet and new media were merged to create two new categories of use: Traditional Digital which covers use of an audio commercial on social media and websites; and Digital Plus: a higher-paying category which covers the use of an audio commercial on music streaming platforms such as YouTube Music, Spotify and Pandora, in addition to Traditional Digital. We will continue to offer the Audio Flex, formerly known as the Audio Alternate Compensation Structure. Additionally, the new A.I. terms and protections for minors are also applicable to the Audio Commercials Contract.

• Principal session payments are due 15 business days after the work day(s). This language has been updated for clarity that all payments related to session, including wardrobe, meal penalties, travel, etc. are also due 15 business days after the work day(s). This new language was not necessary under the extra provisions, as this requirement already existed under Schedule D.

• Under the new terms of the 2025 Commercials Contract, after the initial 25 business days of late fees is exhausted, the second tier of liquidated damages for late payment will begin accrue without pause after the 25th business day. 

• The new language establishes that performers who are nursing will be provided breaks and an area that is not a bathroom for lactation pump needs.

• The Audio Contract now eliminates the made-for/move-over internet/new media payment structure. Two use categories have been created to address this type of use. Traditional Digital, which covers social media and websites, and Digital Plus, which includes streaming platforms (YouTube Music, Spotify, Pandora) as well as Traditional Digital. Session fees may not be credited against either use type.

• The ACS, which was created in 2019, remains with a new name: Audio Flex! The new name reflects the flexibility and ease of use that it provides. The rates do receive the wage increases, and the terms have remained the same.

• As an Extra Zone, extra performers who work on union commercials in Austin, Texas will now be covered under the Commercials Contract.  This means that  all the terms and conditions of the contract apply, including being protected by the union contract and  paid union rates.

• In this negotiation cycle, we have established that a producer will use commercially reasonable efforts to engage an intimacy coordinator when there is nudity, partial nudity, simulated sex acts, and/or passionate kissing on a commercial set. The producer will also consider in good fatih any request for an intimacy coordinator for other scenes. And you cannot be retaliated against for asking.

• Chicago has returned as a major market for Wild Spot.

• All eligible members were mailed postcards on April 30, 2025 with a PIN number and instructions on how to vote online or how to request a paper ballot. If necessary, you can retrieve your PIN number at the voting website  ivsballot.com/commercials2025 by clicking “Find My PIN”. Ballots – whether submitted online or by mail – must be received by 5 p.m. PDT on Wednesday, May 21, 2025. 

• All eligible members were mailed a postcard on April 30, 2025 with instructions and a PIN number on how to vote online or how to request a paper ballot. If necessary, you can retrieve your PIN number at the voting website, http://vote.ivsballot.com/commercials2025 by clicking “Find My PIN”. Ballots – whether submitted online or by mail – must be received by 5 p.m. PDT on Wednesday, May 21, 2025.

• Yes. Visit sagaftra.org/commercials2025 for RSVP information.  Informational meetings will take place online for members across the country at the following times:
  • Thursday, May 1, at 2 – 5 p.m. PT / 3 – 6 p.m. MT / 4 – 7 p.m. CT / 5 – 8 p.m. ET
  • Monday, May 5, at 6 – 9 p.m. PT / 7 – 10 p.m. MT / 8 – 11 p.m. CT / 9 – Midnight ET
  • Tuesday, May 6, at 12 – 3 p.m / 1 – 4 p.m. MT / 2 – 5 p.m. CT / 3 – 6 p.m. ET
  • Friday, May 9, at 2 – 5 p.m. / 3 – 6 p.m. MT / 4 – 7 p.m. CT / 5 – 8 p.m. ET

• For additional questions, email commercials2025@sagaftra.org or call the contract hotline at (323) 549-6653.

Yes, there are new changes to how Performers are compensated for use on cable networks, all of which allow for more flexibility in using our Contract.
 
Our Single Cable Network rate now lets Producers purchase four- or 13-week, or 1-year use period at a flat rate FOR USE on a single cable network (minus several of the high-value networks). 

We've also codified and expanded our Local Cable terms by adding a tier of 2M+ - 3M subscribers. This new tier is designed to assist Producers who wish to use their commercials in small cable markets.