Animation Guild Warns of 'Significant Gaps' in Studio Negotiations as Tense Talks Continue This Week!

With what the Hollywood animation union refers to as “significant gaps” still present between proposals from both sides, major studios will resume negotiations with guild leaders this week to secure a new three-year agreement.

The crowd at the pre-negotiations Animation Guild rally at IATSE Local 80 in Burbank on August 10. Tim Sullens

The Animation Guild shared in an update on Friday that while there has been some progress in reaching a deal, the disparities between the two parties will require additional negotiation days. A union representative informed Reporter that they are preparing a response to the most recent proposal from management.

Meanwhile, the union's contract, which initially expired on July 31, has been extended to November 1, giving both sides more time to finalize an agreement. “The Negotiations Committee has been consistently and tirelessly working to push the animation studios to acknowledge and address the key priorities our members have identified for change,” said the union’s business representative, Steve Kaplan, in a statement.

“Although the progress has been steady and slower than we would prefer, it’s still moving forward. I’m eager to continue working with the committee and pressuring the studios to take the necessary steps to finalize a deal for the next three years.”

The Alliance of Motion Picture and Television Producers (AMPTP), which represents management in these negotiations, has been contacted by Reporter for comment. The AMPTP is balancing ongoing talks with casting directors, which are set to proceed on Monday and Tuesday, as well as negotiations with animation workers this week.

As the first Animation Guild contract to address generative AI, this upcoming agreement is expected to be highly consequential for those in the animation industry. The union has framed this year’s talks as a pivotal moment for the future of animation.

A union-commissioned study conducted earlier this year by an economics consulting firm surveyed industry leaders, revealing that 29 percent of animation roles could be impacted by AI within the next three years.

A subsequent report from the union’s AI task force indicated that entry-level positions are particularly vulnerable to disruption or replacement.

During the second week of discussions, the parties addressed AI proposals, concerns specific to certain crafts, subcontracting, wages, benefits, and the contract’s streaming provisions.

Negotiations between the union and the Alliance of Motion Picture and Television Producers started on August 12, with talks pausing on August 16 before resuming last week. The union has scheduled a general membership meeting on Tuesday to update members on the state of the negotiations.

“As we continue these discussions, it’s vital that we stay focused on what matters most: protecting our members’ livelihoods and ensuring the animation industry remains strong,” said guild president Jeanette Moreno King in a statement.

“By tackling key issues like job security, fair wages, and the responsible use of AI, we are not only advocating for our current needs but also securing the future of animation for generations to come.”

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