After one of the longest labor crises in Hollywood history, the SAG-AFTRA actors' union has reached a tentative agreement with Hollywood studios to end the strike that has paralyzed the entertainment industry since May. The strike, led by actors and writers, has caused financial strain for studios and the millions of workers indirectly employed in the TV and film industry. The actors joined the picket lines in July, demanding fair pay from streaming services and protections against artificial intelligence technology. This marks the first time since 1960 that both actors and writers have gone on strike simultaneously.

The Writers Guild of America reached a tentative agreement with studios in September, ending their 148-day strike. Now, SAG-AFTRA members will vote on whether to accept their union's deal, which includes substantial gains such as increased compensation for streaming shows and films, improved health care funding, concessions on self-taped auditions, and guarantees against the unauthorized use of their likeness through AI technology. However, the union failed to secure a percentage of streaming service revenue, which it had initially proposed as 2% and later reduced to 1%. Instead, the studios proposed a new residual payment structure based on performance metrics, which the union eventually agreed to.

The negotiations with the Alliance of Motion Picture and Television Producers (AMPTP), which represents major media companies like Disney, Netflix, and Warner Bros., were tense, with the studios initially refusing to negotiate or make counteroffers. However, as the strikes persisted and financial losses mounted for both sides, the studios eventually capitulated and focused on getting the industry back on track. The tentative agreement has been hailed as a significant win for SAG-AFTRA, with the union calling it the "biggest contract-on-contract gains in the history of the union."

While the resolution of the strikes is a relief for the industry, there are concerns about the long-term impact. The streaming revolution and financial pressures from Wall Street have already led to a reduction in the number of TV shows ordered by entertainment companies. Analysts predict that studios will compensate for the costly labor contracts by cutting costs elsewhere, potentially resulting in fewer jobs for actors and writers. Furthermore, the strikes have exposed the pent-up anger and dissatisfaction among industry workers, leading to a resurgence of labor activism. Production workers at Walt Disney Animation and visual-effects workers at Marvel have recently voted to unionize, and negotiations with other Hollywood unions are expected to be contentious.

As the industry prepares to resume full production, there will be a scramble to secure soundstages, stars, writers, and crew members. The strikes have strained relationships between workers and studios, leaving behind bitter feelings and potentially affecting collaboration in the future. Hollywood executives will need to adapt their approach to union negotiations, realizing that labor issues can no longer be brushed aside. The strikes have highlighted the growing power of unions and the need for fair compensation and working conditions in the streaming era.

Overall, while the resolution of the strikes brings temporary relief to Hollywood, the industry now faces the challenge of rebuilding relationships and addressing the underlying issues that led to the labor crises. The coming years will likely see significant changes in the way the industry operates, with potential job cuts and a renewed focus on fair compensation and working conditions.