SAG-AFTRA Compliance: Understanding Regulations Under the Commercials Contract
Hiring SAG-AFTRA talent for any commercial production ensures access to top-tier union performers. SAG-AFTRA, a respected film union, prioritizes the well-being and rights of its members, advocating for fair wages, optimal working conditions and comprehensive health benefits through negotiated agreements. Collaborating with the union requires you to enter into contracts with performers, each governed by specific regulations and standards.
The intricacies of the SAG-AFTRA Commercial Contract reveals a set of rules and working guidelines that all productions must comply with in order to sidestep potential issues or financial penalties. Familiarizing yourself with SAG-AFTRA regulations is essential for ensuring a smooth and seamless production process.
But understanding the intricacies of the contract can take years of expertise to understand. That’s why we’re here to help simplify the regulations, to ensure you can work with SAG scale talent seamlessly. Read on for what you need to know about complying with the SAG-AFTRA Commercials Contract.
Principal vs. Extra: Defining Roles and Criteria
Under the SAG-AFTRA Commercials Contract, you are required to define the types of roles your scale talent fits under to ensure proper contracting. Differentiating between a principal talent and an extra is crucial, especially since both appear on screen. A clear understanding of the criteria for each role is essential in determining the appropriate pay rates. Let’s explore the specifics of each role and the factors that distinguish each performer.
Principal Actors
Typically, a principal actor is defined as someone who delivers speaking dialogue on screen. However, under the SAG-AFTRA’s Commercials Contract, the classification of principal talent may also include performers who do not speak on screen. Here, we outline the various classifications of principal talent.
Individuals who are visible on screen and deliver a line of dialogue, regardless of whether their facial expressions are silent or they appear stationary camera shot, while being associated with the product or service, are considered principal actors.
Stunt performers can also be categorized as principals if they execute an identifiable stunt that involves a reaction to the product or service being advertised, even if they themselves are not identifiable. This criteria extends to stunt drivers as well.
Principal talent encompasses those featured in “stop action,” “squeeze action,” or still photographs, along with puppeteers, pilots whose actions showcase a product or service or respond to the commercial message, and groups of dancers or singers.
Extras
Background actors, also known as extras, do not have speaking dialogue on screen but play a crucial role in adding authenticity to your upcoming commercial. Below, we outline different classifications for extras.
Extra performers or background actors that are non-identifiable within frames.
Body doubles that are non-identifiable, doubling for an on camera performer (OCP).
Stand-Ins, performers standing in for a principal performer as they are not actually captured on-camera.
Hand models are also considered as extras as only their body parts are visible on screen.
Special terms and conditions for payment
Each performer’s contract varies, and the SAG-AFTRA Commercials Contract is designed to accommodate various scenarios. Below, we highlight special payment terms and conditions you may come across for your upcoming commercial.
If a performer takes on multiple roles listed above, they will receive payment for each role per shot per day.
Extras are not eligible residuals. Typically, an unlimited use rate is estimated and paid for each role mentioned . Additionally, there’s an option for 13-week use rate and extended use beyond 13 weeks.
Downgrading & Outgrading: Rights and Notification
Changes in the production plans are common, and this may involve alterations to the original roles and classification of your scale talent performers. Under the SAG-AFTRA Commercial Contract, there are provisions for commercial downgrade and outgrade, indicating a change in a performer’s classification within the production. Below, let’s explore the classification of each category in detail.
Downgrading
If a performer is engaged as a principal performer but their face does not remain in the commercial, the principal performer shall be notified of such downgrading within 60 days after the completion of their employment or no later than 15 days after the first use of the commercial. They are also due one session fee for the downgrading.
Outgrading
If a principal performer is not used in a commercial or is subsequently edited out of a commercial entirely, the principal performer would need to be notified in writing of their outgrade. No additional fees or residuals are paid to an outgraded performer.
Maximum Period of Use (MPU) and Usage Rates
Producers have the option to film multiple commercials for the same product, service or advertiser during a single session, typically for a single session fee that may not include individual credits. The maximum period of use (MPU) of any commercial is 21 months, starting from the earliest of the commercial’s first use or 13 weeks following the last production day.
When incorporating commercial footage into different commercials, the MPU is limited to the same timeframe as the original commercial, unless the performer's consent for extended use.
Upon the expiry of the MPU, performers are no longer bound to the commercial. To reinstate the commercial for extended use, both producer and performer must negotiate terms for renewal of use, and the performer must sign a deal memo or contract outlining the terms and conditions clearly.
Residuals
Under the SAG-AFTRA Commercials Contract, residuals are compensated to principal actors in addition to their daily wages. Calculating residuals will vary for each principal talent as it takes into account a number of factors such as:
Where the commercial will live
How long will the commercial live on air
Role of the performer
Compensation and Benefits
Within the SAG-AFTRA Commercials Contract there are several compensation components every producer should be aware of to ensure they comply with SAG-AFTRA’s terms and conditions. Here, we detail some of these compensation elements and their components.
Session Fees
The monetary compensation for principal performers and background talent varies in accordance with the job function and criteria enumerated in the 2022 SAG-AFTRA Commercials Contract "New Structure Rates," which went into effect on June 1, 2022.
Wardrobe fitting
Fittings conducted on the same day as work are regarded as art of work-time. However, fittings scheduled on a day preceding work are compensated at a minimum of 1 hour. Any additional time beyond that is paid in 15-minute increments.
Wardrobe allowance
Performers who provide their own clothing during rehearsal or production will receive an allowance fee of $20.36 for every-day wear and $33.91 for evening wear.
Casting and auditions
If a performer is required to stay for more than 1 hour at either a 1st or 2nd audition, they will be compensated for all the time spent at straight time, calculated in 1 ½ hour units. A 3rd audition must not be less than 2 hours, and the performer will be paid a minimum fee for such time.
Working Conditions and Additional Provisions
Finally, within the SAG-AFTRA Commercials Contract, there are additional working conditions and provisions that producers and advertisers should acquaint themselves with to adhere to the union’s terms and regulations. Below, we outline several working conditions and provisions you should be aware of for your next commercial.
Meal periods
Allowable meal periods are not considered as part of the work time. The first meal shall begin within 6 hours following the first call time of the day. Additional meal periods shall commence within 6 hours after the previous meal period. Each meal period should be at least 30 minutes and no more than one hour in duration.
Rehearsal Time
Rehearsals conducted on non-production days are considered part of the work time, and performers shall be compensated with the applicable session fee.
Night Work
Work conducted between 8:00 PM and 6:00 AM incurs a premium. Principal performers receive a 10% premium during this period. Extras, on the other hand, receive a 10% premium from 8:00 PM to 1:00 AM and a 20% between 1:00 AM and 6:00 AM.
Weekend Work
Work on Saturdays and Sundays are compensated at double the regular rate.
Work on Holidays
Work on holidays, including New Year’s Day, MLK Day, President’s Day, Memorial Day, Fourth of July, Labor Day, Veterans Day, Thanksgiving, and Christmas, is compensated at double the regular rate.
Rest Period
Performers are entitled to a 12-hour consecutive rest period from the time of set dismissal to the first call time thereafter.
Travel Time
Travel time on weekends and holidays is compensated at time and one-half. On days where no services are provided, performers receive a full session fee for an 8-hour day. However, on days where services are rendered, performers are paid a small fee for each quarter hour if the time exceeds the 8-hour workday.
Hazardous Work
Performers who engage in hazardous work, such as working in smoke, dust, snow or wet conditions, are entitled to a fee of $53.25.
Extras Agency Fees
If the extra is represented by an agent, agency commission shall be included in the compensation paid to the performer. The commission percentage is generally 10-20%.
Employment of Minors
A minor is defined as anyone under the age of 18. The parents of minors are responsible for obtaining the appropriate documents required by state and local law related to the employment of the minor, including a work permit and a Coogan Account. Work hours vary depending on the minor’s age.
Conclusion: Navigating SAG-AFTRA Regulations for Commercial Success
In summary, understanding the key points of SAG rules and working conditions is essential for ensuring performers’ rights and fair treatment within the industry. By upholding these standards, producers and advertisers can ensure they maintain compliance with SAG-AFTRA regulations.
Still need help navigating SAG-AFTRA’s Commercials Contract?
As a third-party signatory to the SAG-AFTRA Commercials, Corporate, Educational / Industrial & Interactive Media contracts, CMS Productions is happy to assist you hire the best talent for your next commercial film. Contact us today to set up a consultation.