Guilds, Unions & RegulationsCollective Bargaining

The 2023 Strikes: AI, Streaming & Residuals

Executive Overview

The 2023 WGA strike (May–September) and SAG-AFTRA strike (July–November) were the first simultaneous Hollywood labor stoppages since 1960 and the most significant entertainment industry labor action in decades. The strikes centered on three interconnected issues: AI provisions restricting unauthorized use of writer work to train AI models and actor likenesses for digital replicas; streaming residual reform demanding data transparency and viewership-based compensation; and minimum staffing requirements for television writers' rooms. The resulting contract gains reshaped guild agreements and set new industry-wide standards.

Why It Matters

The 2023 strikes produced the most significant changes to guild agreements in a generation — changes that affect every entertainment production attorney's daily practice. Understanding what the strikes achieved (and what they didn't) is essential context for advising clients on production compliance, talent negotiations, and AI provisions. The strikes also demonstrated that guild collective action can impose meaningful contractual limits on technology deployment — a precedent that will shape future AI governance negotiations.

Statutory Foundations & Regulatory Framework
WGA MBA 2023 — Article 72 (AI Provisions)

Prohibits studios from using AI to generate material that would otherwise require a WGA writer. Requires disclosure of AI-generated material provided to writers. Prohibits requiring writers to use AI tools or keep AI use confidential.

SAG-AFTRA 2023 TV/Theatrical Contract — AI Rider

Requires informed written consent, daily-rate compensation, and approval rights for digital replicas of performers. Requires studios to provide more granular streaming viewership data.

NLRA § 7 (29 U.S.C. § 157)

Protects employees' rights to engage in concerted activity for mutual aid or protection — the statutory basis for the right to strike.

Major Cases
Industry Impact

The 2023 strikes demonstrated that creative labor can impose meaningful limits on technology deployment through collective bargaining — even without waiting for legislation or litigation. The AI provisions in the 2023 agreements are now templates for individual deal negotiations. Studios are implementing compliance programs for AI disclosure and consent requirements. The strikes also accelerated conversations about streaming data transparency that continue to reshape how residuals are calculated and audited.

Practical Tips
01

Review the 2023 WGA MBA Article 72 and SAG-AFTRA AI Rider carefully before advising on any production that uses AI tools — the provisions are nuanced and non-compliance creates significant grievance exposure.

02

Streaming data transparency provisions from the 2023 agreements give guilds access to viewership data for bonus threshold calculations — ensure production companies have systems to produce this data when requested.

03

Minimum writers' room size requirements from the 2023 WGA agreement are enforceable obligations — budget for full minimum staffing from pre-production.

04

The interim agreements executed during the strike gave some productions permission to continue working — review those agreements carefully if advising on a production that operated during the strike period.

05

Individual deal negotiations above guild minimums should reference the 2023 strike gains as a baseline — talent representatives are using the new minimums as anchors for individual deal negotiations.

Key Takeaways
01

The 2023 strikes produced mandatory AI provisions, improved streaming residuals, minimum writers' room sizes, and data transparency requirements.

02

WGA Article 72 prohibits AI replacement of covered writing work and requires disclosure of AI-generated material provided to writers.

03

SAG-AFTRA's AI Rider requires individualized consent, daily-rate compensation, and approval rights for digital replicas — not just notice.

04

Streaming data transparency provisions give guilds access to viewership data for bonus calculations — productions must be able to produce this data.

05

The 2023 agreements are templates for individual negotiations — talent representatives use the new minimums as anchors.

FAQs
What were the three main issues in the 2023 strikes?

AI provisions (restricting use of AI to replace covered work and requiring consent/compensation for digital replicas), streaming residual reform (data transparency and viewership-based bonus payments), and minimum staffing requirements (minimum writers' room sizes and writing periods for television series).

What did writers win on AI in the 2023 WGA agreement?

WGA writers won: prohibition on using AI to generate material that would otherwise require a WGA writer; mandatory disclosure when AI-generated material is provided to writers; prohibition on requiring writers to use AI tools; and prohibition on requiring writers to keep AI use confidential. The agreement did not prohibit writers from voluntarily using AI tools in their own work.

What did actors win on AI in the 2023 SAG-AFTRA agreement?

SAG-AFTRA members won: informed written consent with individualized description of intended use for any digital replica; compensation at the performer's daily rate for each day the replica is used; approval rights over specific replica deployments; and protections for background actors against unauthorized scanning and replica use.

Resources & External Links