SAG-AFTRA Strike Hits Video Games: AI Protections, Pay Demands

The Screen Actors Guild - American Federation of Television and Radio Artists (SAG-AFTRA), representing video game performers, has launched a strike after labor negotiations failed. This strike, initiated on July 26, 2024, centers on demands for AI-related protections, fair pay, and improved working conditions. This is expected to disrupt production and release schedules within the videogame industry, following similar strikes by film and television actors and reflecting growing concerns over AI in entertainment.

The Interactive Media Agreement, which outlines the terms of employment for video game voice actors and motion-capture performers, expired in November 2022. Since then, the agreement has been extended monthly as negotiations continued. Recent talks with major companies, including Activision, Electronic Arts, Epic Games, Take-Two Interactive, Disney Character Voices, and WB Games, have focused on issues such as fair compensation, AI safeguards, and better working conditions.

According to Expert Market Research, the rising demand for immersive gaming experiences is driving companies to integrate AI technology into their games. In Mexico, prominent players in the video game market include Activision Blizzard, Electronic Arts, Microsoft, and Nintendo, with Electronic Arts being a significant contributor to the market, as highlighted by Statista.

SAG-AFTRA’s demands include enforceable contract language to protect performers from AI-related risks. The union has expressed frustration over employers’ reluctance to include clear and enforceable AI protections in the contract, despite reaching agreements on many other issues.

This strike is the second major work stoppage led by SAG-AFTRA, following a similar strike by film and television actors last year. For the first time in 63 years, Hollywood faces simultaneous strikes from both film and video game performers.

In addition to AI protections, SAG-AFTRA is advocating for higher pay, medical insurance, and breaks for motion-capture performers, who use sensors or suits to create character movements. The union argues that compensation for video game performers has not kept pace with inflation.

Despite these demands, some industry experts believe the financial impact of the strike may not justify a prolonged dispute. Michael Pachter, Managing Director, Wedbush, noted that voice acting represents a small fraction of game development costs, which average over US$80 million, with voice acting contributing only about US$500,000. "It just is not worth holding up a game's release to save a few hundred thousand dollars," he said.

Audrey Cooling, a spokesperson for video game producers, expressed disappointment over the strike. "We are disappointed that the union has chosen to walk away when we are so close to a deal, and we remain prepared to resume negotiations. We have already found common ground on 24 out of 25 proposals, including historic wage increases and additional safety provisions," Cooling said. The current offer includes AI protections, requiring consent and fair compensation for all performers.

The full impact of the strike on the videogame industry remains uncertain, with potential disruptions to production schedules and project timelines, reports Reuters.