June 10, 2009 Wednesday
Updated

June 10, 2009
Actors approve new contract
LOS ANGELES - HOLLYWOOD'S biggest actors union approved a new contract with entertainment industry producers on Tuesday, ending a bitter labour dispute that sparked fears of a devastating strike.

The Screen Actors Guild (SAG) said in a statement its members had voted 78 per cent to 22 per cent in favour of a two-year contract deal, which had been drawn up in April after closed door negotiations.

SAG members had been working without a formal contract after failing to agree a new deal with the Alliance of Motion Picture and Television Producers (AMPTP) to replace a previous agreement that expired on June 30 last year.

Multiple attempts to broker a new deal foundered since then, with SAG negotiators seeking greater royalties from sales and showings of work screened on the Internet.

The possibility of a potentially crippling actors' walkout was raised last December, when hardline union leaders announced that a ballot of members would be held to seek authorisation for a strike.

However that announcement was met with anger by moderates within SAG, with Tom Hanks, George Clooney, Robert Redford and Russell Crowe amongst dozens of high-profile names to state their opposition to a possible strike.

The moderate backlash led to SAG's lead negotiator, Mr Doug Allen, being forced out, raising hopes that the new bargaining team could seal a deal.

Hollywood producers welcomed the actors' union approval.

'The ratification vote by SAG members is good news for the entertainment industry,' an AMPTP statement said.

'We look forward to working with SAG members - and with everyone else in our industry - to emerge from today's significant economic challenges with a strong and growing business.' -- AFP

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