A major crisis has been avoided on Broadway, saving an industry that has faced considerable challenges in recent years from yet another potentially devastating blow.
In the early hours of Thursday morning, following an intensive 18-hour negotiating session facilitated by a mediator, the American Federation of Musicians Local 802 announced a tentative agreement with the Broadway League. This crucial breakthrough came just in time, as the union, representing Broadway’s talented musicians, had threatened to strike later that very day if a new contract wasn’t secured.
Robert Suttmann, president of Local 802, shared the exciting news in a statement: “United in solidarity, Local 802 Broadway musicians are thrilled to announce that we reached a tentative agreement at 4:30 a.m. with the Broadway League that will avert a strike scheduled to begin later today.” He added that the three-year deal secures significant raises and improved health benefits, ensuring essential healthcare access for their members, alongside robust contractual protections vital for a stable career on Broadway.
While the union chose not to disclose specific details immediately, pending notification of its members, the Broadway League remained silent on the matter when approached for comment.
This agreement follows closely on the heels of another significant breakthrough: just five days prior, the League also reached a tentative contract with the Actors’ Equity Association, representing performers and stage managers. Details of that agreement, obtained by a major news publication, revealed a 3 percent annual salary increase over a three-year term for actors and stage managers, coupled with a substantial boost in the League’s contributions to their health fund.
Both prominent unions had previously issued strike threats. Although the final contracts still require ratification by their respective members, a widespread disruption now seems highly improbable.
The national council of Actors’ Equity has already given its stamp of approval, recommending the proposed contract for ratification by its members. Voting is set to commence on Friday among the nearly 4,000 eligible Equity members who have graced Broadway stages since 2019.
Next, the musicians’ union executive board will deliberate on whether to endorse their new agreement. If approved, more than 1,200 union members will then cast their votes on the contract.
The prior contract for musicians was an uncharacteristically brief 18-month agreement, expiring on August 31st, while the last Equity contract concluded on September 28th. Simultaneous negotiations for both unions are rare, and this overlapping situation left the industry especially susceptible to a potential shutdown.
A key demand for both unions was increased compensation and more significant contributions from producers towards their members’ health insurance. Both unions have indicated that these demands were successfully met.
Beyond financial matters, a notable point of contention revolved around the increase in absenteeism since the pandemic. Actors’ Equity informed its members that the new agreement introduces a framework for “reasonable escalating consequences” for those with “repeated absences without good and sufficient cause.”
The resolution of these labor disputes is a huge relief for Broadway, an industry already struggling and unable to withstand further interruptions. While attendance figures are finally approaching pre-pandemic highs, soaring production costs continue to plague new musicals, with only three out of 46 new productions since the pandemic managing to turn a profit.
As of the week ending October 19, Broadway was bustling with 32 productions, drawing in an audience of 277,744. Leading the box office was “Hamilton,” enjoying a resurgence thanks to the return of original cast member Leslie Odom Jr. Close behind were “Wicked,” benefiting from its upcoming two-part film adaptation, and Disney’s timeless “The Lion King,” still captivating audiences after 28 successful years.
Historically, Broadway has experienced several strikes, with the most recent major disruption occurring in 2007, when stagehands walked out for 19 days. Musicians last went on strike in 2003, while members of Actors’ Equity Association staged their last strike way back in 1968.