SAG-AFTRA announced on Thursday that it would go on strike at midnight following the failure of contract negotiations with Hollywood film studios.

After last-minute negotiations with the Alliance of Motion Picture and Television Producers failed on Wednesday, just hours before their contract expiration, the union, which includes Hollywood’s biggest names, announced a strike.

At a Thursday press conference, Executive Director Duncan Crabtree-Ireland stated that the SAG-AFTRA national board unanimously voted in favor of issuing a strike against the studios because the AMPTP refused to make a fair offer on issues vital to protecting the livelihoods and careers of working actors.

The union has argued that inflation has also lowered wages. The union claims that inflation has also led to lower wages.

The union is also concerned about artificial intelligence and has sought to stop its use without the consent of actors.

The union also wants to see an increase in pension and health fund support, as well as the end of “self-taped” auditions. This practice is becoming more commonplace. Previously studios were responsible for this.

“Despite the efforts of our team, the AMPTP is still committed to undervaluing the work done by our members. Crabtree Ireland said that actors deserve contracts that reflect the changes in the industry.

He added, “Unfortunately the current streaming model undercut performers’ residual earnings and high inflation further reduced our member’s ability to make ends meet.” “We have proposed contract modifications that address these issues but the MPTP is not interested in our proposals.”

The picket line outside major studios will include actors, TV, and film writers. Since May, the Writers Guild of America is on strike for similar demands. Both unions are now going on strike at the same time for the first since 1960.

In a vote held last month, 98% of the members of the acting union authorized a strike. The union leadership approved the action at a meeting on Thursday.

Only union members who work in TV and film studios will be affected by the strike. The strike will not affect members working in audiobooks, broadcast news, or commercial production.

Fran Drescher, SAG-AFTRA president, said: “We are the victims here.” “We are victims in this case. A very greedy entity is victimizing us.” “I am shocked at the way that the people with whom we do business treat us.”

Drescher, an actor himself, said that studio offers were “insulting”, and that due to streaming, the business model for the previous union contract had to be changed.

“We won’t keep making incremental changes to a contract which no longer reflects what is going on right now, with this business model we were forced into.” “What are we doing? Moving furniture around on the Titanic.” She said, “It’s crazy.”

The jig’s up, AMPTP. We are proud. Wake up and smell that coffee. We demand that our contributions be recognized and that we are respected. “You share the wealth because without us you would not exist,” she said.

The movie industry will come to a standstill if there is a strike. There won’t be any actors filming new productions and no writers planning future ones.

Disney CEO Bob Iger said in an interview with CNBC on Thursday that a strike by actors would have “huge collateral damage.”

He said: “There is a level that they expect that’s just not realistic. They are adding to the challenges that our business faces, which is, quite frankly, disruptive.”

The last SAG/AFTRA strike took place in 1980 and lasted for more than three months.