Canadian Actors’ Equity Association is conducting a referendum of its membership to approve two staggered dues increases and a Dues Credit Initiative that will help the Association maintain and improve its member services for years to come.
The referendum question will ask you to approve a new sustainability plan that includes:
- a $20 increase in annual Basic Dues, effective May 2025, and
- a subsequent increase of $12 in annual Basic Dues, effective May 2028
The sustainability plan also includes a Dues Credit Initiative which will give qualifying members a credit towards their dues if Equity has a strong financial year.
The Equity dues referendum runs from August 6 to August 22. Only members in good standing will receive a ballot and be eligible to vote.
Ballots including voting instructions and special voting links are sent via email and/or text message by our voting service, ElectionBuddy. Please check your spam folder if you cannot find your electronic ballot. If you believe you are eligible to vote and have not received a ballot, please contact communications@caea.com.
To view the FAQ as a PDF, click here
What do my dues contribute to?
Equity is almost entirely funded by member dues – which sustain the operation of the Association and its services. Those services include the negotiation (and re-negotiation) and administering of 12 collective agreements and 7 engagement policies on nearly 2,000 productions each year.
Equity is also committed to federal advocacy to improve the working lives of live performance artists. Lobbying is often more about trying (for years) than succeeding, but it’s worth noting that it was the joint advocacy of Equity and other arts organizations that convinced the federal government to make gig economy workers eligible for CERB and CRB throughout the pandemic. It’s also worth noting that when the shutdown occurred, Equity pursued and collected over $4 million in earnings from cancelled contracts for members.
As the industry reopened, our joint advocacy work resulted in the creation of the Canada Performing Arts Workers Resilience Fund (CPAWRF), which ultimately delivered $4.2 million in direct financial assistance to 1917 Equity members, in addition to providing a short-term mental health and wellness program and 15 professional development workshops and seminars that were well attended and greatly reviewed in our feedback surveys.
Member dues also contribute to the work of Equity’s many Council Committees which provide resources and develop initiatives to support the membership. These include guides and tip sheets, workshops, materials for the Not in OUR Space! program, and much more. Subscribe to Equity News to learn more about what your Council and Association are working on!
Finally, member dues support the essential elements of running a national organization, such as IT infrastructure, administrative staff, and more.
If you have more questions about Equity’s finances, please watch Director of Finance & Administration, Marion (Maz) Magoris, CPA, CMA’s NAGM Financial Report or check out Equity’s Audited Financial Statements.
Why is a dues increase needed at this time?
Equity has not had an increase in Basic Dues since 2014. At the time, we made a promise to only revisit the discussion of a dues increase after 6 years. This happened to coincide with the pandemic, which made any thought of a dues referendum not just unfeasible, but unreasonable. So, a dues increase didn’t happen. But it needs to happen now.
During the past 10 years, compounded inflation has risen 26%, and fees in our most significant collective agreement – the CTA – have risen 25%, while Basic Dues have not changed. Adjusted for inflation, $180 is now worth $143.37. And had the dues been increased over the past decade based on the rate of inflation, they would now be $225.99.
Why is the increase only effective May 2025?
Although there is a Basic Dues billing period on November 1, 2024, we felt that any increase in Basic Dues should give members time to prepare for an adjustment.
Why is there a second increase in another three years?
As you can see, while a $20 increase in Basic Dues will certainly get us closer to a rate comparable with inflation, it is still considerably less than what’s required. A $12 increase in 2028 is a proactive way to ensure we can continue to maintain our member services for years to come.
Why not ask for the increase all at once?
Because that’s a lot to ask! The idea behind this referendum is to present a forward-looking plan that considers the financial impact it will have on members.
What’s the Dues Credit Initiative?
In its simplest terms, the Dues Credit Initiative is a way to give back to members if the Association has a strong financial year. This is how it would work: Members pay their Basic Dues. At the end of the fiscal year, if there is a significant surplus, that surplus is shared with eligible members in the form of a credit towards next year’s Basic Dues.
What’s a “significant surplus”?
A surplus is the amount remaining after all expenses have been paid from each year's revenue. A significant surplus would be if expenses were paid, major projects were covered, the Stabilization Fund was fully funded, and Equity’s reserves got an investment. Then 50% of the remaining surplus would then be shared by eligible members in the form of a credit towards next year’s Basic Dues.
Let’s look at some examples* of the Dues Credit Initiative in action…
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Scenario 1
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Scenario 2
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Scenario 3
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Revenue
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$4,100,000
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$4,000,000
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$3,900,000
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Expenses
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$3,950,000
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$3,950,000
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$3,950,000
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Surplus or Deficit
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$150,000
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$50,000
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-$50,000
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Equity Reserves (1% of revenue)
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$41,000
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$40,000
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n/a
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Stabilization Fund top up (if needed)
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n/a
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n/a
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n/a
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Major Project Budget (if needed)
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n/a
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n/a
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n/a
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Remaining Surplus
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$109,000
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$10,000
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n/a
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Surplus available for distribution (50%)
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$54,500
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$5,000
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n/a
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Eligible Dues Credit Members
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4,300
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4,300
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4,300
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Member Dues Credit Amount
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$12.67
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$1.16
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$0.00
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* The above scenarios are theoretical but represent a range of typical financial outcomes, presented to illustrate how the Dues Credit Initiative would be calculated.
What are Equity Reserves?
In surplus years, Equity will invest 1% of the total revenue as a means of further protecting the sustainability of the Association. This is to cover any potential years where we are in a deficit.
What is the Stabilization Fund top up?
The Stabilization Fund, created by Equity Council nearly 40 years ago, is the “rainy day fund” that the Association can draw on in times of great need – the pandemic being a recent example (and thank goodness we had it!). Council Policies mandate that the Stabilization Fund be kept at a prescribed percentage of overall expenses, so a top up may be necessary if expenses have risen considerably or if money has been taken out of the Fund.
What is the Major Project Budget?
The Major Project Budget is an amount the Association might need to earmark for a specific initiative which carries a high cost – for example, technological upgrades to improve member services.
What makes a member “eligible”?
Members are eligible to share in the Dues Credit surplus (and get a credit) if they have paid both dues billing periods in the fiscal year on time (within three months of each invoice).
When would the Dues Credit Initiative come into effect?
The Dues Credit Initiative, just like the first dues increase, would come into effect May 2025. That means that the first assessment of Equity’s surplus (if there is one) would be for the 2025-2026 fiscal year, and the first potential credit to members’ dues would be November 2026 after the financial audit for fiscal year 2025-2026 is complete and approved by the membership at the NAGM.
Why ask for an increase in Basic Dues when you’re introducing a plan to give members a credit towards their dues?
An increase in Basic Dues is overdue and is necessary to maintain member services and ensure a stable financial future for the Association. Having said that, our industry is often wildly unpredictable – making the Association’s revenue difficult to predict as well. The Dues Credit Initiative offers Equity the flexibility to acknowledge years where revenue exceeds our needs and to give some of that money back to members.
What percentage is required to pass this referendum?
As stated in the Bylaws, all amendments relating to dues require 66.6% of the voting membership to pass.
Please watch for the launch of this important referendum. As members did in 2014 in passing a much-needed dues increase and as members did in the 1980s when creating the Stabilization Fund, this is our opportunity to ensure the future of our Association.