Dismissal Pay

If you find yourself laid off from a job at a Union studio, you may be entitled to Dismissal Pay. The amount you may receive is based off how long you have worked without a break in continuous employment.

For these purposes, a “break in continuous employment” includes voluntary resignation, discharge for cause, absence due to illness/injury in excess of 12 months, and an unauthorized leave of absence. These conditions apply across all Animation Guild contracts. It also includes layoff for more than a certain number of days. For layoff, please review the Dismissal Pay language in the contract you are working under to understand qualifiers for payment as it may be different than the TAG Master Agreement. 

Dismissal Pay Per Contract

  • For Guild members working under The Animation Guild Master Collective Bargaining Agreement (ARTICLE 14), you are eligible for dismissal pay 110 days after you have been laid off. The rate of dismissal pay is determined by how long you worked for your employer. If you have worked:

    • Between 3 – less than 6 months, you shall receive 2 day’s pay
    • Between 6 months – less than 1 year, you shall receive 1 week’s pay
    • 1 year or more of continuous employment, you shall receive 2 weeks’ pay.

    Under the Master Collective Bargaining Agreement, the rate of pay is based off the applicable minimum hourly rate. If you earn between 100% and 150% of the minimum, then you will receive dismissal pay based on your contracted rate of pay in effect on the day of layoff. However, if you earn more than 150% of the minimum, then your dismissal pay rate will be no less than 150% of the applicable minimum, unless you have previously negotiated for a higher rate. This provision only applies to Guild members working under the Master Collective Bargaining Agreement.

    Please note the following in regard to receiving Dismissal Pay:

    • The studios are obligated to automatically pay out Dismissal Pay to members who qualify. Members do not need to request it per the most recent Master Collective Bargaining Agreement contract.
    • Payment is not immediate. Many studios need to process your payment once you qualify, and this could take several weeks. If you do not receive payment at least a month after you qualify, please reach out to your Field Reps through the member contract questions form.

  • Under the Nickelodeon agreement, you are eligible for dismissal pay 90 days after you have been laid off. To receive dismissal pay, you must submit a request to your employer’s HR department once you are eligible. The payment rates are as follows:

    • Between 6 months – less than 1 year, you shall receive 1 week’s pay
    • 1 year or more, you shall receive 2 weeks’ pay

  • Under the Powerhouse Animation agreement, whenever an employee, who has been employed in the series unit on any new project starting on or after January 1, 2025, has been laid off prior to the employee’s scheduled end date, or if the employee has no scheduled end date, they shall be eligible for Dismissal Pay.

    • Between 3 – 6 months, you shall receive 1.25 day’s pay
    • Between 6 months – 1 year, you shall receive 1 week’s pay
    • 1 year or more of continuous employment – you shall receive 2 weeks’ pay

  • Under the Sony Pictures Animation agreement, then you are entitled to Severance Pay, which has its own set of pay rates. You are eligible 90 days after you have been laid off. The payment rates are as follows:

    • After 2 years, you will receive 1 weeks’ pay
    • After 5 years, you will receive 2 weeks’ pay
    • After 7 years, you will receive 3 weeks’ pay
    • After 10 years, you will receive 5 weeks’ pay

  • Under the Titmouse New York/Robin Red Breast agreement, you are eligible for Dismissal Pay 110 days after you have been laid off. The payment rates are as follows:

    • Between 3 – 6 months, you shall receive 1.25 days pay
    • Between 6 months – 1 year, you shall receive 1 week’s pay
    • 1 year or more of continuous employment, you shall receive two weeks’ pay

  • Under the TSL/TTL (Walt Disney Animation Studio) agreement, you are eligible for Dismissal Pay 90 days after you have been laid off. In the most recent contract, the studio no longer requires members to fill out a form to request Dismissal Pay. It is now automatically paid out. The payment rates are as follows:

    • Between 3 – 6 months, you shall receive 2 day’s pay
    • Between 6 months – 1 year, you shall receive 1 week’s pay
    • 1 year or more of continuous employment, you receive 2 weeks’ pay (prior to June 29, 2025)
    • 1 year or more of continuous employment (effective June 29, 2025), you shall receive:
    Years of Continuous Employment Number of Weeks of Dismissal Pay
    1-2 2
    3-5 3
    6-9 4
    10-13 5
    14-17 6
    18-20 7
    21 or more 8

    An employee re-employed after their continuous employment has been broken shall be considered a new employee with respect to Dismissal Pay.

  • Under the WAG (Warner Feature) agreement, you are eligible for dismissal pay 90 days after you have been laid off. To receive dismissal pay, you must submit a request to your employer’s HR department within 120 days of eligibility. The payment rates are as follows:

    • Between 3 – 6 months, you shall receive 1.25 day’s pay
    • Between 6 months – 1 year, you shall receive 1 weeks’ pay
    • 1 year or more, you shall receive 2 weeks’ pay.

When are you not eligible for Dismissal Pay? 

If you get an offer of employment within the following periods, you become ineligible for Dismissal Pay:

  • 110 days from the date of dismissal if you work under the Master Collective Bargaining Agreement or the Titmouse New York/Robin Red Breast agreement.
  • 90 days from the date of dismissal if you work under any of the other agreements.

This means that you receive a formal job offer (including pay, position, start date) and hiring paperwork. Even if the start date is after the Dismissal Pay qualifying period, you are still ineligible. For example, the formal offer of employment is within the 110-day Dismissal Pay qualifying period, but the start date is after those 110 days. 

You are still eligible if you receive an informal job offer. The following are examples:

  • A producer who is looking to crew up a show reaches out to ask if you’re available.
  • You interview for a position but do not get a job offer.
  • You interview for a position, but they formally offer you the job after your qualifying period. For example, you qualify for Dismissal Pay on January 2. You interview on January 1, but they offer you employment on January 3—you still qualify for Dismissal Pay. 

Keep in mind that some agreements do not include the three-to-six months qualifying period for Dismissal Pay, such as Nickelodeon (meaning they only pay if you worked there six months or longer), and some smaller studios have individually negotiated out of their agreement to pay for the three-to-six months period, such as Rough Draft Studios.

Members should review the agreement they’re working under to confirm. Agreements can be found on the Contracts and Wages page. Members should always check with their employer prior to layoff to determine whether Dismissal Pay will automatically be paid or if they have to request it. 

If you find yourself in a position where you do not believe you have received the Dismissal Pay you are entitled to, the Guild encourages you to reach out to your studio’s HR department. If you have any issues receiving your Dismissal Pay, please fill out TAG’s Member Help Form.

For details about how to report Dismissal Pay for unemployment benefits, go to our Filing for Unemployment page.

Note: All terms and conditions reported above are derived from the appropriate contracts. If there is any inconsistency between the information on this page and the contract, the contract supercedes.