That Bill Daniels is leading the Screen Actors Guild into one of the most crucial contract negotiations in the union’s history is a story fit for a Capra movie. Most recognizable for series like St. Elsewhere, Knight Rider (he voiced David Hasselhoff’s car) and for playing Dustin Hoffman’s father in The Graduate, Daniels was a complete union outsider when he became the oldest president the union has had. He immediately led his union through a brutal six-month commercials strike, and in April, dives headlong into negotiations for a new three-year contract with movie and TV producers. SAG feels the last contract, which expires June 30, was woefully short on residuals, and the talks are expected to be contentious. With the more militant Writers Guild also seeking a richer deal, the entertainment industry widely believes that a summer strike is inevitable.

Since becoming SAG president, Daniels has joined the 70% of the union’s unemployed actors, last working when the teen sitcom Boy Meets World ended its run. By summer, Daniels might find that he's commanding his greatest stage, the most challenging role in a long career. He spoke with Mike Fleming about the upcoming labor talks at Art’s Deli, the Hollywood eatery which has become the unofficial SAG war room.

Premiere: There is widespread fear that Hollywood will come to a screeching halt this summer. Do you think your union will be walking a picket line?
Bill Daniels: I’m quite convinced that there is a deal to be made. I’ve felt this way ever since I had a meeting with Lew Wasserman. He said to me, Bill, if people keep talking strike, strike, strike, there’s going to be a strike. He said there is always a deal to be made. Sometimes the industry doesn’t give you enough, and then sometimes they give you too much. But it’s in three year segments and it works out. I’ve had private discussions with people on the other side. The industry feels there is a deal to be made.

Wasserman made deals before studios were owned by huge corporations, and Peter Chernin, who runs Fox for News Corp. actually said a short term strike would be good for business.
You have to understand that Mr. Chernin was speaking to stockholders in New York, explaining a rather lackluster year. So, I think he was reaching for things (laughs). I only gave a certain amount of credence to speculation that Viacom or News Corp. can benefit from this strike. I know none of the CEOs of Warners or Fox wnt a strike. I don’t see why somebody atop Viacom or News Corp. would say, well, I don’t give a damn.

Big stars like Kevin Spacey stepped up to support the commercial actors strike. Will they sit still for a prolonged strike of their own, when the pay’s better than ever?
This union is stronger than it has ever been. They understand that the issues affect them mightily. Not just on this contract, but also on agent relations. I think they will tow the line.

Crystallize the most important issues.
Compensation structure in cable and foreign residuals, jurisdiction in the internet. We need help in the area of runaway production, to legislatively give the kinds of tax breaks the Canadian government gives.

How did you become SAG president? Had you been active in the union?
Not at all. I was asked to come over and meet with commercial actors who wanted desperately to see some changes in the contract, to suggest someone who could head their slate. A candidate for president has to be recognizable. I had that. They needed someone who is independent, who didn’t have an agenda. On an impulse, I said, how about me?

Had you over the years been a regular at union meetings?
I hadn’t been good about that at all. But of course, I have spent about 17 years in episodic television on series, and hadn’t had much time to do anything else.

A lot of people said the gains made in the ad strike didn’t justify the lost wages over six months. How do you feel about that criticism?
It was the most successful negotiation of a commercial contract that we have ever had. The payment for a session fee in cable, which was one of the main issues, went from $1014, which was the maximum for 13 weeks, to $2500 over three years. That was a 140% increase. Past increases were 5% and 10%.

To keep pace with unregulated managers, agents want the ability to rep your clients, while selling themselves to or buying production companies. SAG has dug in its heels. Why?
I’ve spoken to 150 high profile actors and, almost to a man, they agreed that this was a conflict of interest that would forever change the relationship between the actor and agent. On the television series side, 99 7/10% of people we’ve heard from are appalled by this and worry about the connections between the agency and the production company. I don’t see any way the Screen Actors Guild is going to be able to accommodate that without a national referendum.

By comparison, managers can rep clients and produce films. They aren’t supposed to solicit work for clients, negotiate deals, but we all know that many do. Is it fair that agents hands are tied?
No, it isn’t, and we have to address it. They’re breaking California labor laws. We are mounting up a legislative effort to go after this. The problem is, the labor commission will say, we address complaints when they’re made. Well, the actor has to make the complaint, and jeopardizes himself with his manager and career.

Studios say moviemaking has become a lousy business, partly because talent costs are so high. $80 million films bomb with regularity, and studios say those video and foreign residuals are the only buffer to ensure return on investment.
Do you really want me to commiserate with their tears about how they are going broke? That they produce $80 million pictures that flop, I would hope that they would be better producers than that. Don’t come complaining because you picked properties that weren’t worth picking. But foreign residuals, cable, have exploded for them. We just want to share a little of it. They always say they’re getting killed and I have to bite my tongue. I don’t know what the CEOs of these companies take home, but every once in awhile, you’ll read about them.

Is this the hardest job you’ve ever had?
It’s the only job I’ve had like this. I’ve always prided myself in having a career where I never had to go to an office or sit behind a desk, unless I was playing a part that called for that.

Has being a newcomer to union politics been beneficial?
Yes. I hadn’t spent time making relationships in the union which would reflect certain philosophies. That helped me to reach out to the membership that felt out of the loop. It helps that I don’t see this as a career. I’ve heard that this job and its high visibility is not good for an actor’s career. Well, I’ve had my career. I have no worry about being blackballed.

Will you run for another term in the fall?
There’s so much on my plate that I haven’t really given it a lot of thought. Whoever is in this job come November will have a lot more peaceful time the next few years, I can tell you that.