Broadway’s musicians have reached a tentative labor agreement with commercial producers, narrowly avoiding a strike that could have silenced nearly two dozen musicals.

The American Federation of Musicians Local 802, representing about 1,200 musicians, had threatened to walk off the job if no deal was reached by Thursday morning after mediation began on Wednesday. Early Thursday, the union announced a tentative three-year deal that includes wage increases and higher health fund contributions.

“This agreement provides meaningful wage and health benefit increases that will preserve crucial access to healthcare for our musicians while maintaining strong contract protections,” said AFM Local 802 President Bob Suttmann.

The agreement now awaits member ratification. The deal covers 23 shows, from megahits like Hamilton and The Lion King to new productions such as Queen of Versailles and Chess.

It marks the second Broadway labor settlement in a week, following a similar three-year deal between producers and the Actors’ Equity Association over the weekend. Both unions had been operating under expired contracts.

Broadway’s recovery from the pandemic shutdown has been strong, with the 2024–2025 season earning a record $1.9 billion—surpassing pre-pandemic highs. Unions cited the industry’s robust finances to justify better pay and benefits, while producers warned that higher costs could push up ticket prices.

The last major strike on Broadway occurred in 2007, when a 19-day walkout by stagehands shut down over two dozen shows.

On Wednesday, U.S. Senators Kirsten Gillibrand, Cory Booker, and Andy Kim urged both sides to negotiate in good faith, noting Broadway’s importance to nearly 100,000 jobs and New York’s broader economy.