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The Writers Guild of America said it supported the shutdown after failing to reach an agreement on a pay increase.
More than 11,000 members of the Writers Guild of America (WGA) is on strikeHollywood is in disarray as the entertainment industry grapples with seismic changes unleashed by the global streaming TV boom.
Here’s information about the strike:
Why are writers on strike?
Writers argue that streaming has negatively affected them, saying they’re working more with less.
They’re seeking better pay for their work on movies, TV and streaming shows, as well as residual pay that rewards writers when a show becomes a hit.
The WGA announced its first work stoppage in 15 years after failing to reach an agreement on higher pay with studios including Walt Disney and Netflix. It represents approximately 11,500 writers in New York, Los Angeles and elsewhere.
Picketing will begin Tuesday afternoon, according to WGA West.
Board of Directors @WGAwest and council @WGAeastIn accordance with the powers vested in them by their membership, a unanimous vote to strike took effect at 12:01am on Tuesday, May 2.
— Writers Guild of America West (@WGAWest) May 2, 2023
What does the studio say?
The Motion Picture and Television Producers Union, a trade group that negotiates union contracts on behalf of major studios and producers, said it was seeking a fair and equitable contract.
On Monday, it said it would offer “generous compensation” to the writers, but the two sides failed to reach an agreement.
Media companies also face a tough economic backdrop.
The conglomerate is under pressure from Wall Street to make its streaming service profitable after investing billions in shows that attract subscribers.
The rise of streaming has led to a decline in TV ad revenue as traditional TV viewers dwindle and advertisers look elsewhere. On top of that, there is also the looming threat of recession in the world’s largest economy.
What is the sticking point?
The union said producers were ready to increase offers for higher wages and residuals but were “unwilling to do so as other proposals that the union continues to insist on remain on the table”.
The main sticking point, it said, was “requiring companies to have a certain number of writers on a show for a certain period of time, whether needed or not”.
The WGA countered that the studio’s response to its proposal was “completely inadequate, given the existential crisis writers face”.
Writers say they have suffered financially during the streaming TV boom, in part because of shorter seasons and fewer remaining fees.
According to WGA statistics, half of TV writers now work at minimum wage, up from a third in 2013-14. Average wages for scribes at the higher writer/producer levels have fallen by 4% over the past decade.
The last WGA strike, in 2007 and 2008, cost the California economy an estimated $2.1 billion as productions shut down and out-of-work writers, actors and producers cut spending.
While our negotiating committee started the process with the aim of striking a fair deal, the studio’s response was utterly inadequate given the existential crisis writers were facing.
— Writers Guild of America West (@WGAWest) May 2, 2023
How can artificial intelligence be a factor?
With the advent of artificial intelligence software, the WGA wants protections in place to prevent studios from using AI to generate new scripts from a writer’s previous work.
Writers also want to make sure they won’t be asked to rewrite draft scripts created by AI.
Which programs will feel the effect?
Late-night talk shows like Jimmy Kimmel Live and The Tonight Show with Jimmy Fallon are expected to go off the air immediately and rerun.
That means the new installment won’t be available on traditional networks, or on streaming services like Hulu and Peacock, which make shows the next day.
Next to be disrupted may be daytime soap operas, as they are traditionally written shortly before filming.
The prime-time comedies and dramas currently airing should be able to wrap up each season without a break — with their coming weeks of episodes already written and filmed.
Jimmy Fallon shares his thoughts on a potential WGA strike:
“If it wasn’t for my writers, I wouldn’t have the show, and I’ve always supported them.”
— Discussing Films (@DiscussingFilm) May 2, 2023
What will happen if the strike continues?
A protracted strike could delay the start of the fall TV season. Writing for fall programs typically begins in May or June.
If the shutdown persists, networks will increasingly fill their programming lineups with unscripted reality shows, newsmagazines and reruns.
Wow. It’s scary. But if we accept what companies are trying to do — low pay, no job security for freelance writing — the future is scarier. You can’t do art like that. Writers generate too much profit for them to accept. So, I’m on strike! https://t.co/1WK88spKEl
– Ashley Nicole Blake (@ashleyn1cole) May 2, 2023
What about streaming services?
Netflix said it can use shows produced outside the United States to offer its service. But if the strike drags on, its US series will suffer.
HBO Max, which changed its name to Max in late May, has been saving shows to release through the rebrand.
Which programs are safe?
News shows will continue as usual because their writers belong to different unions.
The same goes for unscripted reality shows like Big Brother and The Bachelor.
What about movies?
The flow of movies to theaters won’t be immediately impacted because movies take two to three years to make and studios have a pipeline of movies already written and shot.
It would take a long strike to disrupt a film’s release schedule.
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