The Writers Guild of America (WGA) announced on Monday that 11,500 unionised screenwriters would strike and all scriptwriting will stop immediately since negotiations with studios and streaming services over compensation and other conditions came to an impasse. 15 years of labour peace in the American entertainment industry have been shattered by this battle over fair pay, which has pitted hundreds of Hollywood writers against major studios like Disney and Paramount and OTT platforms like Netflix, Amazon, and Apple.
The companies’ behaviour has created a gig economy inside a union workforce
The writers’ current contract expired just after midnight on Tuesday, although negotiations between studios and the writers to renew it started in March and were unsuccessful. The guild notified its members that all script writing was to end immediately. The WGA board of directors unanimously decided to call for a strike, which will begin at the stroke of midnight, claiming that writers are going through an “existential crisis.”
“The companies’ behaviour has created a gig economy inside a union workforce, and their immovable stance in this negotiation has betrayed a commitment to further devaluing the profession of writing,” the WGA said in a statement. “From their refusal to guarantee any level of weekly employment in episodic television, to the creation of a ‘day rate’ in comedy variety, to their stonewalling on free work for screenwriters and on AI [artificial intelligence] for all writers, they have closed the door on their labour force and opened the door to writing as an entirely freelance profession. No such deal could ever be contemplated by this membership.”
Depending on how long the strike lasts, the labour issue can impact the production of TV shows and films
The trade group representing studios and production businesses, the Alliance of Motion Picture and Television Producers, hinted on Monday that talks fell short of reaching a settlement before the existing contract’s expiration. The AMPTP claimed to have made a proposal that included “generous increases in writers’ compensation as well as improvements to streaming residuals.” In a statement, the AMPTP said that it was prepared to improve its offer “but was unwilling to do so because of the magnitude of other proposals still on the table that the guild continues to insist upon”.
Depending on how long the strike lasts, the labour issue can impact the production of TV shows and films. But given the depth of the disagreement, a shutdown has been widely anticipated for months. With 98% of the membership voting in favour, the writers easily approved a strike last month.