By Valerie Milano
Los Angeles, CA (The Hollywood Times) 7/17/23 – Hollywood Faces Industrywide Shutdown as SAG-AFTRA Joins Writers Guild in Historic Strike
In a monumental move, the SAG-AFTRA union, representing over 150,000 actors in television and film, has gone on strike, aligning with the 20,000 screenwriters (there are 11,500 screenwriters on actual strike and some crafts, like radio news, are not) from the Writers Guild who initiated the work stoppage back in May. This unprecedented show of solidarity has brought about Hollywood’s first industrywide shutdown in 63 years. While compensation has always been a focal point in labor disputes, the rise of streaming platforms and the challenges posed by the pandemic have compounded the studios’ financial struggles, leaving actors and writers grappling for better pay and enhanced safeguards in an ever-evolving workplace.
From one WGA member: WGA member since 1996, here. The battle between art and commerce has always raged in Hollywood, but I would point out to the overpaid corporate executives that the entire entertainment industry is a creation of its writers, actors and musicians. Literally. Toss them away at your peril.
At the heart of the actors’ and screenwriters’ demands is an insistence on increased residual payments from streaming services. Unlike traditional television series, streaming shows often feature shorter seasons, altering the dynamics of residual checks, which used to provide a steady stream of income for successful actors and writers. Both groups also seek robust protections against the encroachment of artificial intelligence, fearing the potential loss of jobs. The groundbreaking offer was they would pay extras for one day to have their faces and bodies scanned, and then own their AI-generated image to reuse in perpetuity for free.
When President Fran Drescher, renowned for her role in the beloved 1990s sitcom “The Nanny,” announced the strike, she emphasized that the entire business model had been upended. Drescher declared this as a defining moment in history, a moment of truth. She boldly proclaimed, “At some point, you have to say, ‘No, we’re not going to take this anymore.'”
In response, the Alliance of Motion Picture and Television Producers, representing major studios and streaming platforms, claims to have presented a comprehensive offer that includes historic pay and residual increases, as well as improved caps on pension and health contributions. The offer also addresses the union’s concerns by introducing audition protections and groundbreaking proposals regarding artificial intelligence and other benefits.
However, the studios themselves have not been immune to the industry’s tumultuous landscape. With the sluggish return of moviegoers to theaters and the exodus of home viewers from cable and network TV to streaming services, studios have witnessed plummeting share prices and shrinking profit margins. Some companies have been forced to implement layoffs or cancel projects altogether. The actors’ strike further exacerbates an already challenging environment.
Favors Studio talking points. In this “downturn,” executive compensation packages skyrocket:
- David Zaslav, Warner Bros. Discovery Inc.: $498,915,318
- Reed Hastings, Netflix: $209,780,532
- Bob Iger, Walt Disney Co.: $195,092,460
- Ted Sarandos, Netflix: $192,171,581
- Rupert Murdoch, Fox Corp.: $174,929,867
- Lachlan Murdoch, Fox Corp.: $171,359,374
- Joseph Ianniello, Paramount Global: $152,793,125
According to FilmLA, the authority tracking production activity, no scripted TV permits were issued in Los Angeles County during the first two weeks of July. While completed film and TV projects in postproduction are expected to stay on schedule, as they typically don’t involve writers or actors, forthcoming television lineups will inevitably undergo significant changes, beginning with the fall season.
As an example, the ABC fall schedule will feature nightly lineups consisting of popular shows like “Celebrity Wheel of Fortune,” “Dancing With the Stars,” “Judge Steve Harvey,” and repeats of “Abbott Elementary.” Similarly, the Fox broadcast network’s fall lineup will showcase unscripted series such as “Celebrity Name That Tune,” “The Masked Singer,” and “Kitchen Nightmares.”
Beyond the strikes, the entertainment industry faces numerous challenges as it grapples with streaming economics, strives to maintain cultural dominance, and confronts concerns over the future impact of AI technology. Studios have reiterated that the industry upheaval has taken a toll on their operations as well. Consequently, it will take time for filmgoers to notice substantial changes since most movies scheduled for release this year have already been filmed. However, TV viewers are already experiencing the effects of the strike, and if it persists, popular shows may encounter delays in their upcoming seasons. In June, Disney made several adjustments to its theatrical release calendar in response to the ongoing writers’ strike.
Late-night shows are currently airing reruns due to the writers’ strike, and the majority of TV and film productions have either halted or paused production. Prominent shows like “Yellowjackets,” “Severance,” and “Stranger Things” were among those affected when the writers’ strike commenced. It remains uncertain whether their forthcoming seasons will experience delays.
The writers have been picketing for over 70 days, and their union, the Writers Guild of America, has yet to resume negotiations with the studios. The last instance of simultaneous strikes by writers and actors occurred in 1960 when Ronald Reagan held the presidency of the Screen Actors Guild. The writers’ strikes have endured for extended periods in the past, with the 2007 strike lasting 100 days. The actors’ most recent major walkout occurred in 1980 and extended for over three months.
Unfortunately, fans should not expect to see actors like Ryan Gosling endorsing Barbie anytime soon. Union members are prohibited from engaging in promotional activities outlined in their contracts, including tours, appearances, interviews, conventions, fan expos, festivals, panels, premieres, screenings, award shows, junkets, podcast appearances, and social media engagements.
The consequences of this strike are far-reaching, impacting events like San Diego’s Comic-Con and this year’s Outfest Los Angeles Film Festival. Upcoming film festivals in Venice and Toronto could face similar disruptions. The New York premiere of “Oppenheimer,” scheduled for Monday, has already canceled its red carpet event. As for the 75th Emmy Awards, which recently announced its nominations, its future hangs in the balance and may potentially face postponement from the original September 18th date.
Several prominent Hollywood actors have rallied alongside their fellow writers on the picket lines in front of major studios. When not protesting, many writers and actors have found solace at Swingers, a beloved retro diner in Los Angeles that is now a hub for strike participants.