New Delhi: After months of the strike, Hollywood's writers' union reached a preliminary labour agreement with major studios on Sunday, a deal that is expected to end one of the two strikes that have halted most film and television production costing the California economy billions. The three-year contract still must be approved by the leadership of the Writers Guild of America (WGA,) as well as union members, before it can take effect.
The suggested agreement is in its initial stages. The negotiating committee of the WGA has stated that they will disclose details once they have the final contract wording in hand. Following that, the negotiators will hold a vote to determine whether to recommend the deal to the leadership, who will subsequently decide whether to present it to the members for their vote.
The WGA, which represents 11,500 film and television writers, described the deal as "exceptional" with "meaningful gains and protections for writers."
"This was made possible by the enduring solidarity of WGA members and extraordinary support of our union siblings who joined us on the picket lines for over 146 days," the negotiating committee said in a statement Sunday, as per a report by Reuters.
It is the longest strike to affect Hollywood in decades and has halted most film and TV production. Apart from this, a separate dispute involves actors, who are also on strike.
Billions Lost:
An estimate from Milken Institute economist Kevin Klowden reveals that the writes strike has cost the US economy around $5bn (£4.08m) in California and the other U.S. production hubs of New Mexico, Georgia and New York. Additionally, it has shut down many of America's top shows, including 'The Last of Us', 'Billions', 'Stranger Things', 'The Handmaid's Tale' and many more.
In addition to concerns related to compensation, writers are also apprehensive about the potential replacement of their skills by artificial intelligence.
Negotiations fell apart due to disagreements regarding staffing levels and the royalties that writers earn for successful streaming shows. The complaint is that these residual payments are only a fraction of what they used to earn from traditional broadcast television programs. Traditionally, writers used to receive extra payments when their programs were re-run on broadcast networks. However, the rise of streaming services has disrupted this model.
According to a Reuters report, WGA liaison Caroline Renard said on Sunday, "We stuck it out. This is a union industry, and it's about the people that make the actual product that makes these companies billions of dollars."
As a result, the payments writers now receive typically include a certain sum of money intended to compensate for the royalties they no longer receive from broadcast reruns.
Additionally, the strike has had a widespread impact on various sectors within the entertainment industry, affecting caterers, costume providers, carpenters, and camera operators among others.