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Latest On WGA Strike: Screen Actors Guild Asks Members To Vote On Strike Authorization

A diverse group of people march across frame holding red, black, and white strike signs. They march under the a dark blue metal gate that reads "Universal Studios" in gold metal lettering.
The picket line for the WGA strike at Universal Studios in Los Angeles on May 10, 2023.
(Ashley Balderrama
/
LAist)
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It’s Day 18 of the Writers Guild of America strike. And the WGA is not alone in taking a strong bargaining stance against film and TV studios and streamers.

The contract between the Screen Actors Guild and the Alliance of Motion Picture and Television Producers doesn’t expire for more than a month, and negotiations don’t even start until June 7. But the board of SAG and the American Federation of Television and Radio Artists has just told its 160,000 members that it wants a strike authorization vote. (Note: some members of the LAist newsroom staff are represented by SAG-AFTRA, although they are not involved with SAG-AFTRA negotiations with AMPTP.)

“The prospect of a strike is not a first option, but a last resort,” Fran Drescher, SAG-AFTRA’s president, said in a statement. “As my dad always says, ‘Better to have and not need than to need and not have!’”

  • If the strike authorization vote passes, then SAG-AFTRA negotiators can call a strike as soon as its current contract expires on June 30. It does not, however, mean a strike is inevitable.
  • The WGA did the same with its members ahead of its contract’s expiring; the thinking is that having a strike authorization vote in the pocket increases negotiating pressure on the AMPTP.
  • “Earning a living as a professional performer has become increasingly difficult, with both inflation and the streaming ecosystem undercutting compensation — all the while, corporate profits and executive pay at studios continue to rise,” SAG/AFTRA said in a statement.

The background: What AMPTP has said

Hollywood producers released a statement on May 4 that addressed specific points of the WGA's concerns. Among the issues addressed by the Alliance of Motion Picture and Television Producers were:

  • "Gig economy" for writers: It says screenwriting has almost nothing in common with standard “gigs" jobs. Writers often have a guarantee of specific weeks or episodes, and writing jobs come with benefits such as employer-paid health care and pension plan contributions.
  • Mandatory staffing and duration of employment: The AMPT sees this essentially as a hiring quota that's "incompatible with the creative nature of our industry", and says it's a one-size-fits-all solution to shows that are each unique.
  • Overall Numbers: The AMTP disputes the WGA's claim that it's only offering $41 million a year in minimum wage increases. It says it's nearer $97 million per year, which doesn't take into account other wage and residual increases it's offered.
  • Wage Increases: It's offering the highest first-year general wage increase in more than 25 years, while also offering to create "an entirely new category of rates that will establish a new and higher floor for mid-level writers’ compensation".
  • Streaming Residuals: A 46% increase in residuals took effect in 2020, and many writers have yet to see these in their paychecks. For a one-hour episode of a Netflix or Amazon Prime series, a writer receives $72,000 in residuals over three years, growing to $114,000 over seven years.
  • Artificial Intelligence: "AI raises hard, important creative and legal questions for everyone. For example, writers want to be able to use this technology as part of their creative process, without changing how credits are determined, which is complicated given AI material can't be copyrighted. So it's something that requires a lot more discussion, which we've committed to doing."

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The background: What the WGA has said

In a statement released the night before the strike, the WGA said:

"Over the course of the negotiation, we explained how the companies' business practices have slashed our compensation and residuals and undermined our working conditions. Our chief negotiator, as well as writers on the committee, made clear to the studios’ labor representatives that we are determined to achieve a new contract with fair pay that reflects the value of our contribution to company success and includes protections to ensure that writing survives as a sustainable profession."

What Else You Should Know

  • It is the first WGA strike in 15 years; the last work stoppage began in November 2007 and lasted 100 days.
  • As of today, no new talks are scheduled.

Why It Matters

The WGA says that most of its nearly 12,000 members are making less than they once did, and that after factoring for inflation, average WGA pay has actually dropped 14% over the last five years.

The union says about half of WGA members are earning scale — the bare minimum wages stipulated by the contract with the AMPTP. Ten years ago, it was only a third.

Executives at studios and streamers maintain that they are still recovering from pandemic losses and have spent billions of dollars creating and buying content for new streaming platforms, some of which are far from profitable.

For Hollywood executives, the stakes are high: if the AMPTP deal for writers increases pay and residual payments, their profit margins could shrink. Furthermore, other Hollywood unions would likely use any WGA gains as the template for their demands; contracts for the Screen Actors Guild and the Directors Guild of America both expire in the coming weeks.

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How is the WGA strike affecting you?

How We're Reporting On This

John Horn, who covers arts and entertainment, has been following negotiations closely. Josie Huang talked to picketers and local businesses affected by the strike. In addition, our AirTalk team has featured the strike in on-air discussions on LAist 89.3 and LAist coverage. Our podcasts HTLA and Retake have also talked to writers and others affected by the strike.

This is a developing story. We fact check everything and rely only on information from credible sources (think fire, police, government officials and reporters on the ground). Sometimes, however, we make mistakes and/or initial reports turn out to be wrong. In all cases, we strive to bring you the most accurate information in real time and will update this story as new information becomes available.

What Questions We're Asking

  • What are the main sticking points in the negotiations?
  • How do the contracts of other Hollywood unions — some of which have no-strike clauses — affect this strike?
  • What's next for your favorite shows.

Learn more

Your Questions Or Ideas

What questions do you have about film, TV, music, or arts and entertainment?
John Horn, entertainment reporter and host of our weekly podcast Retake, explores whether the stories that Hollywood tells about itself really reflect what's going on?

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