WGA strike effects could ripple worldwide

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Mumbai: The Writers Guild of America (WGA), has voted overwhelmingly to authorize a strike if no new labor agreement is reached by 1 May. The WGA represents writers for movies, television and streaming services and a potential strike could bring the production of many shows and films to a halt affecting audiences worldwide.

The vote showed an overwhelming majority, with 97.9 per cent of participating union members voting to approve a potential strike.

The union said that it needs to make substantial changes to the way writers are compensated, given the shift towards streaming services. Writers have suffered during the streaming boom due to shorter seasons and smaller residuals. The Guild is calling for additional compensation and residuals from features on streaming platforms and increasing contributions to pension and health funds.

“Over the past decade, the companies embraced business practices that slashed our compensation and undermined our working conditions,” the Guild wrote on 3 April on Twitter. “We are asking to restore writer pay and conditions to reflect our value to this industry. The survival of our profession is at stake.”

The Guild is also asking studios to establish standards around the use of artificial intelligence (AI). It wants the use of AI regulated, in terms of material created for the studios. With the rise of AI technology, the WGA wants to ensure that writers are properly compensated for their contributions and that their intellectual property rights are protected.

“A strike authorization vote has always been part of the WGA’s plan, announced before the parties even exchanged proposals,” in a statement from the Alliance of Motion Picture and Television Producers (AMPTP), which is negotiating on behalf of management. “Its inevitable ratification should come as no surprise to anyone.” The AMPTP is calling for writers to make concessions, saying that the entertainment industry has changed in recent years.

AMPTP represents Amazon, Apple, CBS, Disney, NBCU, Netflix, Paramount Global, Sony, and CNN’s parent company, Warner Bros. Discovery.

The strike, if it proceeds, would be the first in the industry since 2007, when a strike lasted 100 days and cost the California economy an estimated $2.1 billion.

In addition, if the strike lasted for an extended period, it could lead to significant delays in the release of new content. In turn, this could have a ripple effect on other parts of the industry, such as advertising revenue, which is often tied to the release of new programming. As a result, networks and studios may be less inclined to take risks on new shows, which could ultimately limit the diversity and creativity of the content available to audiences. This could lead to layoffs, reduced budgets and ultimately, a reduction in the number of shows and films produced each year.

Such cuts could have lasting effects on the industry, leading to a decline in the quality and quantity of content available to audiences worldwide.

For global audiences, a WGA strike could mean that they may not have access to their favorite American shows and movies for an extended period. This could be particularly frustrating for those who rely on American content to learn English or to stay connected to American culture.

Additionally, streaming services, such as Netflix, Amazon and Disney, may have to rely on content from other countries to fill the gaps left by the strike. While this could be an opportunity to promote international programming, it could also lead to a lack of access to American content, which has traditionally been popular among global audiences.

“Three weeks is plenty of time to hammer out a deal, negotiations in 2017 went right down to the wire,” the industry insider commented on the looming 1 May deadline.

The WGA-AMPTP negotiation is the first of three contract negotiations with entertainment unions. The Directors Guild of America will start negotiations on 10 May ahead of their contract expiration on 30 June. The Screen Actors Guild contract also expires 30 June.

The author of this article is John Scholz


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