Writer's Guild of America Strike
Is Hollywood in Jeopardy of Self Destructing?
Will the writer's strike eventually bring about the end of entertainment as we know it?
The Writer’s Guild of America (WGA) strike is now closing in on three months with no end in sight. With negotiations at a standstill, fear has begun to intensify within the industry. Yes, films and television shows continue to be released and aired respectively but what happens if the strike lasts another year or two? With over 12,000 writers out on the picket lines and with no scripts being produced, studios will more than likely be forced into a corner. With millions of dollars evaporating each day, the industry may cave in on itself.
Without writers, there is no entertainment.
On November 5, 2007, the Writer's strike swung into full gear. The Writer's Guild of America East (WGAE) and the Writer's Guild of America West (WGAW), the two labor unions representing film, television and radio writers, declared a strike was inevitable unless a new agreement was to be reached with the Alliance of Motion Picture and Television Producers (AMPTP). The AMPTP is an organization that represents the interests of nearly 400 American film and television producers from the likes of CBS, NBC, Warner Brothers and so on.
At this point, there are still many key factors unresolved. One of the main issues stems from the idea of DVD residuals. The Writer's Guild is claiming that they are not being fully compensated for the sales of DVD's and as a result would like to see their profit intake doubled. The AMPTP has initially denied this proposal stating that DVD sales are necessary to compensate for rising marketing and production costs.
There is also a tremendous amount of tension between the two groups over internet sales stemming from downloading, streamlining and purchases through cable and satellite markets. The writer's once again claim that they are not being properly compensated and that AMPTP is greedily withholding financial bonuses as a result. The AMPTP, at this point, has denied any truth to these accusations and have declared that they will not negotiate in a hasty manner as a result of this ongoing pressure from the strike.
There have been strides made during the strike in which offers have been made and negotiations have been held. However, nothing has yet to be agreed upon.
So, what does this mean for the studios? Prior to the strike, many of the major studios accelerated the production of television shows and films in order to create an abundance of options in case the strike continued on for some time. However, television shows are suffering as a result because the strike has occurred during the middle of the season. Thus, shows will disappear half way through the season with no proper conclusion to them. As well, the shows set to begin for the 2008/2009 television season are also in jeopardy of remaining stagnant until a new agreement is set. If it continues, people will eventually lose interest in re-runs and turn to other forms of entertainment like video games and movie rentals.
Films on the other hand may not be in as much jeopardy. With many films having already been completed, studios can hold off on releasing them. In other words, they can be spread out to compensate for a longer than necessary strike. However, if this strike continues on for some time, studios will more than likely run out of options. One would then assume that the studios would be forced to give into the demands of the WGA or risk a temporary closure.
For the most part, this strike will end eventually and everything will go back to normal. Yes, millions will have been lost but there will be a new found respect between prince and pauper. Shows will continue on and new scripts will be produced. Hollywood will once again entertain. If not, there is always reality television. On second thought….
