Hollywood projects an image of glitz and glamour, but beneath the surface, Los Angeles is fundamentally a labor town. While we all enjoy the superheroes and late-night laughs that Hollywood brings us, there is a situation currently taking place in Hollywood that could affect us all. The Writers Guild of America West (WGA) is currently embroiled in a strike with various studios that has significant implications for the entertainment industry and the broader adoption of AI in other business sectors.
The Impact of AI on Screenwriters: The rise of AI tools like ChatGPT has raised concerns among screenwriters and their unions. With headlines asking if AI can write shows like Ted Lasso, writers are apprehensive about the potential impact of AI on their profession and earnings. In the ongoing negotiations, writers seek to implement limitations on how studios can utilize AI for writing shows and movies. The outcome of this issue could set a significant precedent for other industries grappling with integrating AI into their respective fields.
The Failed Negotiations and the Current Strike: Despite attempts at contract renewal negotiations, the Alliance of Motion Picture and Television Producers and the WGA failed to reach an agreement. As a result, 11,500 screenwriters downed their pens on May 3, and picket lines formed outside major studios and streaming-service headquarters. With both sides prepared for a prolonged standoff, the duration of this strike remains uncertain.
Supporters and Participants in the Strike: The strike has garnered support from various artists, politicians, and celebrities, including Joe Biden, Imagine Dragons, George R.R. Martin, and many others, even Snoop Dogg. Other labor unions and guilds were quick to express solidarity with the WGA. However, due to a no-strike pledge in the local’s contract, the Teamsters cannot join the picket lines.
The Changing Landscape and Immediate Effects: The shift towards streaming dominance has led to changes in the residuals earned by TV writers, who no longer receive the same compensation as they did under the traditional network-and-cable structure. The WGA seeks to address this disparity by demanding increased residuals and advocating for mandatory writing-room sizes to prevent the rise of exploitative “mini rooms” reminiscent of the gig economy. Immediate effects of the strike can already be seen with the shutdown of series productions, late-night talk shows, and the cancellation of the season’s final episodes of SNL.
Possible Outcomes and Future Negotiations: Studios terminated multiple overall deals for writers-producers during the 2007 strike using “force majeure” clauses to gain leverage. Similarly, studios have begun suspending deals without terminating them in the current strike. As negotiations continue, the future of the strike remains uncertain. Furthermore, the Directors Guild is facing its own negotiations, with a contract expiration date set for June 30, adding to Hollywood’s labor landscape’s complexity.
Beyond the glamour and entertainment that Hollywood offers, a fierce labor battle is currently underway. The long game between writers and studios will not only shape the future of screenwriting but is a bellwether for the potential impact of AI on other industries.
