Hollywood Writers’ Union and Major Studios Reach Tentative Deal to End Strike
After 146 days of a strike that brought film and television production in the US to a near standstill, the Hollywood writers’ union and major studios have announced a tentative agreement to end the deadlock. The Writers Guild of America (WGA) hailed the preliminary deal as exceptional and stated that it delivered meaningful gains and protections for writers in every sector of the membership. However, the details of the agreement have not been disclosed.
Before the strike can officially end, the agreement will need to be ratified by the union’s membership. In the meantime, the WGA has announced that it will suspend picketing of studios in Hollywood and New York. Additionally, the union is encouraging its members to join the striking actors’ union, SAG-AFTRA, which has not engaged in talks with the studios in weeks.
Hollywood executives are hopeful that reaching a deal with the writers will pave the way for an agreement with SAG-AFTRA, the actors’ union. The WGA expressed gratitude to its membership, stating, It is the leverage generated by your strike, in concert with the extraordinary support of our union siblings, that finally brought the companies back to the table to make a deal.
Previous talks between the writers and studios ended on a sour note, but the two sides engaged in five consecutive days of negotiations to reach this tentative agreement. Major studio chiefs, including Disney’s Bob Iger, Warner Bros Discovery’s David Zaslav, Donna Langley from Comcast’s NBCUniversal Studio, and Netflix’s co-CEO Ted Sarandos, were reportedly deeply involved in the recent discussions.
The strike, initiated by the 11,500 WGA members in May, aimed to secure improved royalties from streamed programs, limitations on the use of artificial intelligence in scriptwriting, and higher pay. In July, SAG-AFTRA joined the strike, marking the first time since 1960 that the two unions walked out simultaneously.
The prolonged strike has put significant pressure on studios, posing a risk to the theatrical slate for the coming year. Several studios already postponed film releases, with Warner Bros pushing back Dune: Part 2 and Sony rescheduling several films, including a sequel to Ghostbusters: Afterlife.
In addition to impacting film and TV releases, the strikes have had a considerable economic impact on California. Businesses reliant on the entertainment industry, such as caterers, dry cleaners, drivers, and sound stages, have suffered financial losses.
As the strike nears its end with this tentative agreement, the California economy can begin to recover from the billions of dollars lost during this extended period of labor unrest. The resolution of the strike will not only benefit the writers and studios but also the broader ecosystem of businesses associated with Hollywood.
