Hollywood Strike

22nd October 2007

Film and TV writers, actors and crew members are canceling vacations, working overtime and squirreling away savings while they still can.

Talent agencies, postproduction houses and equipment rental shops have drawn up plans to cut costs and payrolls while caterers and special-effects houses scramble to find jobs that reduce their dependence on the entertainment industry.
All over Hollywood, people are bracing for a strike.

If a new three year employment deal cannot be reached before the current one expires at midnight Wednesday, writers could walk out as early as Thursday. Little head way was gained on Friday, when both sides met at the Writer Guild of America West offices. After four hours they agreed to meet with a federal mediator.

There has not been a strike in 20 years, when in 1988 it lasted five months. Economists say this will be more painful as Hollywood is a more dominant force in the region today, with studios and networks part of media giants.

Los Angeles Mayor Antonio Villaraigosa said "If it cost the industry $500 million in 1988, a slowdown of that length would have over a $1-billion impact today. I'm very concerned."

Production however, would not come to a halt. Writers for commercials, sports programs and reality TV would be free to work because they are not covered under the guild contract.

Filming on movies with finished screenplays would continue. Television programs with a stockpile of scripts would still be made. Networks appear to have enough shows to carry them through most of the fall TV season. However, some series could run dry as early as December.

The networks have been looking through their libraries for reruns and various unscripted programs such as game shows that they could use in the event of a prolonged strike.

The danger is that TV viewers, without their favorite shows, would turn to the Internet and other forms of entertainment that are increasingly grabbing younger audiences.


*Source: LA Times