UPDATE 2-Hollywood writers strike over pay in streaming TV ‘gig financial system’


(Provides price of writers’ contract calls for, quotes from writers)

By Lisa Richwine and Daybreak Chmielewski

LOS ANGELES, Could 2 (Reuters) –

1000’s of movie and tv writers headed to picket strains on Tuesday for his or her first work stoppage in 15 years, sending Hollywood into turmoil and disrupting TV manufacturing because the trade wrestles with the shift to streaming.

The Writers Guild of America (WGA) mentioned its management unanimously supported a strike after failing to succeed in an settlement for increased pay from studios reminiscent of Walt Disney Co and Netflix Inc.

“The businesses’ habits has created a gig financial system inside a union workforce,” mentioned the WGA, which represents roughly 11,500 writers.

The guild was looking for adjustments in pay and the formulation used to compensate writers when their work is utilized by streaming companies, amongst different proposals. The WGA estimated its adjustments would price about $429 million a 12 months, in keeping with a negotiations abstract shared on Twitter and verified by Reuters as genuine.

Placing writers had been anticipated to picket NBCUniversal’s Peacock presentation to advertisers Tuesday in New York, the place the streaming service is planning to tout its development and new advert applied sciences, and showcase upcoming content material.

For viewers, the strike’s first affect shall be seen on late-night speak reveals reminiscent of ABC’s “Jimmy Kimmel Reside,” NBC’s “The Tonight Present Starring Jimmy Fallon” and the NBC’s “Late Night time with Seth Meyers,” which depend on groups of writers to pen topical jokes for applications recorded on the day of broadcast.

The Fallon and Meyers reveals will start airing repeat episodes instantly, an individual acquainted with the scenario mentioned. “Kimmel” additionally is predicted to enter reruns.

Conglomerates are beneath strain from Wall Road to make their streaming companies worthwhile after pumping billions of {dollars} into programming to draw subscribers.

The rise of streaming has eroded tv advert income as conventional TV audiences shrink.

The final WGA strike in 2007 and 2008 lasted 100 days. The motion price the California financial system an estimated $2.1 billion as productions shut down and out-of-work writers, actors and producers reduce spending.

The Alliance of Movement Image and Tv Producers (AMPTP), which represents studios, mentioned it had proposed “beneficiant will increase in compensation,” and was keen to extend its provide.

However it mentioned it objected to WGA calls for that “would require an organization to workers a present with a sure variety of writers for a specified time period, whether or not wanted or not.”

Writers say they’ve suffered within the streaming TV growth with shorter seasons and smaller residual funds.

“We’re residing by historical past proper now, clearly, none of us needed this although. We simply desire a honest deal. We simply need to work,” mentioned Jamey Perry, vice chair of the Disabled Writers Committee. “However what’s occurred is that it is gotten so infeasible to have any form of life or profession on this enterprise.”

“The Late Present” host Stephen Colbert, in an episode taped simply hours earlier than the strike was referred to as, confirmed photos of his CBS present’s writing workers on display in a gesture of help.

“They’re so necessary to our present,” mentioned Colbert, who is also a WGA member. “I believe that the writers’ calls for are usually not unreasonable.”

The one late-night program working new episodes is Fox Information’s “Gutfeld!,” whose writers are non-union. ABC’s morning speak present “The View” additionally will proceed airing new reveals.

Different TV programming could also be disrupted relying on how lengthy the strike lasts.

Writers mentioned they had been keen to stroll off the job as a result of adjustments from streaming have made it tough for a lot of to earn a residing in costly cities reminiscent of New York and Los Angeles.

Half of TV sequence writers now work at minimal wage ranges, in contrast with a 3rd within the 2013-14 season, in keeping with WGA statistics. Median pay for scribes on the increased author/producer degree has fallen 4% during the last decade.

“The best way reveals are produced and distributed has modified and the studios have discovered a lot of loopholes to separate writers each from earnings and from participation within the course of,” mentioned Warren Leight, showrunner and govt producer of the NBC drama “Legislation & Order: Particular Victims Unit” from 2011-2016.

Synthetic intelligence (AI) is one other subject on the bargaining desk.

The WGA desires safeguards to forestall studios from utilizing AI to generate new scripts from writers’ earlier work. Writers additionally need to guarantee they don’t seem to be requested to rewrite draft scripts created by AI.

With a possible strike looming, manufacturing already had floor to a halt in Los Angeles. Movie LA, which points permits for filming in Los Angeles, mentioned it had no shoots for scripted reveals scheduled for Tuesday or the remainder of the week.

If the work stoppage turns into protracted, the networks will more and more fill their programming lineups with unscripted actuality reveals, information magazines and reruns. It additionally might delay the autumn TV season. Writing for fall reveals usually begins in Could or June.

Netflix could also be insulated from any rapid affect due to its world focus and entry to non-U.S. manufacturing amenities.

(Reporting by Lisa Richwine and Daybreak Chmielewski in Los Angeles, extra reporting by Danielle Broadway in Los Angeles; Modifying by Kenneth Maxwell, Jonathan Oatis and Richard Chang)