Hollywood’s strikes near a resolution, but what lies ahead for creatives?

The Writer’s Guild of America (WGA) has reached a draft agreement with the Alliance of Motion Picture and Television Producers (AMPTP), marking the first official industry protections against AI. The agreement includes financial benefits for writers, restrictions on the use of AI tools in scriptwriting, and maintaining writers’ recognition for their work. While the focus is on AI’s potential to replace writers, actors are also concerned about AI copying their likeness for digital representation. The situation reflects a broader concern about the impact of AI on storytelling and human creativity in the entertainment industry.

Hollywood’s strikes near a resolution, but what lies ahead for creatives?

The US film and TV industry faced a dual strike this year, the first in 63 years. The Writer’s Guild of America (WGA) has now reached a draft agreement with the Alliance of Motion Picture and Television Producers (AMPTP), but the future remains uncertain.

The WGA strike began in May, preceding the high-profile Hollywood Screen Actors Guild-American Federation of Television and Radio Artists (SAG-AFTRA) actors strike.

After 146 days on strike, the WGA announced that they had reached a deal with the AMPTP, marking the first official industry protections against AI.

The WGA demanded clear boundaries on the use of AI tools in the entertainment industry, as well as other financial protections in the face of the rise of online streaming.

The fear surrounding AI is its potential to replace writers, a fear shared by many.

The WGA’s 2023 basic agreement provides member protections and benefits from September 25, 2023, to May 1, 2026.

The agreement includes immediate financial benefits for WGA members, such as a 5% pay raise, increasing to 3.5% by 2025. There will also be a 0.5% increase in Health Fund contributions starting from the second year.

The compensation structure has also been changed to ensure individual benefits for every writer, even those working in teams.

As the entertainment industry evolves, screenwriters for high-budget streaming features will see an 18% rate hike, and residuals will be adjusted based on international viewership metrics. Writers for ad-supported platforms will have terms more comparable to those in subscription-based services, with added regulations for platforms like Netflix and Hulu.

In terms of AI, the WGA has gained assurance that AI tools cannot be used to completely write or modify scripts. AI will also have no say in determining credits, ensuring writers receive full recognition for their work.

While writers can use AI tools to assist their process, they cannot be forced to use such technologies.

AI poses a problem for writers and actors as it has the potential to replace them. Actors fear that AI could copy their likeness and use it to represent them digitally.

Public responses to the strikes have been mixed, with some dismissing the strikes as coastal elites protecting their jobs, while others see them as the first skirmish in a new war where more than half of all jobs are at risk due to AI.

The ongoing strike serves as a pivotal moment for creative industries worldwide, as studios look for ways to cut costs and streamline operations.

The question remains: when the lines between AI and human creativity blur even further, who will studios prioritize – the human touch or the efficiency of AI?

As Hollywood nears a resolution, the future for creatives remains uncertain.

Action Items:

1. Notify WGA members about the finalized agreement that spans from September 25, 2023, to May 1, 2026, and includes immediate financial benefits such as a 5% pay raise and increased Health Fund contributions. (No specific person assigned)
2. Update the compensation structure to ensure individual benefits for every writer, including those part of teams. (No specific person assigned)
3. Inform screenwriters for high-budget streaming features about the 18% rate hike and adjusted residuals based on international viewership metrics. (No specific person assigned)
4. Communicate changes for writers of ad-supported platforms, ensuring terms more comparable to subscription-based services and additional regulations for platforms like Netflix and Hulu. (No specific person assigned)
5. Emphasize that AI tools cannot be used to write or modify scripts entirely and cannot influence credit determination. (No specific person assigned)
6. Ensure writers are not forced to use AI technologies. (No specific person assigned)
7. Monitor developments in AI technology that could impact the industry and provide regular updates. (No specific person assigned)
8. Address actors’ concerns about AI technology potentially using their likeness without their consent. (No specific person assigned)
9. Stay updated on negotiations between SAG-AFTRA and producers and provide updates as necessary. (No specific person assigned)
10. Keep track of studios’ stance on AI and their plans to prioritize human touch versus AI efficiency. (No specific person assigned)
11. Monitor the impact of AI advancements on creative industries worldwide and provide analysis. (No specific person assigned)
12. Stay informed on the ongoing strike and its implications for the industry. (No specific person assigned)

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