Monday 22 October 2007

Writers Vote to Strike

The LA Times reports that 90% of the members of the Writers Guilds of America have voted to strike if a new contract can't be negotiated with the major studio before it expires on October 31st. It's a record response from the 12,000-strong membership.

Writers have rallied behind a theme that might best be summed up by the Who's hit song "Won't Get Fooled Again." Writers maintain they were shortchanged years ago when they agreed to a discounted pay formula for home video sales, only to see that business take off. And they're determined not to make the same mistake again as the digital revolution upends the entertainment industry.

"The guild made a bad deal 20 years ago and they've been angry ever since and they don't want to do it again," said Jonathan Handel, an entertainment industry attorney with TroyGould in Los Angeles and a former associate counsel for the Writers Guild. "That's why we're seeing a line drawn in the sand."

For their part, the studios maintain that DVD sales are needed to offset rising marketing and production costs, and they contend that it's too early to lock into pay formulas for shows distributed online because technologies are rapidly changing and they're still grappling with uncertain business models.

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