The Writers Guild of America issued its opening salvo the 2026 studio negotiations on Thursday, even as its own staff continues to walk a picket line outside union headquarters.
The union is preparing to sit down with the Alliance of Motion Picture and Television Producers on March 16. In a bulletin to members on Thursday, WGA leadership offered an update on the “state of the industry,” arguing that profits are rebounding and studios can afford to make a “fair deal.”
“Every three years during MBA negotiations, the companies will point to some part of their business that is not performing well to claim they couldn’t possibly meet writers’ needs,” the union told its members. “This cycle is no different.”
The WGA has said that negotiations will go on as usual, even if the staff remains on strike. The Writers Guild Staff Union, which represents about two-thirds of all WGA West employees, walked out on Feb. 17, alleging that WGA West leadership had failed to bargain in good faith on issues like wage scales and just cause for discipline. The union has warned that the Writers Guild Awards, scheduled for March 8, could be canceled if a deal is not reached soon.
The WGA has long issued state-of-the-industry reports at the beginning of an AMPTP negotiating cycle. The 2017 report touted “unprecedented prosperity”; the 2023 report argued that the fundamentals of the business remained strong despite a decline in profits.
The primary concern in this round of negotiations is the WGA health plan, which lost $122 million in the just two years according to its tax returns. The plan is suffering both due to a decline in contributions — owing to a downturn in employment — and an increase in health care costs.
The AMPTP issued a report in December highlighting the high costs of the health plans of the WGA, SAG-AFTRA and the Directors Guild of America, compared to other multi-employer plans.
“These health plans offer top-tier benefits, including zero or low participant premiums, minimal cost-sharing, low dependent costs, comprehensive prescription coverage, and early retiree eligibility,” the studio group stated. “AMPTP Member Companies remain committed to partnering with the Guilds to ensure their health plans are properly structured and funded.”
The WGA contract is set to expire on May 1. The studios are expected to make a significant contribution toward the health fund as part of any deal. A key question is whether the WGA would be open to any curtailment of benefits, potentially in the form of higher premiums and deductibles.
The WGA report did not touch on health care.
“As streaming continues its upward ascent, the media companies can afford to negotiate a fair deal with writers,” the union stated.
variety.com
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