Echoes of Hollywood

Chapter 428: Chapter 428: The Impact of the Strike



During World War II, military uniforms and weapons, Hitler's look, Kodak's 35mm film, and the corresponding photographic equipment—all these preparations were ready, and Helena Espola had gone to Paris early to set up the photography studio. Murphy, along with Philip Lasher and Gal Gadot, had flown to Paris three times to inspect the shooting locations.

Over the years, the entire team had honed their skills and coordination, and the entire preparation work proceeded orderly.

However, some unexpected events still impacted the normal operations of the crew.

This month, the massive strike by Hollywood screenwriters had erupted, forcing many crews to halt production. However, Murphy's script for "Inglourious Basterds" was already finalized, and preparations continued.

Of course, it was impossible to say that the screenwriters' strike had no impact at all—there was some unease among the crew members.

Fortunately, all key members of the departments had been with Murphy for many years and were not too affected by the Hollywood situation for the time being.

However, several screenwriters employed by Stanton Studios naturally joined the strike, with the union providing protection and in return, they had to fight for their rights along with the union.

There wasn't just one union with intentions to strike, but while the directors' guild and the two major actors' guilds quickly reached agreements with the producers' alliance, the screenwriters' guild's demands were not met.

This situation also indirectly confirmed something: screenwriters really didn't hold a high status in the film industry. The conditions proposed by the screenwriters' guild, much lower than those of the directors' guild and actors' guild, were still unhesitatingly rejected by the producers' alliance, as if the screenwriters weren't worth the expense...

Under Hollywood's industrial assembly line system, the importance of screenwriters was minimized. Looking back at Hollywood's recent twenty years, the most significant strikes were those of 1988 and this year's screenwriters' strike.

To resolve this issue, the only way was for both sides to sit at the negotiation table, but the divisions were quite significant.

The strike quickly spread throughout Hollywood, with 12,000 screenwriters participating and many taking to the streets of Hollywood Boulevard to protest.

The last collective strike by the screenwriters' guild was in 1988, lasting 22 weeks and causing over $500 million in losses to the industry. This strike was bound to bring more pain since the entertainment industry had grown into a behemoth. Even excluding peripheral industries, it generated tens of billions of dollars annually.

If peripheral industries were included, it accounted for about eight percent of America's total economic output. The latest statistics Murphy received showed that last year alone, the total salary of workers in the Hollywood film industry exceeded $100 billion!

This shows the enormous size of the industry and the vast value it generates.

Despite the noise made by the screenwriters' guild, from a strategic perspective for the future, the Hollywood producers, led by the six major companies, would not easily compromise, showing sufficient unity.

Not just the six major companies, but even third-tier production companies like Stanton Studios, would not make easy concessions, even if it meant letting the screenwriters working on the "Inglourious Basterds" project strike.

Offering sweeteners was one thing, but making significant concessions was a line that couldn't be crossed. Once crossed, it couldn't be pulled back.

Capital always seeks profit, and even a small capitalist like Murphy was no exception.

As a result, a number of films and series inevitably became temporary casualties.

From the start of the strike, all talk shows immediately halted production. Then, "24" announced the cancellation of this season's airing, becoming the first unfortunate TV series. The sequel to "The Da Vinci Code," "Angels & Demons," postponed its filming, becoming the first unfortunate film. "007: Quantum of Solace" also temporarily stopped production, joining the list, and DreamWorks' major project "The Adventures of Tintin" was also put on hold...

Negotiations were necessary. As the boss of Stanton Studios, Murphy temporarily set aside his preparatory work, handed the crew over to Kara Faith, and joined a negotiation team with other production company representatives to discuss with the screenwriters' guild.

In this matter, the interests of all Hollywood production companies were aligned.

Despite the intense screenwriters' strike, this negotiation team showed a tough stance. Even when returning to the negotiation table, they were not quick to make concessions, and the strike continued.

For the most part, Murphy was an observer. With the size of Stanton Studios, he didn't have much say, nor did he need to stand out, following the majority was enough.

Entering 2008, there was no joyful New Year atmosphere in Hollywood; the shadow of the strike loomed over all of North America.

The Golden Globe Awards ceremony was forced to cancel, changed to a press conference format.

Everyone began

 to worry about next month's Oscars ceremony. If the Oscars were also canceled, it would mean not just a financial loss but a loss of face for Hollywood...

Even Wall Street issued a warning that if the strike continued for five months, the economic loss could reach $30 billion.

The strike could not continue; this was everyone's consensus. Although the $30 billion figure was purely Wall Street's speculation, a prolonged strike would definitely affect the interests of all Hollywood companies and workers.

Negotiations between the two sides continued. In addition to preparing for "Inglourious Basterds," Murphy also attended the most important meeting between the producers' alliance and the screenwriters' guild in late January.

Like many small Hollywood company owners, Murphy mostly observed the negotiations.

Representatives from the producers' alliance, including News Corporation President Peter Chernin, Disney CEO Robert Iger, and producers' alliance chairman Nick Counter, directly confronted Writers Guild of America chairman Verrone, West Coast Writers Guild executive director David Young, and the association coordination committee head John Bowman.

There were signs the strike might end.

Unlike the slow, contentious negotiations of the major film studios, the biggest concern in the film industry was the potential shutdown of the Oscars ceremony, Hollywood's most significant showcase, which no one wanted to see halted.

For this reason, the Academy of Motion Picture Arts and Sciences canceled the nominees' luncheon, opting instead to announce the nominations through a press conference.

Previously, many media outlets had campaigned for "Man of Steel," advocating that this superhero movie deserved an Oscar nomination for either Best Picture or Best Director. However, the Academy has always been stubborn, and its discrimination against superhero movies and sci-fi films was not a recent development.

In the newly announced 80th Academy Awards nominations, "Man of Steel" received nominations for Best Cinematography, Best Visual Effects, Best Art Direction, Best Sound Editing, and Best Sound Mixing—five technical categories. However, it did not enter any major award categories.

After this nominations announcement, the Academy was very concerned that the Oscars ceremony might be halted due to the screenwriters' strike. They prepared for both scenarios: if the strike continued, the Academy would initiate an emergency evening event.

Additionally, the Academy sent a representative to participate in the negotiations, urging both sides to reach an agreement as quickly as possible.

Efforts were also made by the authorities in Washington. America's fragile economic situation could not withstand a prolonged strike. Hollywood had been tied to Wall Street for years; a disruption in Hollywood not only posed a problem for the entertainment industry but could also exacerbate instability on Wall Street.

Apart from the earliest instances, the screenwriters' guild members hadn't approached Murphy again. Everyone knew he was the boss of Stanton Studios, and it was very easy to determine which side he would support.

As the strike dragged on, its impact on Hollywood and its peripheral industries grew, even the previously stable "Inglourious Basterds" crew experienced anxiety. Murphy simply gave the crew a week off, planning to resume work once the strike ended.

Ending the strike required both sides to make concessions; there was no other way around it.

Murphy was aware of this, and so were the screenwriters' guild and the producers' alliance.

For any industry to operate normally, both labor and capital must adhere to mutually recognized fair "game rules." The entertainment industry's billions of dollars in annual profits, sharing a slice with the screenwriters seemed only fair and proper.

But capital is inherently profit-driven, and cutting into the commercial group's pie was undoubtedly like cutting flesh from the capitalists.

The main point of contention was that the producers demanded that some compensation be paid only after the recoupment of the costs of films and TV programs; the screenwriters, on the other hand, demanded improved compensation for movies, TV dramas, and reality shows, and insisted that producers must pay a share of DVD royalties—up to three percent—and increase the revenue share from online streaming downloads to four and a half percent.

These were conditions that the production companies and the producers' alliance absolutely could not accept; they were essentially grabbing profits from investors like Murphy.

By mid-February, the producers' alliance and the writers' guild reached a preliminary agreement after drawn-out negotiations. Hollywood's major production companies made certain concessions, and the writers' guild signed a three-year temporary contract with the producers' alliance.

The contract not only increased the basic salary of the screenwriters but also secured a one and a half percent share of DVD revenues and three percent from online streaming for the screenwriters. This included not only future works but also a certain percentage from past works.

This major screenwriters' strike temporarily ended. The writers' guild sent an email to each member, calling everyone to resume work immediately.

"The strike is over. Tomorrow, the screenwriters will return to their places, and everything will return to normal."

Murphy's crew also resumed normal operations. After confirming actors like Michael Fassbender, Christoph Waltz, and Margot Robbie through auditions, he led

 the entire crew to Paris, settling into a set in the suburbs, ready to begin shooting.

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