Television and film writers' earnings fell by $603 million last year, or about 32%, as the end of “peak TV” coincided with a 148-day strike by the Writers Guild of America.
Book profits, reported for subscription purposes, fell to $1.29 billion in 2023. Adjusted for inflation, that's the lowest level since the writers' strike of 2007 and 2008.
Employment also fell by 19.5%, to 5,501 working writers, the lowest number since 2014.
In the first “double strike” since 1960, the Writers Guild of America and the Screen Actors Guild halted most scripted productions for half the year, seeking higher wages and protection from artificial intelligence. Meanwhile, the television industry shrank 14%, from 600 shows in 2022 to 516 in 2023.
The Writers Guild of America West released the employment data as part of its annual report, which was sent to members on Friday.
In the report, the union said the sharp declines reflected “industry contraction and companies' refusal to negotiate a fair deal, which led to a five-month strike that ended once companies agreed to address issues among members.”
“During this turbulent period, writers across the board have reported declines in employment and earnings,” the union said.
Following the previous 100-day strike, the union reported a 15% drop in total earnings for 2008. The massive 32% drop for 2023 is likely to be revised next year to show a somewhat smaller drop, due to delays in reporting contributions.
The report also said that writer employment reached an all-time high just before the strike, with 6,835 writers reporting income in 2022 — an 80% increase from the figure recorded 30 years ago.
In nominal terms, the book’s earnings hit a record high in 2022, at $1.89 billion. (After adjusting for inflation, it peaked in 2019.)
In addition to their regular earnings, writers will receive $598.5 million in residual bonuses in 2023, a 3.5% increase from 2022.
With writers on the picket lines for five months, residuals made up a larger share of their total income than usual. Residuals are typically 21-24% of writers’ total compensation, but in 2023 they were 32%.
The remaining data reflects a rapid shift toward live streaming. Live streaming platforms accounted for the majority of all remaining data for the first time in 2022, and again in 2023.
More than 80% of residual revenue from streaming comes from movies and TV shows originally produced for theaters, broadcast or cable. But residual revenue from made-for-stream programming is growing rapidly, jumping to $57.4 million in 2023, a 46% increase. The Writers Guild of America said the increase is due to larger projects and improved terms for streaming under the 2020 contract.
In inflation-adjusted figures, the remaining amounts peaked in 2022. That year, Netflix paid $62.5 million in arbitration over the remaining amounts in the movie “Bird Box.”
The Writers Guild of America did not release a 2023 employment report, citing the strike. The report, released Friday, covered two years of data. For television writers, the figures do not include “excessive” income, which is not subject to fees.
During the strike, the Writers Guild of America West provided emergency loans to its members from its strike fund and its welfare and welfare fund. The annual report shows that members owed $6.2 million to these funds as of March 31.
The Writers Guild of America strike resulted in wage increases of 5%, 4%, and 3.5% over the three-year term of the contract, plus script fees for television staff writers, full pension and health contributions for writing teams, and a guaranteed second draft for feature film writers.
The union estimated the deal would be worth about $233 million per year of the contract, or $147 million more per year than the final offer the studios made before the strike.
The deal also includes minimum staffing limits for TV shows that aren’t written by a single writer, and a measure to prevent AI-written material from reducing writers’ pay or credits. The union also won a 50% residual bonus for the most-watched TV shows that are destined for streaming.
Film licensing data shows the industry was already shrinking before unions went on strike last year. Recovery after the strike has been slow, with reality TV production collapsing and scripted production falling to pre-strike levels.
