The Hollywood strikes, which began in May with the Writers Guild of America and later joined by the Screen Actors Guild in July, have now entered their fourth month with no resolution in sight. As a result, production in the entertainment industry has come to a standstill, impacting businesses even thousands of miles away from Hollywood.
Cindy Gano, owner of Gano Inc. in Doraville, Georgia, a wardrobe and costume supply shop that serves the film industry, explains how her business has been severely impacted. With almost all orders gone, Gano had to make the difficult decision of laying off her employees and reducing the shop’s hours of operation. While some businesses are managing to survive with loans, others are on the verge of closing down.
The strikes revolve around concerns about the unregulated use of artificial intelligence in film production and its impact on actors’ pay within the streaming industry. It remains uncertain when the labor unions and major studios will reach an agreement, leaving business owners in a state of uncertainty.
Former Paramount CEO warns that if the actor and writer strikes are not resolved soon, it could lead to the collapse of Hollywood
According to Kelsey Moore, Executive Director for the Georgia Screen Entertainment Coalition, which represents businesses in Georgia that serve the film industry, the strikes have revealed the extensive integration of the state’s economy with the film industry. Various businesses, including studios, production companies, and even smaller establishments like restaurants and dry cleaners, are experiencing a drop in revenue and customers. The strikes have made them aware of how they indirectly cater to the film industry.
Georgia has become a popular destination for film-making, with four out of Hollywood’s six highest-grossing films shot in the state, including “Black Panther.” Other states such as Texas and Florida are also feeling the impact of the strikes.
“We certainly will see some businesses that have to make some really tough decisions, and you know, we’re just hoping that they can hold on so that they are ready when production does come roaring back,” said Moore.
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As the Hollywood strike continues with no end in sight, those affected can only hope for a swift resolution. So far, negotiations between the Hollywood studios and screenwriters have not reached an agreement.