1 STAFF REPORT
DATE: August 8, 2023
TO: Justin Hess, City Manager
FROM: Judie Wilke, Assistant City Manager
By: Viviana Garzon, MPA, Senior Administrative Analyst
SUBJECT: Approval of a Letter Signed by all Council Members to the Alliance of Motion Picture and Television Producers and the Screen Actors Guild— American Federation of Television and Radio Artists Respectfully Encouraging a Timely and Mutually Acceptable Agreement
RECOMMENDATION
Approve a letter signed by all Council Members to the Alliance of Motion Picture and Television Producers (AMPTP) and the Screen Actors Guild—American Federation of Television and Radio Artists (SAG -AFTRA) respectfully encouraging a timely and mutually acceptable agreement.
BACKGROUND
On July 14, 2023, the actors' union SAG-AFTRA went on strike after weeks of failed negotiations with the AMPTP. This strike concurs with the Writers Guild of America (WGA) strike that began on May 2, 2023.
At the July 18, 2023, City Council meeting, Mayor Anthony requested a first step report on sending a letter from all five Council Members to the AMPTP and SAG-AFTRA encouraging the unions to come to a quick and fair agreement. Due to the urgent nature of th e issue due to the prolonged strikes and the impact on Burbank’s economy and entertainment industry, staff is foregoing the customary second step in the additional agenda item process and presenting a letter for approval from all five Council members to the AMPTP and SAG-AFTRA.
DISCUSSION
The AMPTP represents more than 350 major American film and television studios and production companies during labor negotiations and collective bargaining with various labor unions and guilds in the entertainment industry, including WGA and SAG-AFTRA.
CITY MANAGER’S
OFFICE
2 The W GA represents more than 20,000 writers and SAG-AFTRA represents over 160,000 media professionals. As the “Media Capital of the World, ” Burbank is home to major production companies, as well as members of the WGA and SAG-AFTRA.
The ongoing strikes have significantly impacted the entertainment industry and caused a ripple effect on ancillary industries that depend on film and television productions.
Vendors, restaurants, hotels, and other service providers in Burbank have experienced reduced income due to decreased demand from the entertainment sector. The halting of production has resulted in substantial revenue losses for studios, networks, and production companies. Additionally, thousands of employees in the industry have faced layoffs or reductions in income, worsening the economic impact. While the precise economic impact on the city is still uncertain, it is evident that the continuation of the strikes could have devastating consequences for both the local and global economy. The prolonged disruption to the entertainment industry may lead to further job losses, reduced investment, and an overall negative financial impact on businesses and individuals that rely on the industry's stability.
As of the writing of this report, the most current information indicated that the AMPTP and WGA had agreed to meet and resume negotiations on Friday, August 4, 2023
1. ENVIRONMENTAL REVIEW
This activity has no potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment, and as such, is not a “project” subject to the requirements of the California Environmental Quality Act (CEQA) 14 Cal. Code Regs § 15378.
FISCAL IMPACT
There is no fiscal impact associated with this report.
CONCLUSION
The SAG-AFTRA strike is the first time that actors have initiated a labor dispute since 1980, and the first time that actors and writers have gone on strike simultaneously since 1960. The ongoing WGA and SAG -AFTRA strikes have resulted in the biggest interruption to the American entertainment industr y since the impact of the COVID -19 Pandemic.
The strikes have had a ripple effect on related industries in Burbank that heavily rely on the entertainment industry for business. In addition, the livelihoods of workers involved in
1https://www.washingtonpost.com/lifestyle/2023/08/02/wga-amptp-strike-new-talks/
3 the entertainment industry, including actors, crew members, and other professionals — some of whom reside in Burbank —have been negatively impacted. Considering these challenges, staff recommends Council approve the attached letter encouraging the AMPTP and SAG -AFTRA to work towards a mutually acceptable agreement. As we approach day 100 of the WGA strike, it is of utmost importance and in the best interest of the city, that agreements between all parties be reached.
ATTACHMENT
Attachment 1 – Draft letter