The Writers Guild of America fired the opening salvo for 2026 studio negotiations Thursday, even as its own staff continues to walk picket lines outside union headquarters.
The union is preparing to hold talks with the Alliance of Motion Picture and Television Producers on March 16th. In a newsletter to members Thursday, WGA leadership provided an update on the “state of the industry” and argued that profits are recovering and studios can afford a “fair deal.”
“During triennial MBA negotiations, companies will point to areas of their business that are underperforming and argue that it is impossible to meet the needs of writers,” the union told members. “This cycle is no different.”
The WGA said negotiations would proceed as normal even if staff remained on strike. The Writers Guild Employees Union, which represents about two-thirds of all WGA West employees, withdrew on February 17, alleging that WGA West leadership failed to negotiate in good faith on issues such as pay levels and the cause of discipline. The union warned that the Writers Guild Awards, scheduled for March 8, could be canceled if an agreement is not reached soon.
WGA has long published a State of the Industry Report at the beginning of the AMPTP negotiation cycle. The 2017 report touted “unprecedented prosperity.” In its 2023 report, it maintained that the fundamentals of the business remained strong despite the decline in profits.
The biggest issue in this round of negotiations was WGA’s health insurance, which lost $122 million in just two years, according to tax returns. The plan has been hurt by both reduced contributions due to the employment downturn and increased health care costs.
AMPTP released a report in December highlighting the higher costs of WGA, SAG-AFTRA, and Supervisory Union of America health plans compared to other multiemployer plans.
“These health plans offer top-tier benefits, including zero or low member premiums, minimal cost-sharing, low dependent costs, comprehensive prescription coverage, and early retirement eligibility,” Studio Group said. “AMPTP member companies remain committed to partnering with the Guild to ensure health plans are properly structured and funded.”
The WGA’s contract is set to expire on May 1, and both studios are expected to make significant donations to medical funds as part of the deal. A key question is whether the WGA will accept reductions in benefits, possibly in the form of higher premiums or deductibles.
The WGA report does not mention health care.
“As streaming continues to rise, media companies can afford to negotiate fair contracts with writers,” the union said.
