The Hollywood’s writers association Writers Guild of America (WGA) has announced a new three-year agreement with prominent Hollywood studios, which has come after a 148-day work strike by the TV and movie writers.
In a statement, the writers union said that the Writers Guild of America East (WGAE) and Writers Guild of America West (WGAW) have overwhelmingly ratified a new contract with the Alliance of Motion Picture and Television Producers (AMPTP). The agreement spans from Sept. 25 through May 1, 2026.
Much like the human versus technology storyline in “The Terminator” movie franchise, Hollywood’s real-life saga mirrors the struggle against advancing technology, with writers advocating for protection in their contract against artificial intelligence, and increased residual payments for their work on streaming platforms.
Writers Guild board members had already unanimously voted to approve the agreement, as the statement reads that “a resounding 99 percent of WGA members voted in favor of the contract, with 8,435 ‘yes’ votes out of 8,525 valid votes cast, marking just 1 percent dissension.”
The Writers Guild of America consists of writers and media professionals who write content for motion pictures, television, news, and online media. The Guild negotiates and administers contracts that protect the creative and economic rights of its members; conducts programs, seminars, and events on issues of interest to writers; and presents writers’ views to various bodies of government.
On the deal, WGAW President Meredith Stiehm stated that, “through solidarity and determination, we have ratified a contract with meaningful gains and protections for writers in every sector of our combined membership.”
‘Meaningful Gains’
In an official statement, AMPTP congratulated the WGA on the ratification of its new contract saying that that it “represents meaningful gains and protections for writers. It is important progress for our industry that writers are back to work.”APMTP is the entertainment industry’s official collective bargaining representative, and has negotiated 58 industry-wide collective bargaining agreements on behalf of hundreds of motion picture and television producers. Some of the notable members include likes of Disney, NBC, Universal, Paramount, Sony, Netflix, Amazon, Apple, and Warner Bros.
WGAE President Lisa Takeuchi Cullen underscored the significance of fair contracts for performers, emphasizing, “It’s now crucial for the AMPTP to facilitate the return of others in the industry to work by securing a fair contract with our SAG-AFTRA colleagues.” She reaffirmed the writers’ unwavering solidarity, pledging to stand by SAG-AFTRA until their demands are addressed.
The 5-month strike had disrupted Hollywood’s production, and the official contract reportedly marks the resumption of TV shows, including Jimmy Fallon, Stephen Colbert, Seth Meyers, and Jimmy Kimmel.
The Strike
The strike by the writers guild commenced in May, and was eventually joined by SAG-AFTRA, representing 160,000 television and film performers, in mid-July. Both unions share similar demands, which included increased residual payments for their work on streaming platforms and seeking contractual safeguards concerning artificial intelligence (AI).The unions had raised concerns about reduced earning opportunities for writers and actors with the rise of streaming platforms, as unlike re-runs on broadcast television, re-runs on streaming platforms do not generate residual payments. Additionally, shorter and less frequent seasons on streaming compared to traditional network TV have impacted their earning potential.
Writers are also concerned about the potential job displacement brought about by potential growth of AI, while actors worry that their likenesses could be used without consent by this emerging technology.
The Deal
On Sept. 27, the WGA announced they had reached a tentative Minimum Basic Agreement with the AMPTP, and called for an end to the strike at 12:01 a.m. of the same night.The final deal, which is estimated to be worth $86 million per year, is similar to the tentative agreement with some modifications.
In the final deal, the agreement includes increases in the minimum annual pay raises for writers throughout the three-year contract. There will be incremental adjustments of 4 percent, 3 percent, and 2 percent in most residual bases, along with a one-time increase of 2 percent or 2.5 percent. The agreement also accepted that the staff writers will receive script fees on top of their weeklies.
The new contract also increased employers’ health and pension contributions.
It agreed that in the second year of the agreement, the Writers’ Guild-Industry Health Fund contribution on reportable earnings would rise by 0.5 percent, reaching 12 percent. Moreover, the guild retains the flexibility to allocate an extra 0.5 percent in both the second and third years of the contract.
This additional percentage can be redirected from various minimum increases to either the Guild’s health fund or pension plan. In addition, each writer on a writing team employed for a script will receive pension and health contributions up to the relevant cap as though they were a single writer, rather than splitting the applicable cap.
Regarding the use of artificial intelligence, the guild demanded regulations to prohibit AI from generating or revising literary content, and that AI-generated material would not be used as source material.
However, the contract grants writers the option to use AI as a writing aid, subject to approval from studios. The agreement also stipulates that annual meetings will be held to discuss advancements in technology.
