![[US] Hollywood strikes cost economy 17,000 jobs in August](http://globalpayrollassociation.com/cdn/shop/articles/bigstock-LOS-ANGELES--NOV------Th-413343919_1200x.jpg?v=1693959782)
The ongoing WGA/SAG-AFTRA strike in Hollywood registered a hit to the jobs report for the first time in August, Yahoo reports.
According to data released by the Bureau of Labor Statistics on September 1, employment in motion picture and sound recording industries decreased by 17,000, "reflecting strike activity."
The actors' strike is heading into month two on picket lines, while the writers' strike has entered its fifth month .
At present there is reportedly no end in sight for the dual work stoppage. Studio negotiations reached stalemate at the end of August with the Writers Guild of America (WGA) criticising the studios' counterproposal, stating that it didn't come close to satisfying writers' demands. Talks have not yet resumed.
Industry experts say that the "double whammy" work stoppage has already had serious economic implications. Estimates from the Los Angeles County Economic Development Corp. revealed that the 2007-2008 strike cost the Los Angeles County economy a whopping $2.5 billion. The figure is reportedly likely to double this time around.
Kevin Klowden - chief global strategist at the Milken Institute - estimated that the current strikes will soon cost the US economy $5 billion-plus. A revision of his previous estimate of $4 billion.
In an interview last week Mr Klowden told Yahoo Finance Live, "The main thing we're really factoring into it is the lost wages."
He added that - in addition to California being affected - other popular filming locations such as New York, Atlanta, Albuquerque and Pittsburgh will feel the impact too.
The US economy added 187,000 jobs in August overall. The unemployment rate unexpectedly ticked higher to 3.8 per cent, up from 3.5 per cent the prior month and the highest since February 2022.
On September 1, Greg Daco - EY chief economist - stated that external labour market events had a "noticeable impact" on payrolls in August with the combination of the Hollywood strikes, around 1,800 hotel workers in Southern California striking and the bankruptcy of trucking giant Yellow accounting for nearly 50,000 job losses during August.
Source: Yahoo
(Links and quotes via original reporting)
The ongoing WGA/SAG-AFTRA strike in Hollywood registered a hit to the jobs report for the first time in August, Yahoo reports.
According to data released by the Bureau of Labor Statistics on September 1, employment in motion picture and sound recording industries decreased by 17,000, "reflecting strike activity."
The actors' strike is heading into month two on picket lines, while the writers' strike has entered its fifth month .
At present there is reportedly no end in sight for the dual work stoppage. Studio negotiations reached stalemate at the end of August with the Writers Guild of America (WGA) criticising the studios' counterproposal, stating that it didn't come close to satisfying writers' demands. Talks have not yet resumed.
Industry experts say that the "double whammy" work stoppage has already had serious economic implications. Estimates from the Los Angeles County Economic Development Corp. revealed that the 2007-2008 strike cost the Los Angeles County economy a whopping $2.5 billion. The figure is reportedly likely to double this time around.
Kevin Klowden - chief global strategist at the Milken Institute - estimated that the current strikes will soon cost the US economy $5 billion-plus. A revision of his previous estimate of $4 billion.
In an interview last week Mr Klowden told Yahoo Finance Live, "The main thing we're really factoring into it is the lost wages."
He added that - in addition to California being affected - other popular filming locations such as New York, Atlanta, Albuquerque and Pittsburgh will feel the impact too.
The US economy added 187,000 jobs in August overall. The unemployment rate unexpectedly ticked higher to 3.8 per cent, up from 3.5 per cent the prior month and the highest since February 2022.
On September 1, Greg Daco - EY chief economist - stated that external labour market events had a "noticeable impact" on payrolls in August with the combination of the Hollywood strikes, around 1,800 hotel workers in Southern California striking and the bankruptcy of trucking giant Yellow accounting for nearly 50,000 job losses during August.
Source: Yahoo
(Links and quotes via original reporting)