California Gov. Gavin Newsom Set to Intervene in Hollywood Strikes in Coming Months

How long can the current Hollywood writer's and actors' strike last? That question gets more critical by the day, as production on movies and TV shows had ground to a halt. Obviously, that's a particularly big threat to the economy of California, which is in part bolstered by  Hollywood productions. 

With Hollywood studio executives refusing to budge, and creative talent (actors, writers, directors, stunt performers, etc.) coming together to maintain the picket line, a third-party mediator may be required – and some industry insiders think they know who it will be: California governor Gavin Newsom. 

"The strike has huge ramifications not just for writers and actors looking for a fair deal but all the crews not working, and the ancillary businesses," a veteran TV writer told Deadline. "Layoffs, closures, bankruptcies, declining tax base — none of that helps with the burdens of homelessness and crime that many people already see out there. Newsom knows that; he has to be watching."

"He's the obvious choice to bring the parties together and bring down the temperature," a political/entertainment industry insider added. "Getting a deal will be a test of his Jenga skills, but that's where Newsom likes to surprise people."

A movie studio executive is quoted as further breaking down why Newsom may be the man to go to: 

"Think about it, he's the governor of California, first of all. He knows all the players, and they know he's a guy who likes to take big swings. Secondly, the tax credits are all about job creation, and no production means no jobs. Lastly, what has he been up to lately? The guy wants to be president one day, so stepping in is good governance as well as great optics."

Finally, a major Hollywood producer argues that Newsom  "has the leverage and the stature to get everyone back around the table. No one else has that muscle to wrangle the players — [they] are a big deal, at least in their own minds." 

Sources close to Governor Newsom indicate that he is, indeed, watching the situation with the Hollywood strikes, and is ready to take – that is, if he is asked to: 

"His position remains that if both sides ask, he would step in and try to help," a source said "But no one's asking. Meantime, we are staying in touch with both sides."

The WGA and SAG-AFTRA strikes have centered on writers and actors demanding that studios come back to the table and renegotiate what is being deemed as outdated contract and payment structures. The dominance of streaming and the rise of new film technology like AI has left a lot of creators feeling like they are being exploited by contracts whose structures were set up before these modern advances were ever realities for the business. Studios and executives maintain that business as usual is the policy, and new payment terms and structures are unrealistic. Nobody is giving ground and current forecasts are that the strike – with no intervention – could extend into 2024.