Hollywood talent agencies are getting into a cost-cutting mode amid a second industry work stoppage in three years. Many have implemented extra scrutiny/cuts in travel and expenses and some are also contemplating/planning temporary salary reductions.
The measures are being taken as the WGA strike is entering its fourth week. While writers are not working, they are not getting paid, their term deals are suspended and many series and some movies have delayed or halted pre-production or production, affecting other above and below the line talent.
As a result, agencies’ film and TV revenue stream is starting to dry up, leading to the belt-tightening. I hear CAA, WME, APA, Gersh and Paradigm are scaling back T&E and other expenses, with some restricting non-essential travel and getting stricter with overtime approvals and other spending.
In many cases, film and scripted TV departments, which are most heavily impacted by the strike, are also the ones where the cost-cutting measures are focused on.
Read more on deadline.com