Hollywood experienced one of its most significant labor disputes in 2023 when both the Writers Guild of America (WGA) and the Screen Actors Guild (SAG-AFTRA) went on strike, bringing the entertainment industry to a standstill. The strikes were driven by growing concerns over low residual payments from streaming services, job insecurity, and the increasing use of artificial intelligence in film and television production.

For months, productions were halted, delaying major films and television shows while negotiations between the unions and major studios dragged on. Writers, who had long relied on royalties from traditional television reruns, found themselves earning significantly less in the streaming era, despite record-breaking viewership on platforms like Netflix and Disney+. The WGA pushed for higher residuals, protection against AI-generated scripts, and better contractual terms for long-term stability.

Actors joined the strike after reports emerged that studios were attempting to scan background performers’ faces and use AI-generated replicas without further compensation. This raised fears about the future of acting in an industry increasingly reliant on digital technology. SAG-AFTRA demanded protections against AI replacements, fair pay for streaming projects, and improved contracts for stunt performers and extras.

The strikes had widespread consequences across Hollywood. Productions for high-profile projects such as Stranger Things, Deadpool 3, and Mission: Impossible 8 were indefinitely delayed. Streaming platforms also suffered setbacks, with a noticeable decline in new content affecting subscriber growth. Meanwhile, public support for the strikers grew, with major celebrities like Meryl Streep, Dwayne Johnson, and Jennifer Lawrence openly backing the unions’ demands.

After months of deadlock, the strikes concluded with new agreements that secured better wages, stronger AI regulations, and higher streaming residuals for both writers and actors. The outcome marked a significant victory for creative professionals, reinforcing the power of labor unions in an evolving industry.

Beyond financial compensation, the strikes raised broader questions about the future of entertainment. With AI advancing rapidly and streaming reshaping Hollywood’s economic model, the battle of 2023 set a precedent for how artists and workers in the industry will navigate technological disruptions in the years ahead.