Roughly 3,600 jobs were lost in June for the film and sound recording industries, according to a new report from the U.S. Bureau of Labor Statistics.
The U.S. economy overall added only 57,000 jobs in the month of June with gains mostly in “professional and business services, social assistance and health care,” per TheWrap. Jobs in entertainment, leisure, and hospitality declined, though average hourly earnings rose o.3% to $37.64 in June, increasing by 3.5% for the full year.
The latest update comes as Paramount and Warner Bros. Discovery are on track to merge by the end of the third quarter or Sept. 30, subject to regulatory approval. Los Angeles County’s Department of Economic Opportunity has warned that the $110 billion deal could put nearly 2,500 local jobs at risk, as well as about 6,000 global jobs.
In the event the transaction does not close by Sept. 30, WBD shareholders will receive a 25 cent per share “ticking fee” for each quarter until closing. In the event that the deal does not close at all due to regulatory matters, Paramount will pay WBD a $7 billion termination fee.
When an upcoming reboot for the hit 1990s lifeguard drama Baywatch was announced, Los Angeles and California officials celebrated it as a triumphant return to a time when principal photography dominated the City of Angels. However, as production got underway, the city and state’s regulatory red tape became readily apparent and nearly forced the show out of Los Angeles, per Variety.
Like an endangered pelican reintroduced to its native habitat, the Fox reboot was hailed as a triumph for the industry’s hometown, which is suffering through a long slide in production activity. Gov. Gavin Newsom bragged that the show was back “where it belongs,” at a cost to the state of $21 million.
Soon, however, the producers ran into obstacles. Officials from the county Beaches and Harbors Department and the California Coastal Commission told them they couldn’t park their trucks overnight, light fires or drive on the sand.
“We’re a lifeguard show,” “Baywatch” co-creator Greg Bonann remembers saying. “What do you mean we can’t drive a truck on the beach?”
In April, Hollywood employment dropped 30 percent as productions trickled out of California into other states. For the past three decades, Los Angeles has steadily been bleeding production jobs to other states and countries offering far better tax incentives and labor grants. Since 2022, for instance, America has lost 73,000 production jobs; two-thirds of them being from Los Angeles.