Disney CEO Says Striking Writers And Actors Have Unrealistic Expectations

With actors about to go on an official strike--and writers already months into their own--Disney CEO Bob Iger had some choice words for those unions during a CNBC Squawk Box segment. He basically said both unions are unrealistic about their expectations in contract negotiations with studios.

Variety reports Iger was in Idaho when he chatted with David Faber on CNBC. Speaking about the possibility that Hollywood actors will strike for the first time since 1980, Iger said: "It's very disturbing to me. We've talked about disruptive forces on this business and all the challenges we're facing, the recovery from COVID which is ongoing, it's not completely back. This is the worst time in the world to add to that disruption.

"I understand any labor organization's desire to work on behalf of its members to get the most compensation and be compensated fairly based on the value that they deliver. We managed, as an industry, to negotiate a very good deal with the directors guild that reflects the value that the directors contribute to this great business. We wanted to do the same thing with the writers, and we'd like to do the same thing with the actors. There's a level of expectation that they have, that is just not realistic."

The Writers Guild of America officially went on strike in May, and it's already affecting TV shows and films. The Screen Actors Guild-American Federation of Television and Radio Artists, also known as SAG-AFTRA, is fully expected to go on strike today after negotiations broke down with The Alliance of Motion Picture and Television Producers, also known as AMPTP. This would mark the first time since 1960 that both unions are on strike together.

One of the key sticking points for writers and actors relates to streaming residuals and lack of official streaming viewership numbers provided by Hollywood studios. SAG-AFTRA also wants compensation for when an actor's likeness is AI-generated.

A couple of writers fired back at Iger for his comments on social media. Alex Blagg, creator of the Prime Video animated series Fairfax, said on Twitter: "What's not realistic is artificially inflating your stock price with quarterly reports of boundless profit built on the backs of the underpaid talent who creates the only product you sell." Rick and Morty writer Caitie Delaney added on Twitter: "... Your unrealistic business environment is on you and your Wall Street buddies. You can have fun with your exponentional [sic] growth expectations, our thing is wanting fair compensation for the art we make."

Iger replaced Bob Chapek as Disney CEO in November, returning to the position he previously held from 2005-2020. It was announced this week that he will remain in the role through 2026. Originally, Iger's contract ran through the end of next year.