Sidhu
The Los Angeles Economic Development Corp. is forecasting a solid improvement in Hollywood's employment picture this year following the addition of 16,100 showbiz jobs in 2010.
The forecast, released Wednesday, estimated that regional entertainment employment hit 154,900 jobs last year -- 136,983 people in the motion picture and sound industries and 17,917 in TV and radio.
LAEDC chief economist Nancy D. Sidhu said showbiz generated the region's biggest gain in jobs of any sector in 2010 as the Los Angeles area began to rebound from the recession.
She predicted that the motion-picture biz could add enough jobs this year to match its all-time high of 146,300, set in 1999. She said the most positive factors were the ongoing economic recovery and the ratification of new master contracts for the Screen Actors Guild, the American Federation of Television & Radio Artists and the Directors Guild of America.
Sidhu said she's optimistic the Writers Guild of America will reach an agreement on a successor deal to its current contract, which expires May 1, without going on strike again. The WGA and the Alliance of Motion Picture & Television Producers have not yet set a start date for talks.
The forecast cited two factors for the improved outlook -- the positive reception to the state's film incentive program and more activity in on-location filming in Los Angeles, where permits increased by 16% last year after a 23% decline in 2009.
Negative concerns cited include declining DVD sales and losses from piracy.
"One thing is clear: Entertainment companies are not immune from the same forces that have disrupted the music industry and newspaper publishing," Sidhu said. "While one segment of the population can still afford to go out and buy the latest technology for content delivery, an increasing number of cost-conscious individuals are making the choice to cut cable TV. Movie rental services like Redbox and Netflix are making it easier and cheaper to rent movies."
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