A study by the Milken Institute shows how last winters’ strike cost California $2.1 billion and caused 37,700 direct and indirect lost jobs. All in all, it had an enormous effect on the already difficult economy. “This was not a discrete one-time hit, [the strike] had a substantial impact on California’s economy in general and on Los Angeles County in particular,” the study stated.

It also pointed out how most fired workers didn’t get their job back after the strike ended in February. But other businesses were also squeezed. Caterers, cleaners and hotels for example, were all affected indirectly. The total Californian personal income is projected to drop $3 billion. And it won’t return to normal until next year.

That is, if there won’t be a second strike. “A SAG strike would have a devastating effect on the California economy because it would be occurring right at the point when we hope the economy begins to come out of recession,” one of the authors said. Well, let’s hope not. But I’m certainly not getting my hopes up.

So the rumors were true, the Screen Actors Guild’s (SAG) negotiations with the studios are really going nowhere. The studios just slammed the SAG by saying they are being ‘unresponsive, unreasonable and unrealistic.’ You’re not making a public statement like that when there are deals lying ready on the table.

“Although both parties have spent considerable time in the negotiating room, we are not yet close to an agreement,” the Alliance of Motion Picture & Television Producers (AMPTP) said. Basically they say the SGA doesn’t want to follow the pattern the Directors and Writers Guild of America set earlier. One of the main disputes is still the compensation for DVD sales, which the SAG wants to double. But the AMPTP isn’t ready to give in, since it will naturally cost them major revenue.

The SGA’s current contract expires June 30, after which the second strike this year could follow.

The Screen Actors Guild and Hollywood studios aren’t ready to give up their pre-strike talk. The studios were going to talk to the AFTRA (TV and radio) next week, but the SAG has asked for a one week extension.

“We owe it to our entire industry to give the current . . . talks every opportunity to result in an agreement,” they reasoned. The two parties seem to have a better understanding than the WGA and the studios had last year. But there is still a lot to talk about. For example, the actors want double the amount of money for DVD and media sales. And a strike could potentially be way more costly than the writers’ strike from last winter.