Bectu, the UK’s trade union for the media and entertainment industry, has written to the government urging it to reject Paramount’s proposed $111 billion takeover of Warner Bros Discovery.
Following protracted negotiations and an intense bidding war over the winter, the deal is expected to proceed with Paramount offering $31 per share for the media giant earlier this year.
In a letter to media minister Ian Murray, Bectu set out its concerns about the impact the deal could have on the UK’s creative workforce, particularly freelancers, and urged ministers to intervene to protect plurality in the country’s media ownership.
As well as its letter to the DCMS, Bectu has also submitted evidence to the Competition and Markets Authority (CMA), urging it to fully consider workforce impacts, “as previous merger reviews have repeatedly failed to account for the predominantly freelance nature of the creative workforce who must absorb the risks of cancelled commissions and shorter production slates”.
Head of Bectu Philippa Childs said: “This merger comes at exactly the wrong moment for a film industry workforce already facing prolonged insecurity and prolonged periods out of work. Further consolidation risks reducing opportunities, weakening bargaining power and concentrating decisions about jobs and investment even further from the people whose livelihoods depend on them.”
The CMA opened an inquiry into the acquisition last month, inviting the submission of initial views on how the transaction might affect competition in the country.
