Wage Delays Plague U.S. Entertainment Industry: Calls for Structural Overhaul Intensify

Wage delays continue to plague the entertainment and performance industries in the U.S. this year, affecting television, OTT platforms, and live performances alike. This recurring issue has sparked calls for a comprehensive review of the entire production structure.

The most recent case involves the MBN variety show 'The Great Show: Taekwondo' (hereafter 'Taekwondo'), which has escalated to a criminal complaint. On the 22nd, 49 individuals, including writers, staff, and cast members associated with 'Taekwondo,' filed a fraud complaint against Kim, the CEO of the outsourced production company Studio & Creative, and Park, the operations manager.

They claim that the prize money of 100 million won for winner Kwon Young-in, along with appearance fees for host Jang Sung-kyu and other cast members, as well as staff wages, have not been paid for an extended period. Although the program concluded in August last year, the production company has delayed payments citing settlement procedures, and the payment assurance document has not been fulfilled, prolonging the conflict.

Similar issues have arisen in other areas. In the recently released Wave drama 'Reverse,' a supporting actor has reportedly not received payment months after filming concluded. The performance industry has also seen similar cases. On the 13th, it was revealed that the late Kim Soo-mi had not received her musical 'Mother's Home' appearance fee even two years after her passing. In March, actors from the musical 'Eyes of Dawn' boycotted due to wage issues, leading to an early closure.

While the background and scale of each case differ, a common issue is the unstable management of wages and appearance fees during production. In the broadcasting and content industry, where outsourcing is common, production companies often invest funds upfront. If financial management issues arise, the burden can easily shift to cast and staff, raising concerns.

Not all outsourced production structures lead directly to wage delays. However, there has been a consistent call for better protection of wages during the production budget execution process. Industry insiders and outsiders alike suggest clarifying responsible parties and prioritizing the management of wages and appearance fees. There are also calls to strengthen oversight of outsourced production companies.

While the content industry is rapidly growing, the labor environment and payment structure at production sites remain unstable. Repeated wage delay issues could affect trust in the industry as a whole, beyond individual works. It is time to reassess the entire production structure to prevent the recurrence of such issues behind the scenes of glamorous outcomes.

Reporter Dayeon Jeong, TenAsia light@tenasia.co.kr