Los Angeles County Board of Supervisors Greenlights Economic Analysis of Paramount-WBD Merger

The study will be conducted by the Department of Economic Opportunity, who will report back in 60 days with an interim update and 120 days with final findings and recommendations

Warner Bros. Discovery CEO David Zaslav and Paramount CEO David Ellison (Credit: Getty Images/Christopher Smith for TheWrap)
Warner Bros. Discovery CEO David Zaslav and Paramount CEO David Ellison (Credit: Getty Images/Christopher Smith for TheWrap)

The Los Angeles County Board of Supervisors has voted to conduct an analysis of the $110 billion Paramount-Warner Bros. merger’s potential impact on its local economy and workforce.

The study, which will look at the deal’s impact on direct, indirect and induced employment, will be conducted by the Department of Economic Opportunity in collaboration with the Chief Executive Office and relevant county departments.

The DEO will report back in 60 days with an interim update and 120 days with final findings and recommendations. It will also develop workforce strategies, including job training and placement programs, to support and retain entertainment industry workers. Additionally, L.A. County’s counsel will submit formal comments to the U.S. Department of Justice regarding potential antitrust concerns and monitor state-level review of the deal.

The move comes as Los Angeles County, which supports more than 312,000 jobs across the creative economy and 171,155 entertainment workers, has seen heightened concerns about workforce stability and long-term job growth amid production slowdowns, labor disputes, wildfires, and continued industry consolidation.

“Entertainment is more than what we watch on a screen — it’s part of who we are as Angelenos and a cornerstone of our economy. Thousands of families rely on this industry for their livelihoods, and we must protect their jobs and our signature industry,” supervisor Lindsey Horvath said in a statement. “As the proposed merger moves forward, we need a clear understanding of its impacts on jobs, competition, and the future of storytelling. Today, we took action to support workers, strengthen our local economy, and keep Los Angeles at the center of the global entertainment industry.”

Paramount CEO David Ellison has promised to build a stronger Hollywood and said the Warner Bros. deal is a “unique opportunity to build a true champion for the creative community, one that can and will bring more stories to life, support filmmakers and talent with real scale, and compete effectively on the global stage as an independent media leader.”

“The Los Angeles area provides some of the most talented and well-trained film and television workers in the world, and it is my expectation that the commitments I have made will preserve and expand good-paying film and television jobs in the area,” Ellison wrote in a letter to California lawmakers Sen. Adam Schiff and Rep. Laura Friedman. “America already has the world’s leading entertainment workforce and world-class production facilities. It now just needs a federal film tax incentive to close the competitive gap with the rest of the world, and again attract the biggest film and TV projects, activate its highly skilled workforce, and utilize its infrastructure.”

Paramount and WBD have committed to produce a minimum of 15 theatrically released films per year each, with every movie receiving a minimum 45-day window globally before hitting paid video-on-demand (VOD). More successful releases could see 60-90 days before being made available on streaming.

Ellison has also said that Paramount would preserve HBO, continue to license Warner Bros. content and that it wouldn’t sell or spin off the company’s cable assets like CNN. However, the deal is expected to generate over $6 billion in synergies, which executives have said will primarily come from non-labor sources like real estate and merging streaming tech stacks.

The deal, which remains subject to regulatory and shareholder approval, is expected to close in the third quarter of this year.

Last year, Gov. Gavin Newsom expanded the California Film and Television Tax Credit Program and awarded tax credits to 119 projects, which is estimated to result in 25,000 crew hires and $4 billion in economic activity.

However, FilmLA data shows that on-location production activity fell 16% year over year in 2025 with a total of 19,694 shoot days, slightly higher than the 18,993 shoot days in 2020 that were impacted by the COVID-19 pandemic.

“Despite best intentions, prior studio mergers have resulted in fewer films. In fact, when Skydance purchased Paramount for $8 billion in August 2025, layoffs followed. Many in the industry are concerned about possible workforce layoffs, decreased wages, and less competition, which can result in lower quality of product and lower price,” the L.A. County Board of Supervisor’s motion states. “Paramount Skydance indicates it can close the deal by the end of September; therefore, time is of the essence to engage a consultant and complete an analysis of the economic impact. It is critical that we examine all the potential economic impacts of the purchase of Warner Bros by Paramount Skydance on the Los Angeles County economy. We must continue to pursue all avenues to keep as many jobs here as possible.”

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