The Hollywood sign in Los Angeles on Jan. 22, 2024
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LOS ANGELES — President Donald Trump picked a fight with Hollywood’s best friend.

Hollywood North Under Threat

Known as Hollywood North, Canada has been a bustling production hub for American film and television series for decades. In addition to offering an enticing tax credit for stateside studios, the country has developed a top-notch workforce of industry talent in front of and behind the camera.

Trump’s proposed import tariffs on Canadian goods could threaten that relationship, Hollywood insiders told CNBC.

Trade War Fears

Some fear that a trade war with Canada could cause the U.S.’ northern neighbor to retaliate in ways that would hurt film production, potentially rescinding those sought-after tax credits or closing stages to U.S. studios altogether. Others believe the relationship between Hollywood and Canada is strong enough, and lucrative enough, to withstand Trump’s levies.

Retaliatory Measures

On Saturday, Trump announced 25% tariffs on most goods from Mexico and Canada, as well as a 10% duty on goods from China. Trudeau immediately slapped retaliatory tariffs on American goods, saying, "Like the American tariffs, our response will also be far-reaching."

Paused Tariffs

On Monday, both Canada and Mexico announced the tariffs would be paused for 30 days after the countries agreed to greater border controls.

Production Budget Pressures

Should the levies be revived in a month, Trump’s tariffs could put pressure on production budgets, according to industry insiders, particularly for films and television shows that import certain textiles for costuming or unique construction materials such as specialty glass from outside the U.S.

Locally Sourced Supplies

However, most studios source materials locally to their productions. It is rare for a Los Angeles-based set to bring in lumber from Canada, for example. Films and TV shows filmed in other countries will predominantly use supplies in those locations or ship them from the U.S. This includes food used in catering, which could see a slight uptick in price because of tariffs, but likely will not alter budgets too much.

Rented Equipment

Additionally, many of the line items on the typical production budget are rented. Lighting, cameras and other production equipment come from studio warehouses and are leased for the duration of the shoot, isolating production costs from higher levies to an extent.

Squeezing Consumers

Still, concerns are growing that higher tariffs across sectors could affect moviegoers’ wallets and in turn threaten box office sales.

Box Office Impact

Companies importing goods into the U.S. from these affected countries are expected to pass additional costs onto consumers, raising the cost of hundreds of common household goods. Film industry members who spoke to CNBC said they were worried that if customers start to tighten their purse strings, trips to the theater could be among the expenses that get cut.

Hollywood’s Rebound

Hollywood has only just begun to rebound after Covid-19 pandemic production shutdowns were exacerbated by dual labor strikes. Now, even if studios are able to improve the cadence of theatrical releases, there is concern that moviegoers will not have the discretionary income to see new films and buy popcorn.

Conclusion

Ultimately, industry experts told CNBC that Hollywood will navigate whatever consequences come from Trump’s tariffs. However, it likely will have a harder time dealing with any pullback in consumer spending.

FAQs

Q: What is Hollywood North?
A: Hollywood North is the nickname for Canada, which has been a popular filming location for American film and television productions.

Q: Why are Canadian goods under threat?
A: President Donald Trump’s proposed import tariffs on Canadian goods could harm the relationship between Hollywood and Canada, potentially leading to a trade war.

Q: How could Trump’s tariffs affect production budgets?
A: Tariffs could increase costs for films and television shows that import certain textiles or construction materials, potentially affecting production budgets.

Q: How might consumers be affected?
A: Higher tariffs across sectors could lead to increased prices for household goods, potentially reducing consumer spending on discretionary items like movie tickets.

The modern workplace is witnessing a significant shift, with employees become increasingly vocal about their rights, values, and beliefs. Employee activism, a term that refers to the collective action taken by employees to bring about change within an organization or industry, is on the rise. As a result, Human Resources (HR) professionals are facing new challenges and opportunities to support their employees’ activism while ensuring the organization’s success. In this guide, we will explore the role of HR in supporting employee activism, the benefits, and the challenges that come with it.

What is Employee Activism?

Employee activism is not a new concept, but its scope and intensity have increased significantly in recent years. It can manifest in various forms, such as:

• Unionization: Employees coming together to form a union to negotiate better working conditions, wages, and benefits
• Social and environmental activism: Employees using their collective voice to advocate for social and environmental causes
• Internal activism: Employees pushing for changes within the organization, such as better working hours, flexible work arrangements, or improved diversity and inclusion

The Role of HR in Supporting Employee Activism

HR professionals play a crucial role in supporting employee activism by:

Providing a Supportive Environment

• Encouraging open communication and transparency within the organization
• Fostering a culture of inclusivity and respect for diverse perspectives
• Providing resources and training to support employee engagement and activism

Managing Expectations

• Setting clear expectations for employee activism, ensuring that it aligns with the organization’s goals and values
• Establishing procedures for reporting and addressing concerns or issues raised by employees
• Ensuring that employee activism does not interfere with the organization’s operations or compromise its reputation

Facilitating Collaboration and Negotiation

• Facilitating communication and collaboration between employees, management, and other stakeholders
• Assisting in negotiations and conflict resolution
• Providing guidance on labor laws and regulations related to employee activism

Monitoring and Evaluating

• Monitoring the impact of employee activism on the organization
• Evaluating the effectiveness of employee activism initiatives
• Identifying areas for improvement and adjusting strategies accordingly

Benefits of Supporting Employee Activism

Supporting employee activism can bring numerous benefits to the organization, including:

• Improved employee engagement and morale
• Increased creativity and innovation
• Enhanced reputation and brand image
• Better representation and inclusion of diverse perspectives

Challenges of Supporting Employee Activism

However, supporting employee activism also comes with challenges, including:

• Balancing the rights of employees with the needs of the organization
• Managing conflicting opinions and perspectives
• Ensuring that employee activism does not compromise the organization’s operations or reputation
• Navigating complex labor laws and regulations

Real-Life Examples and Success Stories

• The #MeToo movement, which led to a global conversation about workplace harassment and accountability
• The Black Lives Matter movement, which highlighted systemic racism and police brutality
• The environmental activism of employees at companies like Amazon and Google, which led to changes in company policies and practices

Conclusion

In conclusion, the role of HR in supporting employee activism is critical to creating a positive and productive work environment. By providing a supportive environment, managing expectations, facilitating collaboration and negotiation, and monitoring and evaluating employee activism, HR professionals can help organizations reap the benefits of employee activism while minimizing its challenges. As the world continues to evolve, it is essential for HR professionals to stay ahead of the curve and adapt to the changing landscape of employee activism.

FAQs

Q: What is the primary goal of HR in supporting employee activism?
A: The primary goal of HR is to support employees in their activism while ensuring that it aligns with the organization’s goals and values.

Q: How can HR professionals facilitate collaboration and negotiation between employees and management?
A: HR professionals can facilitate communication and collaboration by providing a neutral and confidential forum for discussion, establishing clear expectations, and offering guidance on labor laws and regulations.

Q: What are some common challenges that HR professionals face in supporting employee activism?
A: Common challenges include balancing the rights of employees with the needs of the organization, managing conflicting opinions and perspectives, and ensuring that employee activism does not compromise the organization’s operations or reputation.

Q: How can HR professionals evaluate the effectiveness of employee activism initiatives?
A: HR professionals can evaluate the effectiveness of employee activism initiatives by monitoring the impact on employee engagement and morale, identifying areas for improvement, and adjusting strategies accordingly.

President Trump’s Tariffs Could Worsen US Drug Shortages, Raise Healthcare Costs

President Donald Trump’s steep tariffs on Canada, Mexico, and China could worsen existing drug shortages in the US, raise healthcare costs for patients, and threaten cash-strapped generic drugmakers, some drug trade groups warn.

Impact on Generic Drugs

The US relies heavily on other countries for pharmaceutical products, especially for generic drugs, which make up 90% of Americans’ prescriptions. Those medications are often manufactured overseas at lower costs. The tariffs could increase already problematic drug shortages by forcing generic manufacturers out of the market due to low profit margins.

Warnings from Drug Trade Groups

John Murphy, CEO of the Association for Accessible Medicines, which represents generic pharmaceutical companies, urged the Trump administration to exempt generic products from tariffs. He stated that generic manufacturers simply cannot absorb new costs and that the overall value of all generic sales in the US has decreased by $6.4 billion in five years despite growth in volume and new generic drug launches.

Healthcare Distribution Alliance’s Concerns

The Healthcare Distribution Alliance, which represents 40 drug distributors, has also called for the Trump administration to reconsider including pharmaceutical products in tariffs. The group warned that tariffs will strain the pharmaceutical supply chain and could adversely affect American patients, whether that is through increased medical product costs or manufacturers leaving the market.

Estimated Impact

An estimate from The Budget Lab at Yale University said long-term prices of pharmaceutical products in the US will be 1.1% higher after shifts in the supply chain.

Impact on Medical Devices

The US also relies on overseas manufacturing for medical devices, with many key components and finished products being sourced from countries such as China, Mexico, and India. Tariffs on these countries could increase the costs of medical products and lead to shortages of critical medical technologies, higher prices for patients and payers, and less investment in research and development.

Conclusion

The tariffs imposed by President Trump could have far-reaching consequences for the pharmaceutical and medical device industries in the US. The increased costs and potential shortages of crucial medicines and medical technologies could lead to higher healthcare costs for patients and potentially worsen existing drug shortages.

Frequently Asked Questions

Q: What is the impact of tariffs on generic drugs?
A: The tariffs could increase already problematic drug shortages by forcing generic manufacturers out of the market due to low profit margins.

Q: How do tariffs affect the pharmaceutical supply chain?
A: Tariffs will strain the pharmaceutical supply chain and could adversely affect American patients, whether that is through increased medical product costs or manufacturers leaving the market.

Q: What is the estimated impact of tariffs on pharmaceutical prices?
A: Long-term prices of pharmaceutical products in the US will be 1.1% higher after shifts in the supply chain.

Q: How do tariffs affect medical devices?
A: Tariffs could increase the costs of medical products and lead to shortages of critical medical technologies, higher prices for patients and payers, and less investment in research and development.