
In a free market economy, people generally get paid what they're worth, assuming they have the freedom to change jobs. A career Papa John's employee may complain, but any sixteen-year-old could do his job. Likewise if just anybody could be a CEO, the board of directors wouldn't waste six figures on some fancy suit. They'd just hire the Papa John's guy, and use the excess for something that really gave them an advantage. If the Papa John's guy makes great pizzas but doesn't receive a raise or promotion, but Dominoes will give him an assistant manager position, what do you think he's going to do? He doesn't need to go on strike, he just needs to go where he'll get what he's worth. So he quits and goes to Dominoes. Papa John's hires a high schooler, and everyone is happy. The new assistant manager didn't need a union to get what he was worth; neither did the CEO; performance is the best bargaining tool.
So why are the writer's dissatisfied with what they are being offered? Apparently the sticky points include DVD residual payments, union jurisdiction over animation and reality program writers, and compensation for "New Media" programs such as Internet shows. So the items being discussed represent new and lucrative opportunities, and like a gold rush everyone comes running with their pickaxes. What should happen is that the production companies hash it out with the individual writers. If a talented writer feels he's being cheated, he probably could get better terms at a company that would be more appreciative of his skills. Less talented writers wouldn't have that power but that's fair. Is it not? At least they can make a living doing what they enjoy.

But the Writer's Guild of America says that writers are not to be negotiated with individually. Instead collective bargaining ensues. What producer wants to pay a low-talent writer more than he's worth? So we have an impasse. Let's get real. The chumps that wrote the Cavemen series, got paid a lot more than they were worth. The guys that wrote the first few seasons of 24 can probably get whatever they ask.
In a healthy free market economy, unions are not just unnecessary but also destructive. The delicate harmony is thrown out of balance. This whole thing is just another example. How many American manufacturing facilities would still be able to support communities if unions hadn't driven their payroll expenses higher than they could competitively sustain? In the end everyone loses.