Bollywood is currently facing severe financial challenges, with industry insiders frequently lamenting a lack of funds.
Despite a significant Rs 5,000 crore gross last year, the Hindi film industry is experiencing one of its driest periods in recent memory. Panic has set in, with few new movie announcements, declining pay, and a stagnant market.
The core issue isn't a lack of money but its unequal distribution, primarily due to the exorbitant fees and demands of top stars.
Industry stakeholders have revealed that producers are slashing the pay of actors, writers, and editors to accommodate the high costs associated with stars and their entourages.
For instance, while stars and their teams enjoy expensive meals, supporting actors struggle to get fair compensation. One actor sarcastically noted, “Because apparently the market has no money,” highlighting how most of the budget is consumed by stars, leading to significant cost-cutting for everyone else. This often results in demotivated talent or inexperienced replacements, ultimately affecting the film's quality and performance, reported The New Indian Express.
A previous report by The Indian Express detailed the high overhead costs associated with stars. For instance, the spot boy of a star might charge Rs 25,000 per day, while personal security and stylists demand even more. Akshay Kumar reportedly charged over Rs 100 crore for "Bade Miyan Chote Miyan," while Tiger Shroff took Rs 35-40 crore, significantly inflating the film's budget.
Writers, crucial to a film's success, also suffer from this financial imbalance. Established writers might command Rs 75 lakh to Rs 2 crore, while newcomers are often forced to accept as little as Rs 2-3 lakh. Veteran writer Anjum Rajabali, speaking on behalf of the Screen Writers Association, emphasized the need for a minimum fee, suggesting Rs 12 lakh as a baseline. He pointed out the absurdity of saving a few lakhs on writers' fees while stars earn crores.
The financial struggles extend beyond writers.
Cinematographers, editors, and other technicians also face pay cuts and delayed payments. Even actors in minor roles experience similar issues, with one actor revealing they were only paid a portion of their modest Rs 15,000 fee by a major production house.
Trade analyst Komal Nahta highlighted the issue, noting that films like "Crew," despite decent earnings, barely broke even due to their inflated budgets.
Industry sources suggest that post-pandemic shifts towards digital platforms have further complicated matters. Streamers offered substantial sums to actors and creators, inflating star fees beyond sustainable levels. As a result, mid-range stars now demand exorbitant fees, even when their box office draw remains modest.