Xavier Becerra Unveils Hollywood Jobs Revival Plan Ahead of California Governor Primary

California’s film and television sector has shed roughly 51,000 production jobs over the past three years, prompting renewed debate over the state’s tax-credit program. The incentive, capped at $750 million annually, was doubled in 2025 by Governor Gavin Newsom after a decade at $330 million. Competing jurisdictions such as Canada, the United Kingdom and France offer comparable subsidies, intensifying pressure on California to retain its industry base.

The Wrap

Democratic gubernatorial front-runner Xavier Becerra proposes a multi-pronged plan to halt the decline:

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• Expand the tax credit beyond the $750 million floor, scaling “where demand is real, where jobs follow, and where the return to California justifies it.”

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• Convene a California Entertainment Summit that brings together studios, labor unions, technology firms and streamers to produce a binding public-action plan.

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• Mandate performance-data disclosure so platforms share viewership metrics with cast, writers, directors and crew for fair bargaining.

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• Require AI-use transparency and grant performers enforceable rights over their likenesses, with compensation for data used to train models.

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• Pursue a federal production subsidy to counter foreign government credits, leveraging Becerra’s congressional experience.

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Becerra emphasized strategic growth: “I intend to increase the program’s scale, capacity and access.” Campaign adviser Michael Bustamante cautioned that an uncapped credit could strain the state budget, noting “the problem is we’ve got budget issues overall.” Newsom’s 2025 expansion was referenced as the “foundation” for further growth. Tom Steyer’s campaign, backed by the International Alliance of Theatrical Stage Employees (IATSE), criticized the plan as insufficiently detailed.

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Steyer’s spokesperson argued, “The truth is Xavier Becerra’s entertainment plan isn’t ready for prime time.” A streamer executive told Deadline, “People want solid numbers,” highlighting the absence of specific dollar figures. Assemblyman Rick Chavez Zbur, author of the 2025 expansion bill, warned that “there’s still a perception… that this primarily benefits Los Angeles,” and predicted a multi-year legislative battle to broaden the credit.

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• Jobs lost: ~51,000 production positions (last three years).

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• Current credit cap: $750 million per year (post-2025 expansion).

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• Previous cap: $330 million per year (pre-2025).

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Sources differ on the exact magnitude of Becerra’s proposed increase; no figure is disclosed. The summit’s date remains “TBD,” and budgetary impact estimates are absent, leaving analysts without a clear fiscal outlook.

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• “Where demand is real, where jobs follow, and where the return to California justifies it, I intend to increase the program’s scale, capacity and access,” — Xavier Becerra, gubernatorial candidate

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• “Our workers should not fight alone against foreign government treasuries,” — Xavier Becerra, policy proposal

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• “The truth is Xavier Becerra’s entertainment plan isn’t ready for prime time,” — Spokesperson for Tom Steyer

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• “I will support state requirements that productions disclose how AI is being used, that gives performers enforceable rights over their own likenesses, and that ensures the people whose work trained these systems are compensated for it.” — Xavier Becerra

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If elected, Becerra intends to call the Entertainment Summit within weeks of inauguration, while simultaneously lobbying Congress for a federal production credit. The June 2 primary will determine whether his plan proceeds to a runoff and, ultimately, implementation.

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