All minimum/floor price caps keep a certain amount of potential employees off the payrolls. However, most entry level writers don't last in the industry. There's a high turnover and those with talent stick around at far above the minimum/scale.I've always considered unions in the film industry to be more gate keeping institutions than anything else. The desire to be a writer/actor/director/cinematographer/G&E is much higher than the actual demand from the studios, so part of the way that unions keep pay high is keeping down the supply of labor for those jobs. Don't let people in until they've "proven" themselves. How many other unions work that way?
Historically, the number of shows on the air was controlled by three networks. When Fox appeared, it both lured top talent and diluted the audience. Studios tried to produce similar programs as before but, when additionally WB and Paramount came on the scene, the talent dilution and financial constraints made too many shows unwatchable. Then game and news replaced the dramas and the sitcoms. Streaming created an illusion of limitless budgets for all artisans - from writers to actors to directors and so on - but there's a pullback during a down cycle along with price hikes for the subscriptions. And that will determine the total number of available jobs.
PS. A friend of a friend worked on Seinfeld. Of the script he wrote, he recognized a couple of lines after Larry David got done with it. And it wasn't that Larry wanted to screw the guy (the original writer got paid fully). It's just that the show runners and their top underlings are tasked with maintaining a certain level of quality.
PPS. Seinfeld, unlike the Simpsons, for example, wasn't a "writers room" show.





