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MGM Makes Room for Hobbit and New Zealand Government Under Fire

MGM Studios

MGM finished clearing out some room this week in order to receive approval from the Bankruptcy judge to move forward with some of their “highly anticipated” projects (James Bond and of course The Hobbit).  Both movies are not set to be released until late 2012, so a lot is riding on these two films for the studio giant (no pressure Peter).  For quite some time now, MGM has been under bankruptcy and working hard to settle some of their debt in order to restructure itself to a point where they can emerge out of bankruptcy, which is very close at this point.  The judge did grant MGM permission to move forward with the movie projects, so there will be no delays for The Hobbit, as for now.

The New Zealand government is under fire from local labor unions who are claiming that the government sold out their citizens in order to secure the location for the filming of the Hobbit movies.  It was only a couple months ago when New Zealand being the location for the movies was jeopardized, due to labor protests and stringent laws that was not appealing to Warner Brothers.  However, New Zealand government officials came to the rescue and struck a deal with Warner, keeping the over $500 million anticipated investment on the Kiwi Island.

Now, it is coming to light the content of the deals that the government struck with Warner.  Many laws that have been instated for decades, protecting local labor unions, were amended to satisfy the demands of the studio.  One in particular, the law prohibiting changing the status of an employee to an independent contractor.  Many local union leaders feel that their government “sold them out” at the stakes of a “giant corporation.”  They may end up forgiving their leaders, when that new influx of capital into the island begins to show up in their personal paychecks.

Big Hobbit announcements are in the very near future, so be sure to stay updated!

  • Bern19642002

    It is very clear that the Labour and Unions do not want anything to do with The HOBBIT !!!
    It is about time that the Movie was moved and filmed in a country like ummmmmmm ANY, that would kill to get hotels , bars, and just about anything that was required to make this movie be filmed.
    New Zealand do not deserve this chance to improve extra cash to this .
    Take this out as this will not end here!
    We will never see this movie while it is going to be made there!
    GET OUT !!!!!

  • Rifky_jerman

    I am GOD

  • Cristian

    I partly agree with your statement. On the one hand, the movie must be filmed wether it’s on Nz or anywhere else, but on the other hand I totally support demands from Labour and Unions. I consider the project should benefit NZelanders and obviously the MGM studios. A point of balance should be easy to find If both parties agree on this aspect.

  • Hobbitwannabe

    I would love to know if anyone has been contacted that went for the casting call for extras? I stood in line as did many NZlanders and we were told that we would be called in 2 weeks! It has been 5? I read some where that if we aren’t chosen then it is either because we are to ugly or not ugly enough :o) Commenting on the skin tone issue, I heard the man in charge say to 2 people in line that they “were too dark” They still were allowed to apply but were discouraged from doing so.

  • Nicby77

    why does it have to be filmed in new zealand?yes it is an ideal location for its natural beauty etc but, there are so many other countries in which it could be the u.k. for instance,scotland,wales and parts of england are beautiful and untouched.also,tolkien was english after all and much of his discription of lanscape was influenced by parts of the west midlands in ENGLAND!if the kiwis want to mess about and not be grateful for an ideal way to help fuel their economy then im sure the u.k wouldnt mind taking it on.SCRAP THE POLITICS AND GIVE THE PUBLIC WHAT THEY WANT!MAKE THE FILM.

  • saintmax

    esta película la se puede filmar en la Patagonia ARGENTINA.. sus paisajes son verdaderamente idénticos a los de la tierra media sin necesidad de iluminación o efectos de cámara…

  • Anonymous

    Maybe a few less rides in the corporate jet for the office types, and the union salaries for the workers wouldn’t seem so burdensome (;