contractor

An Australian cybersecurity expert who served as director of L3Harris Trenchant, a U.S. defense contractor, has pleaded guilty in federal court to selling trade secrets to a Russian broker. Attorney General Pam Bondi stated that ‘America’s national security is not for sale.’ File Photo by Will Oliver/UPI | License Photo

Oct. 29 (UPI) — An Australian cybersecurity expert who served as director of L3Harris Trenchant, a U.S. defense contractor, has pleaded guilty in federal court to selling trade secrets to a Russian broker that resells cyber exploits to buyers including the Russian government.

Peter Williams, 39, pleaded guilty to two counts of theft of trade secrets that had been stolen over a three-year period from the defense contractor where he worked, the U.S. Justice Department announced in a news release.

The Justice Department did not name the American company, but British government corporate records showed it to be L3Harris Trenchant, where he was employed as the director from October 2024 until he resigned in August.

Williams admitted as part of his plea deal that he used his access to steal $35 million worth of trade secrets beginning in 2022 until his resignation, the Justice Department said.

Using the alias John Taylor, Williams then entered into “multiple written contracts” with a Russian broker who paid him some $1.3 million in cryptocurrency, and then used the money to buy himself fake Rolexes and high-end jewelry.

Sources told Australia’s ABC broadcaster that Williams previously worked for the Australian Signals Directorate, the country’s equivalent to the U.S. National Security Agency.

Precise details of what was stolen by Williams have not been made public, but the Justice Department said the materials were “national security-focused software that included at least eight sensitive and protected cyber-exploit components.”

“America’s national security is not for sale, especially in an evolving threat landscape where cybercrime poses a serious danger to our citizens,” Attorney General Pam Bondi said in a statement.

Williams faces up to 10 years in prison for each count at his sentencing, expected to take place next year. He also faces fines of up to $300,000 and will have to pay restitution of $1.3 million.

Exposing years-old concerns about California’s resilience to wildfires, a government whistleblower and other witnesses in a recent state trial alleged that cleanup operations after some of the largest fires in state history were plagued by mismanagement and overspending — and that toxic contamination was at times left behind in local communities.

Steven Larson, a former state debris operations manager in the California Governor’s Office of Emergency Services, failed to convince a jury that he was wrongly fired by the agency for flagging those and other issues to his supervisors. After a three-week trial in Sacramento, the jury found Larson was retaliated against, but also that the agency had other, legitimate reasons for dismissing him from his post, according to court records.

Still, the little-discussed trial provided a rare window into a billion-dollar public-private industry that is rapidly expanding — and becoming increasingly expensive for taxpayers and lucrative for contractors — given the increased threat of fires from climate change.

It raised serious questions about the state’s fire response and management capabilities at a time when the Trump administration says it is aggressively searching for “waste, fraud and abuse” in government spending, proposing cuts to the Federal Emergency Management Agency and clashing with state leaders over the best way to respond to future wildfires in California.

The allegations raised in the trial also come as FEMA and the Army Corps of Engineers are overseeing similar debris removal work — by some of the same contractors — following the wildfires that destroyed much of Pacific Palisades and parts of Altadena in January, and as fresh complaints arise around that work, as The Times recently reported.

During the trial, Larson and other witnesses with direct knowledge of state fire contracts raised allegations of poor oversight and sloppy hiring and purchasing practices by CalRecycle, the state agency that oversaw multiple major cleanup contracts for CalOES; overcharging and poor record-keeping by contractors; toxic contamination being left behind on properties meant to have been cleared; and insufficient responses to those problems from both CalOES and FEMA officials.

The claims were buttressed at trial by the introduction into evidence of a previously unpublished audit of cleanup operations for several large fires in 2018. They were mostly rejected by attorneys for the state, who acknowledged some problems — which they said are common in fast-paced emergency responses operations. They broadly denied Larson’s allegations as baseless, saying he was an inexperienced and disgruntled former employee who was fired for poor performance.

The allegations were also dismissed by CalOES and by Burlingame-based Environmental Chemical Corp., which was the state’s lead contractor on the 2018 fires and is now the Army Corps of Engineer’s lead contractor on cleanup work for the Palisades and Eaton fires, which is nearing completion.

Anita Gore, a spokeswoman for CalOES, defended the agency’s work in a statement to The Times. While acknowledging some problems in the past, she said the agency is “committed to protecting the health and safety of all Californians, including in the aftermath of disasters, and is unwavering in its desire to maintain a safe and inclusive workplace where everyone can feel respected and thrive.”

In its own statement to The Times, ECC said it followed the directives and oversight of state and federal agencies at all times, and “is proud of its work helping communities recover from devastating disasters.”

“We approach each project with professionalism, transparency, and a commitment to delivering results under extraordinarily challenging conditions,” the company said.

Maria Bourn, one of Larson’s attorneys, told The Times that while her client lost at trial — which they are appealing — his case marked a “win for government accountability and the public at-large” by revealing “massive irregularities by wildfire debris removal contractors” who continue to work in the state.

“The state’s continued partnership with these companies when such widespread irregularities were identified by one of its own should alarm every taxpayer,” Bourn said.

Camp, Woolsey and Hill fires

The allegations centered in large part around the state-run cleanup efforts following the Camp fire in Northern California, which killed 85 people and all but erased the town of Paradise in November 2018, and the contemporaneous Woolsey and Hill fires in Southern California, which ripped through Malibu and other parts of Los Angeles and Ventura counties.

FEMA has reimbursed the state more than $1 billion for costs associated with those cleanup efforts.

In a July 28, 2019, email entered as evidence in the trial, Larson wrote to CalOES chief of internal audits Ralph Zavala that he wanted to talk to him about “potential fraud” by Camp fire contractors, including ECC.

“I cannot say for sure, but something sure smells fishy,” Larson wrote in the email. “Either their contract was not in fact the lowest bid or they are creating fraud in the way they collect debris.”

Larson wrote in the same email that ECC was “supposedly the lowest bidder” but was “costing more” than the lower bids, which he wrote “doesn’t make sense.” At trial, Larson and his attorneys repeatedly claimed that instead of properly investigating his claims, his supervisors turned against him.

Other current and former state officials testified that they had raised similar concerns.

Todd Thalhamer, a former Camp fire area commander and operations chief who still works for CalRecycle, testified during the trial that he’d told Larson he believed ECC had low-balled its bid to win the work, then overcharged the state by millions of dollars. He said he had “dug very deep into the tonnage cost that they were charging, how they were charging, how they were cleaning it up,” and believed that ECC had been able to “game the system” by reporting that it was hauling out more of the debris types for which it could charge the most.

ECC denied manipulating bids or overcharging the state, and said that “all debris types and volumes are 100% inspected by and determined by CalRecycle and its monitoring representatives and systems, not by ECC or its subcontractors.”

Thalhamer testified that he’d sent an “email blast” out to top CalOES and CalRecycle officials telling them of his findings. He said that led to internal discussions and some but not all issues being resolved.

Further concerns were raised in records obtained by Larson’s attorneys from the prominent accounting firm EY, formerly known as Ernst & Young, which the state paid nearly $4 million to audit the Camp, Woolsey and Hill fire cleanup work.

According to those records, which were cited at trial, EY found that CalRecycle was “unable to produce documentation that fully supports how the proposed costs were determined to be reasonable when evaluating contractor proposals,” and didn’t appear to have “appropriate controls or oversight over the contractor’s performance.”

EY flagged $457 million charged by the contractors through 89 separate “change orders” — or additional charges not contemplated in their initial bids. It said the state lacked an adequate approval process for determining whether to accept such orders, couldn’t substantiate them and risked FEMA rescinding its funding if it didn’t take “immediate corrective action.”

EY specifically flagged $181 million in change orders for the construction of two “base camps” near the burn areas, from which the contractors would operate. It said the state only had invoices for $91 million of that spending, and that even those invoices were not itemized. EY executive Jill Powell testified that the firm believed such large contract changes were likely to be flagged as questionable by FEMA.

ECC — one of two contractors EY noted as having made the base camp change orders — defended its work.

The company said change orders are a necessary part of any cleanup operation, where the final cost “depends on the final quantities of debris that the Government directs the Contractors to remove and how far the material has to be transported for recycling or disposal.”

Such quantities can change over the course of a contract, which leads to changes in cost, it said.

As for the base camps, ECC said the state had explicitly stated in its initial request for proposals that it would “develop the requirements” and negotiate their cost through change orders, because details about their likely location and size were still being worked out when the bids were being accepted.

“Bidders could not know at the time of bid, which area of Paradise they would be assigned, how many properties would be assigned to the bidder, and therefore the exact size of the workforce that the Government would want housed in a Base Camp,” ECC said.

ECC said it “submitted invoices with supporting documentation in the format requested” by CalRecycle for all expenditures, and was “not aware of any missing invoices.”

“We cannot speak to what EY was provided from the State’s files or how the State provided those materials for EY’s review,” the company said. “Any gap in what EY reviewed should not be interpreted as meaning ECC failed to submit documentation.”

ECC said state officials only ever complimented the company for its work on the 2018 fires. And it said it continues to work in Southern California “with the same professionalism and care we bring to every project.”

SPSG, the second contractor EY flagged as being involved in the base camp change orders, did not respond to a request for comment.

Attorney James F. Curran, who represented the state at trial, said in his closing arguments that the work was not “running perfect” but was coming in on schedule and under budget. He said state officials were not ignoring problems, just cataloging non-pressing issues in order to address them when the dust cleared, as is common in emergency operations.

Curran said many of Larson’s complaints were based on his unfamiliarity with such work and his refusal to trust more experienced colleagues. He said Larson was fired not for flagging concerns, but because of “misconduct, arrogance, communication style problems, and performance problems.”

Gore, the CalOES spokeswoman, said CalRecycle awarded the contracts “through an open, competitive procurement process with oversight from CalOES and FEMA,” and that CalOES worked to address problems with contractors before Larson ever voiced any concerns.

Gore said CalOES hired EY to identify any potential improvements in the contracting and reimbursement process, and changed its policy to pay contractors per parcel of land cleared rather than by volume of debris removed in part to address concerns about potential load manipulation.

She said the agency could not answer other, detailed questions from The Times about the debris removal process and concerns about mismanagement and alleged overcharging because the Larson case “remains pending and subject to appeal,” and because CalOES faces “other, active litigation” as well.

The EY audit also flagged issues with several other contractors, including Tetra Tech and Arcadis, according to draft records obtained from EY by Larson’s attorneys and submitted as evidence at trial.

The EY records said Tetra Tech filed time sheets for unapproved costs, without sufficient supporting information, with questionable or excessive hours, with digital alterations that increased hourly rates, and without proper supervisor approvals. It said it also charged for work without providing any supporting time sheets.

The EY records said the company also used inconsistent procedures for sampling soil and testing for asbestos, used billing rates that were inconsistent between its contract and its invoices, charged for “after hours” work without supporting documentation, filed questionable, per-hour lodging costs, appeared to have digitally edited change orders after they were signed and dated, and relied inappropriately on questionable digital signatures for approving change orders.

Tetra Tech did not respond to a request for comment.

The EY records said Arcadis filed change orders for costs that appeared to be part of the “normal course of business,” filed invoices for work that began before the company’s state contract was signed, and relied inappropriately on digital signatures.

Arcadis referred all questions to CalRecycle. CalRecycle provided a copy of its own “targeted” audit of Arcadis’ work, which found the company had complied with the requirements of its nearly $29-million contract with the state. CalRecycle otherwise referred The Times back to CalOES.

North Bay fires

Concerns about cleanup work following major fires in Sonoma, Santa Rosa and other North Bay counties in 2017 — under both CalOES and the Army Corps of Engineers — also arose at the trial.

Sean Smith, a former 20-year veteran of CalOES and a prominent figure in California debris removal operations to this day, alleged in an email submitted at trial that ECC and other contractors hired to clear contaminated debris and soil from those fires over-excavated sites in order “to boost loads to get more tonnage and money.”

ECC denied Smith’s claims, saying it “does not perform excessive soil removal” and that it followed “the detailed debris removal operations plan requirements” of the Army Corps of Engineers, which had its own quality assurance representatives monitoring the work.

In a deposition, Smith also testified that, in the midst of spending more than $50 million to repair that over-excavation, state officials identified lingering contamination at “what would be considered hazardous waste levels.”

“They hadn’t finished the cleanup in all spots, and we found it, and we recorded it,” he said.

Smith testified that those findings were presented to high-ranking CalOES and FEMA officials during a meeting in San Francisco in October 2018. At that meeting, CalOES regional manager Eric Lamoureux laid out all the state’s contamination findings in detail, “but nobody wanted to hear it,” Smith said.

During his deposition, Smith alleged that the “exact words” of one FEMA attorney in attendance were, “We have to find out how to debunk the state’s testing” — which he said he found surprising, given the testing was based on federal environmental standards.

“I don’t know how you’d debunk such a thing,” Smith said.

FEMA officials did not respond to requests for comment. CalOES also did not answer questions about the alleged meeting.

ECC said that Smith, who managed and signed its contracts with CalOES, gave ECC “a very positive performance review” when it completed the Sonoma and Santa Rosa work — describing its work as “exceptional.”

Smith said he quit his post working on those fires after the San Francisco meeting, though he continued working for the agency in other roles for a couple more years. Smith more recently formed his own debris removal consulting firm — which has been involved in soil testing for the state after other recent fires.

CalOES did not respond to questions about Smith’s claims or separation from the agency.

WASHINGTON — When President Trump’s administration last month awarded a contract worth up to $1.2 billion to build and operate what it says will become the nation’s largest immigration detention complex, it didn’t turn to a large government contractor or even a firm that specializes in private prisons.

Instead, it handed the project on a military base to Acquisition Logistics LLC, a small business that has no listed experience running a correction facility and had never won a federal contract worth more than $16 million. The company also lacks a functioning website and lists as its address a modest home in suburban Virginia owned by a 77-year-old retired Navy flight officer.

The mystery over the award only deepened last week as the new facility began to accept its first detainees. The Pentagon has refused to release the contract or explain why it selected Acquisition Logistics over a dozen other bidders to build the massive tent camp at Fort Bliss in west Texas. At least one competitor has filed a complaint.

The secretive — and brisk — contracting process is emblematic, experts said, of the government’s broader rush to fulfill the Republican president’s pledge to arrest and deport an estimated 10 million migrants living in the U.S. without permanent legal status. As part of that push, the government is turning increasingly to the military to handle tasks that had traditionally been left to civilian agencies.

A member of Congress who recently toured the camp said she was concerned that such a small and inexperienced firm had been entrusted to build and run a facility expected to house up to 5,000 migrants.

“It’s far too easy for standards to slip,” said Rep. Veronica Escobar, a Democrat whose district includes Fort Bliss. “Private facilities far too frequently operate with a profit margin in mind as opposed to a governmental facility.”

Attorney Joshua Schnell, who specializes in federal contracting law, said he was troubled that the Trump administration has provided so little information about the facility.

“The lack of transparency about this contract leads to legitimate questions about why the Army would award such a large contract to a company without a website or any other publicly available information demonstrating its ability to perform such a complicated project,” he said.

Ken A. Wagner, the president and CEO of Acquisition Logistics, did not respond to phone messages or emails. No one answered the door at his three-bedroom house listed as his company’s headquarters. Virginia records list Wagner as an owner of the business, though it’s unclear whether he might have partners.

Army declines to release contract

Defense Secretary Pete Hegseth approved using Fort Bliss for the new detention center, and the administration has hopes to build more at other bases. A spokesperson for the Army declined to discuss its deal with Acquisition Logistics or reveal details about the camp’s construction, citing the litigation over the company’s qualifications.

The Department of Homeland Security, which includes U.S. Immigration and Customs Enforcement, declined to answer questions about the detention camp it oversees.

Named Camp East Montana for the closest road, the facility is being built in the sand and scrub Chihuahuan Desert, where summertime temperatures can exceed 100 degrees Fahrenheit and heat-related deaths are common. The 60-acre site is near the U.S.-Mexico border and the El Paso International Airport, a key hub for deportation flights.

The camp has drawn comparisons to “Alligator Alcatraz,” a $245 million tent complex erected to hold ICE detainees in the Florida Everglades. That facility has been the subject of complaints about unsanitary conditions and lawsuits. A federal judge recently ordered that facility to be shut down.

The vast majority of the roughly 57,000 migrants detained by ICE are housed at private prisons operated by companies like Florida’s Geo Group and Tennessee-based CoreCivic. As those facilities fill up, ICE is also exploring temporary options at military bases in California, New York and Utah.

At Fort Bliss, construction began within days of the Army issuing the contract on July 18. Site work began months earlier, before Congress had passed Trump’s big tax and spending cuts bill, which includes a record $45 billion for immigration enforcement. The Defense Department announcement specified only that the Army was financing the initial $232 million for the first 1,000 beds at the complex.

Three white tents, each about 810 feet long, have been erected, according to satellite imagery examined by the Associated Press. A half dozen smaller buildings surround them.

Setareh Ghandehari, a spokesperson for the advocacy group Detention Watch, said the use of military bases hearkens back to World War II, when Japanese Americans were imprisoned at Army camps including Fort Bliss. She said military facilities are especially prone to abuse and neglect because families and loved ones have difficulty accessing them.

“Conditions at all detention facilities are inherently awful,” Ghandehari said. “But when there’s less access and oversight, it creates the potential for even more abuse.”

Company will be responsible for security

A June 9 solicitation notice for the Fort Bliss project specified the contractor will be responsible for building and operating the detention center, including providing security and medical care. The document also requires strict secrecy, ordering the contractor inform ICE to respond to any calls from members of Congress or the news media.

The bidding was open only to small firms such as Acquisition Logistics, which receives preferential status because it’s classified as a veteran and Hispanic-owned small disadvantaged business.

Though Trump’s administration has fought to ban diversity, equity and inclusion programs, federal contracting rules include set-asides for small businesses owned by women or minorities. For a firm to compete for such contracts, at least 51% of it must be owned by people belonging to a federally designated disadvantaged racial or ethnic group.

One of the losing bidders, Texas-based Gemini Tech Services, filed a protest challenging the award and the Army’s rushed construction timeline with the U.S. Government Accountability Office, Congress’ independent oversight arm that resolves such disputes.

Gemini alleges Acquisition Logistics lacks the experience, staffing and resources to perform the work, according to a person familiar with the complaint who wasn’t authorized to discuss the matter and spoke on the condition of anonymity. Acquisition Logistics’ past jobs include repairing small boats for the Air Force, providing information technology support to the Defense Department and building temporary offices to aid with immigration enforcement, federal records show.

Gemini and its lawyer didn’t respond to messages seeking comment.

A ruling by the GAO on whether to sustain, dismiss or require corrective action is not expected before November. A legal appeal is also pending with a U.S. federal court in Washington.

Schnell, the contracting lawyer, said Acquisitions Logistics may be working with a larger company. Geo Group Inc. and CoreCivic Corp., the nation’s biggest for-profit prison operators, have expressed interest in contracting with the Pentagon to house migrants.

In an earnings call this month, Geo Group CEO George Zoley said his company had teamed up with an established Pentagon contractor. Zoley didn’t name the company, and Geo Group didn’t respond to repeated requests asking with whom it had partnered.

A spokesperson for CoreCivic said it wasn’t partnering with Acquisition Logistics or Gemini.

Biesecker and Goodman write for the Associated Press. Goodman reported from Miami. AP writer Alan Suderman in Richmond, Va., and Morgan Lee in Santa Fe, N.M., contributed to this report.

Toni Gray’s phone is blowing up these days.

The head of production at Dhar Mann Studios, which makes shows for YouTube and other online platforms, said entertainment industry friends in Los Angeles had once held out before seeking work in the digital realm.

But now, with jobs few and far between at the legacy studios, they are reaching out “all the time” looking for opportunities at the Burbank-based studio, known for posting family-friendly dramas addressing topics like bullying.

Seeing some of her peers now flock to be a part of production companies built for distribution on YouTube and other online platforms is exciting for Gray, who worked in traditional television for more than a decade and joined Dhar Mann Studios in February.

“It’s giving people hope that they can get back to work again,” she said. “And it’s not just monetary hope for their house and their kids. It actually is giving their own being life again to bring their creative element.”

In Hollywood’s TV and film industries, droves of workers are competing for jobs at a time when many companies are consolidating and laying off hundreds of people at a time. But one segment of the entertainment industry has emerged as a bright spot — the economy made up of people creating video for YouTube and social media.

That part of the industry, once dominated by amateurs making funny viral videos with smartphones has blossomed into a formidable entertainment force, where video creators are setting up real businesses with large studios in Southern California funded through advertising by major brands.

Dhar Mann Studios plans to add 15 positions to its staff of about 75 full-time employees. In Sherman Oaks, Pave Studios, which produces wellness- and true-crime-related shows, is adding 16 full-time workers to its staff of 67 contractors and employees.

Nationwide, there were more than 490,000 jobs supported by YouTube’s creative ecosystem last year, according to the Google-owned video platform, citing data from Oxford Economics. That’s roughly 60,000 more jobs than in 2023, YouTube said.

“It’s beginning to mature into creators really building businesses,” said Thomas Kim, YouTube’s director of product management for creator monetization. “We see more and more of that, and that also means that the number of employees and help that they need to sustain their business has grown over time.”

Sean Atkins, chief executive of Dhar Mann Studios, called it a big growth opportunity in the market. YouTube is a major player in streaming, representing 12.5% of U.S. TV viewing in May, according to Nielsen, more than streaming services including Netflix and Amazon Prime Video.

“Everything is so new and nascent,” said Atkins, a former president at MTV. “I imagine, particularly when you walk around our studio … that this is what it looked like in the ‘20s when MGM and Disney and Warner [Bros.] were [founded]. Just this enthusiastic chaos where everyone’s trying to figure out what this environment is.”

The growth in Southern California influencer businesses is a boon to the local production economy that is otherwise struggling. L.A. County saw a 27% decline to 108,564 employees from 2022 to 2024 in the motion picture and sound recording industries, according to data from the U.S. Bureau of Labor Statistics.

Many Hollywood workers have struggled to find roles, as studios cut down on their programming after the 2023 actor and writer strikes and after overspending during the streaming wars. For years, productions have fled the area to take advantage of lucrative financial incentives out of state and abroad. Production in L.A. County also took a hit following devastating wildfires in January.

Meanwhile, the amount of employment in the creator economy is trending up, according to the Los Angeles County Economic Development Corp. Total workers in the L.A. County creator economy, composed of businesses such as media streaming distribution services and social networks, as well as independent artists, writers and performers, increased 5% to 70,012 from 2022 to 2024, LAEDC said. Companies in the creator economy space also increased 5% to 46,425 businesses during the same time period, according to LAEDC.

The bleak job market has caused more people who have worked in traditional studio and TV networks to apply for jobs at digital media companies that produce content for platforms such as YouTube or work with influencers who are growing their staffs.

The migration reflects changing realities in the business. Consumers’ habits have shifted, where more people are watching YouTube on TV screens these days instead of on smartphones in the U.S., eating into territory held by broadcast and cable television. Video creators have adapted, building production teams and expanding into podcasts, merchandise and sometimes scoring streaming deals.

For example, one of YouTube’s top creators, Jimmy Donaldson, known as MrBeast, has a reality competition show on Amazon Prime Video, sells products such as Feastables chocolates and has brand partnerships and sponsorships. His North Carolina holding company, Beast Industries, employs more than 500 people.

Kyle Hjelmeseth, chief executive of talent representation firm G&B Digital Management, said he is receiving more calls from people coming with traditional media backgrounds seeking collaborations with influencers.

“Five years ago, it would have been very different,” he said. “Anytime that somebody from Hollywood or the entertainment complex talked about creators, it was with such a different lens … a little bit like nose in the air.”

His company, which has 25 contractors, part-time and full time employees, added four people last month with plans to hire more.

“All the pressures of what’s happening in Hollywood and the growth of the creator economy [are] crashing into each other in this moment, and that’s why we’re having a conversation about jobs, because there’s such a shift in the energy, and we’re certainly feeling it,” he said.

Pave Studios launched last year with fewer than 10 employees and now has grown to 67 contractors and employees. Part of that growth is fueled by the increasing audience for its videos and podcasts available on platforms including YouTube, Spotify and Apple Podcasts. The company is hiring for roles including executive producers, with a pay range of $95,000 to $145,000, depending on the show, said founder Max Cutler.

“As we grow and as the business becomes more complicated, you need more specialists and more people,” Cutler said. “Video is definitely a leading growth area for us.”

Jen Passovoy joined Pave Studios in January as a producer, after working for 10 years at Paramount on competition series such as “RuPaul’s Drag Race” and “Ink Master.”

“Coming from a traditional TV background, I was drawn to how nimble and audience-focused the company is,” Passovoy said in an email. “There’s less red tape and more room to actually create. You get the energy of a startup with the same high-quality content you’d expect from a major studio.”

Passovoy, 34, said the job market for traditional studio and TV network workers is really tough right now.

“I know more people out of work right now than working, which says a lot,” she said. “The traditional TV model just doesn’t exist in the same way anymore. Budgets are shrinking and the jobs that used to be steady aren’t there. There have been so many layoffs across the industry, and it’s forced a lot of incredibly talented people to rethink how and where they create.”

Skills that people develop in traditional studio and TV roles can translate to digital-first roles, including video editors for influencers and digital media companies, industry observers said.

The creator economy also has more specialized roles, such as thumbnail designers — people who create the images used to tease videos on sites including YouTube. Those jobs can pay six figures annually, as they can be instrumental for getting audiences to click on those videos.

Roster, a hiring platform that lists job postings in the creator space, said the number of employers signing up to hire on the site has increased by nearly 80% from January to June 2025. Based on a sampling of 1,430 creator job posts in 2025, Roster said the most popular open position was video editor (representing 42.5%), followed by thumbnail designer (16.1%) and producer (10.6%).

There are downsides. Not all jobs are full-time. Many creators opt to hire freelancers.

“Their production needs need to expand and shrink like an accordion,” said Sherry Wong, CEO of Roster. “That’s why we see a lot of creators, even if they’re really big established creators, they are hiring freelancers, contractors, and being able to keep it as lean as possible.”

With so many people looking for work, there‘s intense competition for those jobs, and the ways to apply can be creative and involved.

Miami-based creator Jenny Hoyos found freelancers through a hiring challenge she hosted on Roster. Applicants were given 10 minutes of raw video footage and instructed to edit it down to a video short, roughly 30 to 60 seconds long.

Hoyos, 20, requested that applicants create a final product that was engaging, cohesive and matched her specific style. She received more than 100 submissions.

While there were strong contenders from California, the winners ended up being from Brazil and India. They became her two go-to freelancers, who she said are essentially working an amount equivalent to full-time editors.

This method of seeking talent was Hoyos’ way of making sure the people she brought on to her team were willing to go the extra mile, she said. Those hoping to break into the digital media world don’t necessarily have to have grown up with YouTube and social media like she did, but they do have to “commit to being addicted to watching” content, she said.

Not everyone who works for YouTube creators gets paid.

Screenwriter Natalie Badillo isn’t earning a salary while she tries to build up an audience on YouTube. Badillo, who sold a self-titled project to HBO Max a few years ago, said she was looking for a way to “not wait 8 billion years for a TV show to get picked up,” and creating a YouTube channel, “Great Job Nat,” was a way to get her material out into the world.

“Why wait for somebody to throw you a party when you can just throw your own party?” she said.

Badillo draws on her connections with folks from the traditional film and TV world to produce the YouTube videos. While the channel is getting up and running, collaborators work for low pay or simply for the fun of it and to gain experience. Still, her ambitions are big. “I want to be the Jon Stewart of the West,” she said.

The pay disparities can be an issue for people from traditional media industries looking for jobs. While some programs featuring influencers and vertical excerpts of TV shows and movies are covered by union agreements, other projects don’t have those protections.

“With temporary hiring, it’s like everything else in Hollywood — you either need to have another job that balances things out or you need to get to a critical mass of enough work on enough different projects,” said Kevin Klowden, executive director at Milken Institute Finance. “The number of sustainable Hollywood jobs has shrunk.”

But as the two worlds collide, traditional media companies are already paying attention to the popularity of creator shows and are trying to find ways to partner with influencers. Amazon earlier this year announced more seasons of MrBeast’s reality competition series “Beast Games,” and digital media companies are adding people with traditional media backgrounds to their staffs.

“It’s still a lot more tiptoeing,” Hjelmeseth said. “Everybody’s kind of like looking at each other from across the room, like, ‘Should we dance?’”

May 22 (UPI) — American defense contractor L3 Technologies Inc. will pay tens of millions of dollars in fines to settle allegations that one of its divisions, Communications System West, submitted false business info to U.S. military and other federal agencies, the U.S. Justice Department announced Thursday.

L3, doing business in Utah, agreed to pay $62 million to the U.S. government to settle scores of allegations that Communications System West had violated multiple provisions in federal law by “knowingly” making false claims, according to a settlement agreement.

“Taking advantage of the resources that support the armed forces of the United States and other government agencies will not be tolerated,” said Utah’s Acting U.S. Attorney Felice John Viti.

At the end of 2018, L3 Technologies and Harris Corp. announced its merger that created the country’s sixth largest defense contractor.

U.S. officials say L3 company leaders knowingly made false statements and submitted other claims for “dozens” of government contract proposals by not accurately disclosing L3’s current and complete set of cost and pricing data for communication devices sold to a number of departments and agencies, including the U.S. Army, Navy and Air Force.

Viti said his office will continue to work and partner with law enforcement agencies to investigate and “hold accountable individuals and contractors who defraud the government.”

L3 produces communications equipment designed to operate unmanned vehicles, retrieve data and other visuals for U.S. military ops and intelligence, DOJ added.

The Justice Department contends that the practice went on from October 2006 to at least February 2014.

It said L3 Tech allegedly violated provisions in the 1863 False Claims Act, amended in 1986 under the Reagan administration, and the 1962 Truth In Negotiations Act which requires a federal contractor to provide the most current and accurate facts to government regulators by the time there’s an agreement, which could “reasonably be expected to affect price negotiations significantly.”

“Investigating companies that defraud the Army is crucial to maintaining the trust of the American public and upholding the integrity of government contracting,” said Special Agent in Charge Olga Morales of the U.S. Army’s CID southwest field office.

In 2020, L3Harris Technologies was selected to design and manufacture a next-gen aerial device in a nearly $500 million contract, and the company started the year with a $28 million DOD contract to update Greek F-16 jets. The year prior, L3 was on the receiving end for more than $37 million to produce U.S. Navy precision aiming lasers and $73 million to repair U.S. Navy submarine issues in 2019.

OSI Special Agent Jeffery Herrin said the $62 million settlement underscored the “commitment” the Air Force Office of Special Investigations has to protect national security and “ensuring the integrity of Department of Defense acquisitions.”

“L3’s defective pricing in contract proposals for critical systems like ROVER, VORTEX and SIR erodes public trust,” he continued, saying with “robust” law enforcement alliances that “law and order” will be upheld in the U.S. defense industry.