Redundancies loom for arts sector
Major redundancies are expected across the live music sector in the coming weeks, with the loss of potentially 11,000 jobs in the broader cultural sector, incoming Arts, Culture and Heritage Minister Carmel Sepuloni has been warned.
Sepuloni’s ministerial briefing, released by the Government yesterday, warns that many companies and music venues are ‘‘hanging on by a thread’’.
‘‘Business for some Aucklandbased
production companies has decreased by 80 per cent, leading to job loss, selling of stock/equipment, and downsizing,’’ the briefing states.
The arts have been hit much harder than other sectors by the Covid-19 global pandemic, Sepuloni has been told.
‘‘In April 2020, the ministry commissioned an economic forecast of the cultural sector by Infometrics which projected a potential loss of 16.4 per cent in sector GDP (versus 8 per cent for New Zealand as a whole) and approximately 11,000 jobs,’’ the briefing states.
The worst of the job losses are yet to be seen, the briefing states.
‘‘While some activities have resumed, financial viability remains a concern for many organisations in the sector.
‘‘The creative workforce continues to face significant job insecurity and risk.
‘‘Both primary and secondary employment are at risk for many creatives, with contract, casual and freelance workers especially affected.
‘‘These concerns are exacerbated by the end of the wage subsidy schemes.’’
Arts leaders warned in October
that $150 million in Covid-19 support funding needed to be handed out quickly or ‘‘there could be no sector left’’.
Prime Minister Jacinda Ardern announced in May that the Government would set up three special funds worth $150m to help the arts sector through the impact of Covid-19.
Entertainment Venues Association of NZ trustee and Trusts Arena chief executive Mark Gosling said in October that revenue had fallen 76 per cent from March to September.
‘‘It has been pretty horrendous,’’ he said.