Sage staff at risk of redundancy
WORLD-CLASS music centre Sage Gateshead has announced the start of redundancy consultations as it faces a £10m hit because of Covid-19.
The crisis-struck venue has confirmed that 180 roles are at risk as it begins talks with staff in a bid to mitigate huge losses suffered during the coronavirus lockdown.
The Sage recently launched a campaign to raise £3m over the next three years to address the impact of Covid-19 but says that job losses are necessary if it is to go on to play an active role in the region’s recovery.
A spokesperson said: “Like many organisations across all sectors, Sage Gateshead has had to make the very difficult decision to start a redundancy consultation process.
“Each and every one of our team is highly skilled and committed and all have played a huge part in the success of our organisation to date. It is of great regret that any of these roles are at risk.”
The award-winning music centre, which has an international reputation and is considered a jewel in Gateshead’s crown, is a charity which says it has so far made full use of the Government support packages including the Coronavirus Job Retention Fund, with most of its 500 staff currently furloughed.
During lockdown, it described itself as being at “a financial cliff edge” having lost all source of income and it launched its
£3m Crisis, Recovery and Renaissance fundraising campaign, which has had a positive public response. Sage boss Abigail Pogson also welcomed the Government’s recent announcement of a £1.57bn support package for cultural organisations but it is felt that, whatever the Sage’s share of the pot might turn out to be, it would not be enough to close the financial gap, which is now projected to reach £10m by the end of next March.
The spokesperson said: “A cruel irony of the coronavirus pandemic is that it is charities like Sage Gateshead, whose self-generated income outweighs public subsidy by 5:1, which have seen the most immediate financial impact. “Until the end of the financial year, Sage Gateshead will lose £10m as a result of closure.”
While funding support might come later in the year, the spokesperson added: “The Government arts and heritage recovery package is not intended as a wholesale ‘bailout’ and support from this scheme will be about helping us get through the immediate crisis and will be part of the solution, rather than the whole solution, to getting the organisation through this.”
Sage Gateshead, which is now at the start of a 45-day redundancy consultation process, remains focused on the future and says it is planning a “smaller, more flexible autumn season”, with live music making a return in “a safe and socially distanced way”.
It also intends to continue its work with young people, support for professional musicians and classes for adults.
The spokesperson said: “We know that music and culture have a role to play in the city and the region’s recovery and we are determined to contribute to this.
“Our goal throughout this process of consultation is to ensure that the organisation has a team which can deliver for people and communities as part of this Covid-19 recovery.”