4 ms·

Why can't they just pause and resume (and the employees get unemployment benefits)?

himinlomax 6y ago
Financial and commercial commitments: mortgages and contracts.
jacquesm 6y ago
Because fixed costs such as building rent, maintenance and such will continue. Those are substantial amounts for any venue of note.
- the_other 6y ago
  The value of a building (or the land it sits on) in a commercial district is entirely linked to the potential for that building to make money. During lockdown there's MUCH less opportunity for that building to make money. Accordingly, rents should drop; banks should make equity release more readily available etc etc.
  - jacquesm 6y ago
    Rental contracts are typically five or ten year fixed. You don't get to renegotiate in the middle because circumstances change.
    - ballenf 6y ago
      Not to mention tax assessments reductions will lag, especially with cities themselves being close to bankruptcy.
    - fortran77 6y ago
      And no local government is giving property tax breaks.
stagethrowaway 6y ago
Stagehand here. I still haven’t received a penny of unemployment insurance. The state is not equipped to deal with >1M people filing every week. I have friends who are mistakenly being accused of fraud and being asked to repay what they’ve received so far. UI is a nightmare right now. Even if I could live for a year or two on 40% of my previous salary (much closer to minimum wage than it is to tech salaries), and the government approved extensions to allow UI to be paid for that long (it’s not), our employers still have other bills to pay. They need to pay rent and insurance on the theatre, and the scene shop, and the warehouse full of sets and props and costumes. Equipment needs regular maintenance and inspections. Consumables will expire. It will cost more when we start up again. There are lots of other pieces in the live entertainment system. We can’t just go back to work if the other businesses we rely on have gone bust in the meantime. Want stagehands to work through the night? You’ll need 24/7 catering. Want stage lights? You’ll need rental companies. Want equipment to be serviced? And on and on. Finally, I know many people are taking this opportunity to retire, or change careers. Nobody is joining the industry right now. All the classes and certifications I was scheduled for in the past 6 months have been cancelled. We’ll have a lack of skilled workers when we do get back to work. It will take many years, after a vaccine is created, for this industry to recover.

Financial and commercial commitments: mortgages and contracts.

Because fixed costs such as building rent, maintenance and such will continue. Those are substantial amounts for any venue of note.

the_other 6y ago
The value of a building (or the land it sits on) in a commercial district is entirely linked to the potential for that building to make money. During lockdown there's MUCH less opportunity for that building to make money. Accordingly, rents should drop; banks should make equity release more readily available etc etc.
- jacquesm 6y ago
  Rental contracts are typically five or ten year fixed. You don't get to renegotiate in the middle because circumstances change.
  - ballenf 6y ago
    Not to mention tax assessments reductions will lag, especially with cities themselves being close to bankruptcy.
  - fortran77 6y ago
    And no local government is giving property tax breaks.

stagethrowaway 6y ago

Stagehand here. I still haven’t received a penny of unemployment insurance. The state is not equipped to deal with >1M people filing every week. I have friends who are mistakenly being accused of fraud and being asked to repay what they’ve received so far. UI is a nightmare right now. Even if I could live for a year or two on 40% of my previous salary (much closer to minimum wage than it is to tech salaries), and the government approved extensions to allow UI to be paid for that long (it’s not), our employers still have other bills to pay. They need to pay rent and insurance on the theatre, and the scene shop, and the warehouse full of sets and props and costumes. Equipment needs regular maintenance and inspections. Consumables will expire. It will cost more when we start up again. There are lots of other pieces in the live entertainment system. We can’t just go back to work if the other businesses we rely on have gone bust in the meantime. Want stagehands to work through the night? You’ll need 24/7 catering. Want stage lights? You’ll need rental companies. Want equipment to be serviced? And on and on. Finally, I know many people are taking this opportunity to retire, or change careers. Nobody is joining the industry right now. All the classes and certifications I was scheduled for in the past 6 months have been cancelled. We’ll have a lack of skilled workers when we do get back to work. It will take many years, after a vaccine is created, for this industry to recover.