GVL corona relief programmes
Due to many cancelled events in March 2020, it became clear very quickly that many of our rights holders would find themselves in an exceptional financial situation. We intended to provide quick and unbureaucratic support via various measures.
Corona emergency relief programme - quick and straightforward
In order to counteract the economic hardship of our freelance rights holders, we launched a corona emergency relief programme as part of our social benefits. Those who suffered from loss of income due to pandemic-induced event or production cancellations could apply for an one-off support payment of €250. Until the end of the year, about 8,000 rights holders benefited from this immediate emergency relief from the social funds of GVL. GVL thus made available more than €2m for the short-term support of rights holders in financial hardship situations in 2020.
This immediate action which mainly helped performers who had got into difficulties, was financed equally by performers’ and producers’ means. For record labels within GVL, this was a very conscious act of solidarity in times where the sector must stand together. To approve funds in the most uncomplicated and unbureaucratic manner possible, GVL briefly deployed 30 staff to process the corresponding applications.
Advance payments for our rights holders
In order to provide additional tangible financial relief, GVL decided in close consultation with its committee representatives to pay advances to the rights holders affected. These payments on account were extra-curricular advance payments for future payouts. Advance payments for producers of sound recordings and performers were made in several cycles.
The advances (a maximum of €9,000) were guided by payments which were to expect in the next ten years. It was difficult to estimate the future income situation of GVL without knowing the duration and the impact of the pandemic. Since the advances on individual remuneration claims were paid from the proceeds collected on a fiduciary basis, they had to be calculated carefully. We managed to do this and GVL contributed to the financial support of creative people with the advance programme, which complements governmental and other support measures.