THE ONGOING ECONOMIC IMPACT OF COVID-19 ON PERFORMER ROYALTIES
The global music industry continues to be adversely affected by the pandemic and Canada is no exception. Since the businesses and broadcasters who use music have also been negatively impacted, we’ve seen a reduction of approximately 25% in Canadian royalty payments for the 2020 period. The main revenue streams impacted include commercial radio and public performance (music in retail stores, bars, fitness classes etc.). We’ve seen a similar reduction in international payments from territories that have been equally impacted.
Unfortunately, we anticipate that COVID-19’s economic impact will continue through 2021 and, consequently, have a similar negative impact on royalties from the 2021 usage period as well. Our commercial radio and public performance (music in retail stores, bars, fitness classes etc.) revenue streams continue to be hardest hit. As with international royalties from the 2020 usage period, we expect a similar reduction in royalties from territories that continue to be affected by COVID-19.
Please be aware that this is universally and equally impacting all rightsholders in Canada, not only ACTRA RACS members. We are working on government advocacy, tariff strategies, new policies and managing costs to help offset the impacts of COVID-19. For instance ACTRA was instrumental in the creation of the Canada Emergency Response Benefit and the Canada Recovery Benefit. Learn more our latest actions and information around the federal election.