An industry survey after the lockdown was announced has found that as much as 53 per cent of member-companies have seen a whopping 90 percent of their businesses cancelled between March and July due to the Covid pandemic-driven lockdown.
Eema, a body of event management industry players, claimed 60 million jobs directly and indirectly are at stake.
“While 53 per cent of member-companies have seen 90 per cent of their business are cancelled between March and July, and 63 per cent companies have suffered revenue loss of up to Rs 1 crore so far,” Eeema said in the survey.
While some companies warn of retrenching 50-80 per cent of their workforce some warned of removing 25-50 per cent of their workforce.
All the companies have sought working capital to the tune of Rs 1-5 crore for the next six months and around 55 per cent of them are looking at raising capital or debt from institutions/shareholders, VC funding.
The association has also urged the government to immediately release all tax refunds both income tax and TDS, cover cost of salaries/daily wages for those infected by the pandemic virus and are thus unable to return to work. It has also urged the centre to ask banks to give collateral-free line of credit for paying salaries and statutory dues and a moratorium 9-12 months.
They also want the government to instruct insurance companies to cover future events and activities against Covid-19 or similar medical/biological disasters in addition to existing natural disasters; to cover the cost of salaries/daily wages of employees laid off for a period of 90 days minimum and a cut in the GST rate to 12 per cent on all the arts and entertainment events.
Sanjoy Roy, the president of the Eema that represents 170 registered members over a 1 lakh unregistered players, said the pandemic will impact the entire business impacting lakhs of jobs. We hope the government takes the required actions that can help us survive the pandemic. PTI BEN MKJ MKJ
Disclaimer :- This story has not been edited by Outlook staff and is auto-generated from news agency feeds. Source: PTI