Details for Corona aid: Cultural workers get lockdown wages

The partial lockdown is particularly tough for the catering and cultural sectors, among other things. Affected entrepreneurs should therefore receive up to 75 percent of the turnover from November last year. According to the Minister of Economic Affairs, the implementation has now been clarified.

According to Minister of Economic Affairs Peter Altmaier, there is an agreement in the federal government on the details of the implementation of the November aid for sectors affected by the restrictions, such as the catering trade. In addition, government spokesman Steffen Seibert announced a lockdown wage for cultural workers. The federal and state governments had agreed that companies should receive up to 75 percent of their November sales in the previous year as a reimbursement for losses due to the corona restrictions. "We managed to find a relatively unbureaucratic procedure," says Altmaier.

In order to compensate for the loss of income in the culture and events industry, those affected will receive a "fictitious entrepreneur's wage" from the state during the partial lockdown in November. Seibert explained that cultural companies received 75 percent of their turnover as direct help in November. Solo self-employed persons could choose to use the turnover of November 2019 or their monthly average earnings of the previous year as a basis. It corresponds to the reality of life for many creative and cultural workers that "there can be a month in which there was no turnover".

Seibert emphasized that state aid is also available for those who are indirectly affected by the corona-related closings. All companies that regularly generate 80 percent of their sales with the facilities that are now closed are eligible. This is very important for culture because a large number of trades are active behind the stage – without the audience seeing it.

Out-of-home sales not offset

As Altmaier said, the income from restaurateurs from out-of-home sales during the prescribed closings in November should not be offset against the corona financial aid. "We agreed this morning with the Federal Ministry of Finance on the details of how we want to implement this," said the CDU politician on the sidelines of the industry conference. First, however, the federal states should be informed about it, emphasized Altmaier. Further details would be announced in a timely manner. Meanwhile, a spokeswoman for the Ministry of Economic Affairs said that the implementation of the aid was still being "intensively" worked on. She cannot give details yet.

According to information from the ministry, the federal government is also thinking of a quick installment payment for companies and self-employed people who are affected by the Corona requirements in November when it comes to November aid. A solution, however, has to be legally secure because nobody is helped if repayments are threatened in the end.

Affected companies should submit the applications electronically via tax advisors and auditors, reports the Reuters news agency. Payouts are to be made via the bridging aid platform.

Bridging aids have been slowly draining off so far

Altmaier also defended the slow flow of bridging aid for small and medium-sized companies. The growth in the third quarter "just meant that many companies no longer met the requirements for aid measures". There were "very rigid sales thresholds". This was "generously changed" in bridging aid II by the end of the year, "so that we assume that more money will flow out".

So far, only 1.5 billion euros have been paid out. The federal government is assuming that a further 3.5 billion euros will flow out this year, said Altmaier. "That makes a total of 5 billion."

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