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Gig economy: Ottawa's freelance musicians see incomes plummet due to COVID-19 – Ottawa Citizen

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Guitarist Andrew Mahs livelihood has taken a drubbing from COVID-19


Jean Levac / Postmedia News

For 30 years, Andrew Mah has been one of Ottawa’s premier classical guitarists, a virtuoso who performs extensively and has recorded six albums.

But for all his achievements, Mah and his livelihood have taken a drubbing from COVID-19.

Over the past week, he’s had four concerts cancelled because of the outbreak and he expects to lose all of his performances through April, at the very least. All of his in-person teaching has disappeared too, and that’s likely to continue, says Mah, who has yet to move his teaching online. He has also lost work as an arranger and music copyist because clients have had their own performances cancelled.

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Mah says that in all, he has probably lost more than $3,000 so far due to the pandemic, and he doesn’t know when or how he will bounce back.

“I have no idea how I will cope, and I have no idea what recovery will look like if it even becomes possible,” Mah says. “It’s a very sobering prospect that a long career as a freelance professional artist could so easily collapse after a lifetime of reputation-building.”

Mah’s situation, which is hardly unique in Ottawa and beyond, illustrates how vulnerable Ottawa’s artistic gig-economy workers are to the sudden and unprecedented ravages of the novel coronavirus, which has decimated their opportunities in a flurry of cancellations.

Mindful of the plight of freelance musicians, the union representing them, the Canadian Federation of Musicians, this week urged its members to keep track of work that they have lost due to the coronavirus. An email sent this week to Ottawa-Gatineau union members said that the federal government would ask the federation for data quantifying the losses of Canadian musicians due to the pandemic.

Mah has tried to look on the brighter side. He does have his health. “But, obviously, I’m not going out and seeing lots of people,” he adds.

He did give one performance with violinist Anna Baksheeva at Southminster United Church as part of its Wednesday noon Doors Open for Music at Southminster series. While Mah and Baksheeva played to an in-person audience of none at the church in Old Ottawa South, that concert was streamed online via Facebook.

Thanks to the initiative of the church’s musical director Roland Graham, Mah’s concert received more than 5,000 views, and donations exceeded expectations, according to the concert series’s Facebook page. Future Wednesday noon-hour concerts from Southminster United will be streamed as well.

Mah has also applied to perform online as part of the National Arts Centre-Facebook Canada joint venture announced last week. Mah will be among an untold number of musicians, dancers, comedians, theatre artists and others applying to perform online in exchange for $1,000 grants from a $100,000 relief package.

“Whether this (performing online) becomes a viable alternative method to gigging is up to the public and what they remain willing and motivated to do,” Mah says.

“Our situation is changing very quickly and thus emotions are running high,” he says. “I can only hope people are able to continue to support my own livelihood as an artist and that others get supported too.”


Bassist Chris Pond has seen his gigs and teaching dry up as a result of the COVID-19 outbreak.

Errol McGihon /

Errol McGihon

Similarly, Chris Pond, who works as a bassist in Ottawa’s jazz and indy music scenes, saw the virus rob him of a batch of gigs in March, as well as more lucrative wedding gigs in May and later this year.

He had hoped to bring his Ottawa quartet called Internet Celebrities to Newfoundland, his home province, this summer, but now that project is up in the air. Another band that he’s in, Side-Eye & Grace, cancelled its March 13 album release concert in Ottawa.

Like Mah, Pond is scrambling to move his in-person music lessons online. “Next week, I may start to panic if parents aren’t willing to make the switch to online lessons,” he says. “It’s hard to know at this point how things will unfold.

“So far, I’ve been avoiding thinking about the outcome of all this,” Pond says. Instead, he’s been using his newfound free time to compose music for a solo electronic music project.

• • •

Ottawa-based freelance violinist Laura Nerenberg is balancing her post-virus career, such as it is, with being the primary caregiver for her 10-year-old daughter. Nerenberg’s husband, a software developer, is working from home now, too. But Nerenberg says: “I feel like if I was juggling before, I’m juggling way more now.”

Nerenberg said she decided to cancel a concert last weekend and adds that she wasn’t able to turn it into a webcast on a day’s notice. “That was a huge disappointment,” she says.

Noting that many of her chamber music concerts attract older listeners who are among the most vulnerable to COVID-19, Nerenberg said she has cancelled or postponed concerts through April and May. A large tour of schools in Quebec has also been also postponed or canceled.

“Everything is completely up in the air,” Nerenberg says. “I suspect our season is just done, and we will pick up again in  the fall, I hope.”

Nerenberg is also a music teacher, but she says that revenue stream is also likely to dwindle. She was to teach at a music camp in New Hampshire in July, but that’s now in doubt. She has private students too, but has not yet figured out how to take their lessons to an online platform, which she figures will entail “a steep learning curve” for herself and the families of her students. One family has said that their teenager, who had been studying with Nerenberg for almost a decade, will not continue lessons during the COVID-19 crisis, she says.

Nerenberg figures that between lost performances and teaching, she will be out about $4,000 in lost income between now and mid-summer. “It’s not insignificant. All of these little things add up,” she says.

One of the topics that Nerenberg teaches is musical improvisation, which she thinks of as a transferable skill that’s suited to our virus-plagued times.

“It’s a way to nurture the creative side of the brain,” Nerenberg says. “If ever there was a time when we needed creative solutions, this crisis is showing us that the people in charge need to think creatively.”

ALSO IN THE NEWS

Free online concerts: NAC unveils $100,000 relief initiative for performing artists

Glimmers of good news for the local live-music industry as cancellations affect summer events around the world

UPDATED: COVID-19 Ottawa closures, cancellations and major changes: What you need to know

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Economy

Sell, trade in or keep: What to do if you’re underwater with your car loan

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Some drivers who bought their vehicle within the past couple of years when auto prices were hovering around record highs are now facing the reality that they’re underwater with their car loans.

“We saw some rare (price) appreciation during the time that consumers were purchasing these high-priced cars,” Daniel Ross of Canadian Black Book said of the auto market during the pandemic years.

Global supply chain disruptions stemming from the pandemic left the auto market with low inventory — and coupled with high consumer demand — auto prices surged, Ross said.

Some of those issues have since begun to normalize, allowing prices to ease, but it’s left some consumers owing more on their auto loan than the car is now currently worth. It’s referred to as negative equity, or being underwater.

As with the vast majority of vehicles, they’re a depreciating asset, so for those who purchased their car when prices were high, their “vehicle will continue to lose lots of value because it was probably overpriced at that time,” Ross said.

On average, people who were underwater saw the negative equity in their cars climb to a record high of US$6,255 in the second quarter this year, compared with US$4,487 in the second quarter of 2022, a July report from auto retail platform Edmunds showed.

Trade-ins with negative equity also jumped, Edmunds said in its report.

“If you’re in a negative equity position, it’s not easy to get out of that,” Ross said.

For drivers who are in this situation, it’s better to drive that car into the ground and just keep paying off the loan, he said.

“It’s wisest to work with the devil, so to speak, as opposed to getting into something else — a new scenario,” such as trading in or buying a new vehicle.

Halifax-based financial planner and Aergo Financial Planning founder Ben Mayhewsaid negativeequityis usually resolved when left to itself.

When a driver stays the course — keeps the car and pays down the loan — the value of the loan will cross the car’s value and balance out at some point, Mayhew said.

But if a driver must get out of the negative equity situation, Mayhew suggested refinancing the loan at a lower rate. Many people got into higher interest rate loans during the big supply crunch and rising interest rates, he said.

“It will be beneficial to both refinance to a lower rate as well as to a shorter term … to reduce that financial strain,” Mayhew said.

Delinquencies were rising in the second quarter of 2024 for both non-bank and bank loans, an Equifax report showed. Missed payments on bank loans for vehicles were at their highest since 2019 while the 90-day balance delinquency rate for non-bank loans was up 26.8 per cent from a year ago.

If refinancing is off the table, car owners could look into paying down the loan faster and narrowing the loan-to-equity gap, though Mayhew said that can be challenging as many people are also contending with the high cost of living.

Although not ideal, Mayhew said drivers can consider trading in their vehicles with negative equity for another car and roll the current debt into the new loan.

“The thing to be careful about is that we don’t want to have a perpetual cycle,” Mayhew warned. He added the payment plan of the new vehicle shouldn’t only be based on what the driver can afford.

Instead, a driver should be aware of the price of the car, the negative equity that’s getting rolled into it and how that’s going to look — not just today but over the life of the loan and the vehicle, Mayhew said. He suggested going for older vehicles that have already passed the steep depreciation curve.

“Being underwater on a new car when driving off the lot is definitely a tough spot to be in,” he said.

It’s better to buy a new car with as big of a down payment as possible to avoid piling interest costs on a depreciating asset — and save the rolling negative equity trouble.

Mohamed Bouchama, a consultant with non-profit Car Help Canada, suggests not falling for tempting leasing and financing advertisements to avoid the risk of being underwater.

“If you can’t afford it, don’t buy it, buy something cheaper,” he said.

Bouchama said the golden rule to avoid negative equity is to not go over a five-year term for financing, or a three- or four-year term for leasing, and to budget with other related costs in mind, such as gas, insurance and maintenance.

“When you buy a car, make sure you can afford it,” he said.

This report by The Canadian Press was first published Sept. 24, 2024.

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Economy

S&P/TSX composite up in late-morning trading, U.S. stocks also higher

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TORONTO – Strength in the energy and base metal stocks lifted Canada’s main stock index higher in late-morning trading, while U.S. stock markets also climbed higher.

The S&P/TSX composite index was up 78.80 points at 23,973.51.

In New York, the Dow Jones industrial average was up 89.81 points at 42,214.46. The S&P 500 index was up 2.55 points at 5,721.12, while the Nasdaq composite was up 21.24 points at 17,995.51.

The Canadian dollar traded for 74.24 cents US compared with 74.02 cents US on Monday.

The November crude oil contract was up US$1.06 at US$71.43 per barrel and the November natural gas contract was down two cents at US$2.83 per mmBTU.

The December gold contract was up US$18.10 at US$2,670.60 an ounce and the December copper contract was up 15 cents at US$4.49 a pound.

This report by The Canadian Press was first published Sept. 24, 2024.

Companies in this story: (TSX:GSPTSE, TSX:CADUSD)

The Canadian Press. All rights reserved.

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S&P/TSX composite edges lower in late-morning trading, U.S. stocks higher

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TORONTO – Canada’s main stock index edged lower in late-morning trading, weighed down by losses in the financial and telecommunications sectors, while U.S. stock markets rose.

The S&P/TSX composite index was down 7.26 points at 23,860.11.

In New York, the Dow Jones industrial average was up 61.00 points at 42,124.36. The S&P 500 index was up 15.70 points at 5,718.25, while the Nasdaq composite was up 27.88 points at 17,976.20.

The Canadian dollar traded for 74.10 cents US compared with 73.72 cents US on Friday.

The November crude oil contract was down eight cents at US$70.92 per barrel and the November natural gas contract was up 12 cents at US$2.84 per mmBTU.

The December gold contract was up US$4.90 at US$2,651.10 an ounce and the December copper contract was up a penny at US$4.35 a pound.

This report by The Canadian Press was first published Sept. 23, 2024.

Companies in this story: (TSX:GSPTSE, TSX:CADUSD)

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