Will strip clubs reopen but have a shortage of strippers?
docsavage
Indiana
Part of the stimulus bill includes an additional $600 per week in unemployment benefits for four months in addition to whatever state benefits exist. Normally there is a requirement that an unemployed person has to show they are actively looking for a job but an article in USA Today says this requirement is now being waived:
https://www.usatoday.com/story/money/202…
This means if the clubs are able to reopen in May or June the girls can keep getting their checks until the end of July. Many of them may decide to just stay home and take an extended vacation. This will be especially true of the strippers in the lower income ranges, though not so much for the club top earners. This may cause the clubs to be understaffed. Since many of the clubs will already be struggling with paying back rent and other expenses and trying to lure the customers back, an understaffed club may make it even more difficult for them to make money again. This may cause even more of them to go out of business. It may also make visiting strip clubs a frustrating experience for the customers with fewer girls at the club when we visit.
https://www.usatoday.com/story/money/202…
This means if the clubs are able to reopen in May or June the girls can keep getting their checks until the end of July. Many of them may decide to just stay home and take an extended vacation. This will be especially true of the strippers in the lower income ranges, though not so much for the club top earners. This may cause the clubs to be understaffed. Since many of the clubs will already be struggling with paying back rent and other expenses and trying to lure the customers back, an understaffed club may make it even more difficult for them to make money again. This may cause even more of them to go out of business. It may also make visiting strip clubs a frustrating experience for the customers with fewer girls at the club when we visit.
57 comments
They may piss away the $600 the moment they get it but they'll get another $600 the next week as long as they stay unemployed. There is an incentive here not to go back to work.
Even clubs that 1099 dancers, I don’t think will show exact dates certain money was made. I’m sure plenty can and will double dip.
As soon as the economy is "reopened", whatever that entails, and the government believes it's safe enough to resume searching for work or at the very least for certain businesses to reopen, you can bet the requirement to verify their job search will be back in place. Also, if the governments are smart (big if), they'll treat dancers as "furloughed workers" instead of "independent contractors". That is, when a company or business furlough ends, they take back their workers and the workers go back to work, unless the governments believe it's not safe enough to do so, in which case they'll remain closed. But if these places do reopen, then the government will assume that the "furlough" has ended and will be less likely to continue unemployment payments.
Now if this shutdown drags on past May and June, it won't make much of a difference, and by the end of July, once the bigger payments ends, the girls won't be able to keep paying their bills and will have to work anyway somewhere, unless another massive bailout takes place...
If the application for UI is the same for independent contractors as it is for employees or very similar, then the applicant has to state where they earned money the last calendar year. So even if the "1099" exists, and if it even is a requirement to get the UI benefits, and it doesn't state the time periods of when they earned money, the dancers themselves have to provide the exact times and places that they were "employed". They have to provide the "employer's" name and information as well and how much they "earned". Although right now, they're limited to only half of the average UI payment that the state gives, so it doesn't benefit them to report any more income than they have to.
So the UI office will have the last employer's information and typically before UI benefits are approved, they call that employer and ask them if a worker did work there and why they are no longer working there. So if they say that they did work there for whatever time periods the dancer claimed and they don't work there anymore because they were shut down because of the coronavirus, the dancer will likely be approved. This is the initial verification process. But when this business reopens, the UI people will generally find out about it as well. I don't think this system will be quite as easy to game.
I hope you are right about this and your other comments are also right. The long term negative economic impact of this is going to be bad and may be made worse by poorly thought out plans to help people. If the government wisely does what you say they will, we will be ok here. I agree with those that say some short term government assistance is needed here.
Strippers are in a cash business where they underreport earnings. Some are W2 employees, but the contractors may be able to scam the system and come back to work. I can tell you the one stripper whose life I was intimately involved with didn't report her earnings remotely close to accurate.
Some strippers are in a pure cash business and completely off the "books" at both the stripper and club level. I don't think these girls can get the benefits without both the stripper and the club being on the books. That is the stripper will have to admit that they evaded some taxes, and the club also failed to file a 1099. So many clubs (and strippers) might get audited, although i'm surprised many haven't been already. So i can see a lot of strippers not getting these benefits and relying on other things like onlyfans (what a joke) or OTC or SA/SB or even switching to cams although that is usually not off the books.
What I do DEFINITELY expect is that all these girls will overwhelming SA. In fact, they are already doing so, but I think they're learning quickly that no one is meeting during this time, and very few of the men are interested in paying for pics or videos, so there's no real money to be made. Once the lockdown is lifted, though, I wonder if a stripper might think, "I'll collect my unemployment benefits, plus handpick one or three SDs for side money, and skate through the next year". Of course, that brings about its own issues -- it's likely SB allowances are going to fall a whole lot, and a zillion strippers joining will drive it even lower
If they are getting a W-2 and filing taxes from some job they should be OK.
The $600 is just the additional amount the federal government is adding on top of state benefits, not the total amount. Average state benefits are around $280. As I mentioned in my original post above, the top earners are not going to be tempted by this. There are plenty of girls who only make between a hundred and two hundred a shift in many parts of the country. Getting close to $900 a week will tempt them to stay off, especially since there will still be a possibility of catching coronavirus for some time to come and a job where you come into close physical contact with a lot of strangers will be the type of job where you would get it. I would agree with theDirkDiggler above, though, that if and when the waiver ends and everyone is required to look for a job the former strippers will be back in the club. So will a lot of new girls who lost their old jobs. There will also be plenty of customers who lost their old jobs and they won't be there in the future.
In CA I agree since dancers are treated as statutory employees. But in most parts of the country they are ICs who merely rent space, hence no tax or employment reporting of any kind.
The real question is will there be rent and utility debt forgiveness and how fast will people have a disposable income again.
It will be the idea of fast easy money.
The clubs will be slow bringing business back in due to economic reason. Regular’s will be in with there girls and lots of open space between
I would be more open to OTC. One dancer coming to my home is less risky for me than going to a club with dozens of dancers and customers and staff, any one of whom could be carrying the virus.
I have continued putting in money in my sc slush fund. Hopefully I will be spending on familiar dancers, if not I will make some new friends. After so many weeks of shelter in place I am craving some high heels and thongs
How frequently should that be done? A club I visit(ed) regularly replaced all of its carpet earlier this year and it took over a week to do. Viruses survive for a certain amount of time on surfaces. There are charts published online somewhere. Here is a summary in a recent Hopkins article.
https://hub.jhu.edu/2020/03/20/sars-cov-…
This information isn't perfect because science isn't perfect, and usually less accurate when done quickly on novel cases. But it's better than nothing.
No worries. SA = Seeking Arrangement, a website to find sugarbabies... although it's full of strippers and escorts also. SB = sugarbaby.
The point for me being, at least until there's a medicine to address covid19, I'm more likely to stick with 1:1 interactions (with an SB, or OTC with a stripper with whom I have a pre-existing relationship) than go to the club
Fun club, that’s not really known for a being a serious money maker place. But I think will be okay enough when I return. Won’t be in a rush to quit the day job tho. Or travel in general for a while. 😢
If # of girls end up being lowered, I feel like it will be more of a thing of the portion who went online are comfortable staying online more so than any unemployment thing. I could be wrong tho. And I’m not holding my breath and I’m sure there will be more than plenty of dancers.
Not necessarily new cases, more likely just cases missed in the initial go round.
Oh, there's one where the OP said he had SIX girls dancing in July- Rosie Palm and her five sisters!!!!
i know whats up....OTC if I want it.