COVID-19 and workers

With the end of the deadly coronavirus (COVID-19) pandemic being nowhere in sight, a recent report by the International Labour Organisation (ILO) has reminded us of the massive economic and social impacts the virus is having, and will continue to have, on almost every aspect of human existence, especially as it relates to the world’s workforce.
Based on its projections, the ILO said that some 1.6 billion people employed in the informal economy – or nearly half the global workforce – could see their livelihoods destroyed due to the continued decline in working hours brought on by lockdowns to curb the spread of COVID-19.
The findings appear in the ILO Monitor’s third edition: ‘COVID-19 and the world of work’, released on Wednesday. According to the report, globally, there are some 3.3 billion workers. Two billion have jobs in the informal economy, representing the most vulnerable workers in the labour market.
Due to lockdowns, or because they work in hard-hit sectors, these workers globally have seen a 60 per cent drop in income during the first month of the crisis, according to ILO estimates. This translates into a more-than-80 per cent decline in Africa and the Americas, 70 per cent in Europe and Central Asia, and 21.6 per cent in Asia and the Pacific.
The UN agency also estimated that, compared to pre-crisis levels, there will be a 10.5 per cent deterioration in working hours during this second quarter (Q2) of the year, equivalent to 305 million full-time jobs. This makes it very critical for the world’s most vulnerable workers to be protected and given the kind of support that is so badly needed.
On its part, the ILO has urged countries to implement “urgent, targeted and flexible measures” to support both workers and businesses, particularly smaller enterprises and those in the informal economy.
The agency also stressed that international co-ordination on stimulus packages and debt relief measures would be critical to making recovery effective and sustainable.
While many countries around the world have justifiably instituted partial or full lockdown and other measures to contain the spread of COVID-19, most of them have taken steps to provide relief measures to citizens, so as to avoid much bigger social and economic problems. These governments are well aware that families and businesses would need some form of support to cushion the impact of such drastic measures.
In the coming days, we will perhaps see the largest increase in the number of persons who are laid off from their jobs in recent history in Guyana. Every sector, including tourism, manufacturing, services, retail and financial, will continue to be severely affected.
Prior to the coronavirus pandemic, we had already seen the laying off of thousands of workers in the sugar belt by the APNU/AFC Administration. Those workers were already facing extremely tough times, as there was no system put in place to cater for the accompanying economic and social problems brought on by the closure of the estates etc.
The caretaker Government of Guyana has thus far not done anything of substance to assist families and businesses. The ‘relief’ it has offered in the form of food hampers has been fraught with corruption, favouritism, and mismanagement.
At the moment, thousands of persons are unemployed; prices for basic food commodities have gone up, and are rising steadily; the utility companies continue to send bills that must be paid; households are forced to purchase additional items, such as sanitizers and medical supplies, to protect themselves against the coronavirus; and small businesses are forced to close etc.
We support the calls being made for immediate action to be taken by the relevant stakeholders to cushion the impact of the coronavirus on individuals and businesses. The Private Sector Commission (PSC) in particular has, as recently as Wednesday, made a number of recommendations for the authorities to urgently consider. These include tax relief measures for individuals and businesses, and other forms of support.
All of the measures being recommended by the various stakeholders are aimed at minimizing the impact of the virus on businesses and families.
The nation is hoping that the authorities would act swiftly and respond favourably to these requests. Government cannot expect to impose certain lockdown measures on the population without giving thought to the impact these restrictions would have on individuals and businesses.