Worsen Employment Rate amid Corona Lockdown.

The matter of fact, COVID-19 is not only affecting the health of people, but it is also giving a big hit to the employment rate of developing nations as well as the developed ones. There is complete or partial lock-down around the globe, shutting almost every industry other than essential services for an indefinite time period because there is no sure evidence that how and when this Coronavirus is going to stop. Doesn’t matter whether the industries are small scale or large, at the time of this critical situation every person working in any sector is going to get affected anyhow. Some are getting laid off from their jobs whereas some companies are shutting down across the world impacting the global economy. Most of all, the daily earners are facing the worst, it is hard for them to even survive right now.

If we talk about the top economy of the world that is the United States of America, Coronavirus has brought this powerful nation’s economy to a standstill. In the last report, more than 6.5 million lost their jobs last week making it 16 million in the past three weeks. Manufacturing, construction, and even the health care sectors are laying off their employees in the US. Similarly, the prime minister of Italy has said that the European Union faces an existential threat as some EU countries have failed to agree on an economic rescue package for countries worst hit by the pandemic. According to the forecast, unemployment in Italy only could reach 11.2% in 2020. All these statistics are conveying one thing for sure that the Coronavirus has a drastic impact on the lives and economies of the US and Europe. By confining people to their homes, the west is facing the collapse of economies and threat to the survival of a large number of firms ranging from airlines to the manufacturers to health care. And what could get worse than that the finance minister of the German state of Hesse has committed suicide after being worried about the financial fallout from the Coronavirus pandemic?

In India, the unemployment rate could have surged to 8.74% in March amid the lockdown implemented in the last week of March from 7.78% in February. In the latest report by CMIE (Centre of Monitoring Indian Economy) the average rate on April 11 increased to 12.9% in India, being 14.1% in the urban area and 12.4% in rural. It is estimated that more than 15 million jobs could be lost in India’s export sector with the cancellation of over 50% orders hitting the economy very badly said by the president of the Federation of Indian Export Organization. Every three out of five companies have looked to freeze the hiring and even postponing the on-boarding of candidates while around 15% of companies are considering potential layoffs in a survey on the impact of COVID-19 on corporate India hiring. All in all from these surveys or predictions one can easily estimate how badly economies of the world are going to get affected. There is no surety that how long the situation of the pandemic is going to rule the world and what worst effects could be seen are still undiscovered.