You are all aware of the coronavirus pandemic situation. This deadly virus has affected more than 2.9 million people all over the world. The novel coronavirus has caused around 203K deaths so far which originated in China’s Wuhan city at the end of 2019.
The highly contagious coronavirus has downgraded the economy of all nations across the world. To be more precise, the world is currently reeling from the initial shock of the coronavirus recession. It has severely affected the entire job sector. It has been claimed that four out of every five jobs have been impacted due to coronavirus pandemic. You will even be surprised to know that a total of 81% of the global workforce has their workplace fully or partly closed already.
This 81% of the global workforce is approximately equal to 3.3 billion people whose jobs have been affected due to this deadly virus. Do you want to know more about coronavirus impact on jobs? If yes, then you have landed on the right page. In this article, we have shared how COVID-19 has impacted the job sectors across various fields. Let’s now talk about the territories that have been affected by coronavirus pandemic.
Coronavirus Impact on Jobs in America and Europe
America and Europe are the two top-most territories where the impact of the COVID-19 outbreak is expected to be witnessed more deeply and significantly. Speaking of America, 43.2% of the total American workers are most likely to be affected due to this situation. A similar case can be witnessed for Europe and Central Asia too. For Europe and Central Asia, 42.1% of the total workforce is expected to be affected.
Talking about other nations, Africa, APAC, and the Arab states play a very vital and crucial role in the world economy. Similarly, Nigeria, Brazil, and India are also such countries where the negative effects of coronavirus have also been observed. These countries are deemed to miss out the much needed social protection and that’s why permanent workers of these countries are expected to be affected.
The unemployment rates in Europe and the US are getting up every single day and in terms of the severity and magnitude, this situation is thought to be worse than the Great Depression. Will you like to know the sectors where the job loss risk level is very high? If yes, then please keep reading and disclose all the details in the below sections. COVID-19 virus has affected various job sectors as stated earlier. Among them, the retail and manufacturing units are going to witness the highest possible risk.
❶ Retail Sector: More than a million jobs in the retail sector are expected to be cut by various retailers for this ongoing coronavirus pandemic situation. The Retailers Association of every nation has conducted surveys that indicate that the impact of the COVID-19 virus will hit the business and manpower.
For example, small retailers will lay-off around 30% of their manpower. Likewise, medium (sized) retailers will be laying off around 12% of their entire manpower. And, it’s going to be around 5% for the large retailers. According to the norms, medium retailers have around 100 – 1000 employees, small retailers have less than 100 persons employed, and large retailers typically employ more than 1,000 people.
❷ Construction, Chemical, Transport, and Manufacturing Units: These sectors are also heavily impacted due to the coronavirus pandemic. The virus has shaken the economy very badly and disrupted almost every industry and sector especially the manufacturing sector. The manufacturing sectors are dependent on many countries like China, the US, and Italy.
Since the above three countries like China, the US, and Italy are the hotspots for coronavirus, the importers and exporters of these countries have been worst affected. As a result, the manufacturing industries that have a dependency on the importers and exporters of the above nations have been hit.
❸ Aviation Industry: The Coronavirus pandemic will bring the global aviation industry to a complete standstill. For example, India has mentioned that its aviation sector may lose as many as 29.32 lakh jobs. Not only, the following countries like Indonesia, Malaysia, Japan, Sri Lanka, South Korea, China, Thailand, Italy, the US, Iran, Spain, Germany, and France will also get their aviation sectors hit massively. The global airline passenger revenues may drop by $314 billion in 2020. Compared to the last year (2019), this estimation is a sharp 55 percent decline. What’s more, the airlines in the APAC sector will witness the largest drop in terms of its revenue (around $113 billion) in 2020.
❹ Tech and IT: The famous tech companies like Google, Facebook, Microsoft, and Adobe, etc. have already decided to freeze their recruitment and hiring process. Several IT firms have even started offering pink slips to their employees. What’s more, several technology companies have closed their stores, outlets, and offices, restricting their executives in order to travel to the affected areas which have consequently affected the supply chains.
❺ Sports and Entertainment: Disney, Universal Studios, and other renowned theme parks have planned to shut down their business as large gatherings may trigger the rapid spread of coronavirus. Movie theaters and shopping malls are also temporarily locked down. Thus, the job sectors of these two industries are hit by this coronavirus.
❻ Travel & Tourism: The coronavirus outbreak has severely affected the travel & tourism industry. With the growing cases of COVID-19 pandemic, people are avoiding travel to different cities and countries. Thus, it has adversely impacted the travel and tourism business.
Other industries that will be hit are:
❋ Accommodation and Food
Talking about the insurance sector, it’s true that the demand for certain insurance types has increased with the rise of coronavirus. But, other types of insurances like travel insurance schemes have witnessed a sharp decline. This is due to ongoing travel restrictions. There are both positives and negatives of coronavirus pandemic for the insurance industry.
Coming to the final summary, the effects of the COVID-19 virus have been witnessed across various industries already. Among them, the worst-hit sectors are retail, manufacturing, aviation, sports and entertainment, travel, and tourism.