JOIN USCoronavirus wipes out 8 of 10 jobs in urban India
Almost eight of 10 workers in urban India have lost their jobs while the weekly earnings of those self-employed have fallen by 90%, says a survey of nearly 4,000 rural and urban households which assessed the impact of COVID-19 on 12 worst-affected states, including Karnataka.
The survey conducted by the Azim Premji University between April 15 and May 9 showed that nearly half (49%) of the households surveyed did not have enough money to buy even a week’s worth of essentials, eight out of 10 were unable to pay rent and 37% took loans from family and friends to cover expenses during the lockdown. In rural India, six of 10 have lost jobs.
Half of the salaried workers — whose job situations are less precarious than casual workers or self-employed — were not paid or saw a reduction in salaries.
At least 80% of the surveyed households earned less than Rs 10,000 per month. They included wage labourers, construction workers, domestic help, security guards, tailors and ragpickers in urban areas and those self-employed, mostly in agriculture in rural areas.
The data showed that the weekly earnings of casual wage workers halved from Rs 938 before the lockdown to Rs 482 in the post-lockdown period. The weekly earnings of the self-employed took a sharp hit from Rs 2,385 to Rs 218 (over 90% reduction) during the same period.
In rural India, 37% of farmers were unable to harvest their produce, while an equal percentage of them managed to harvest but were unable to sell. About 15% of them sold at reduced prices.
On Jan Dhan money transfers, the survey said a “pittance” of Rs 500 for women account holders did not do any good because a whopping 64% of the poor do not have an account for the scheme. It suggested that the amount be raised to Rs 7,000 per month for every household.
Cash transfers through a pension or other means also hardly reached the beneficiaries. Only 36% in urban areas and 34% in rural areas received pension transfers.
The survey was carried out in Karnataka, Andhra Pradesh, Bihar, Delhi, Gujarat, Jharkhand, Madhya Pradesh, Maharashtra (Pune), Odisha, Rajasthan, Telangana and West Bengal.
“We measured the levels of employment and earnings since the lockdown was imposed and compared them to the situation prevailing in February,” a statement released by the Azim Premji University said.