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40 crore Indians may sink into poverty due to COVID-19: ILO

NE NOW NEWS by NE NOW NEWS
NEW DELHI , April 8, 2020 1:44 pm
Police checked identity of 5000 migrant workers in Karnataka. Image credit: The New Indian Express

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At least 40 crore workers in India working in the informal economy are at the risk of falling deeper into poverty, according to a report by the International Labour Organization (ILO).

ILO stated that 2.7 billion workers around the world are now being affected by full or partial lockdown measures imposed in an attempt to contain the coronavirus pandemic.

“Particularly in low- and middle-income countries, hard-hit sectors have a high proportion of workers in informal employment and workers with limited access to health services and social protection,” the report stated.

“Without appropriate policy measures, workers face a high risk of falling into poverty and will experience greater challenges in regaining their livelihoods during the recovery period,” it added.

According to ILO, 81 per cent of the global workforce lives in countries with mandatory or recommended closures.

“During the past two weeks, the COVID-19 pandemic has intensified and expanded in terms of its global reach, with huge impacts on public health and unprecedented shocks to economies and labour markets. It is the worst global crisis since the Second World War,” it added.

The eventual increase in global unemployment over 2020 will depend substantially on how quickly the economy will recover in the second half of the year and how effectively policy measures will boost labour demand, it added.

According to the report, the services which have been mostly affected due to the COVID-19 pandemic includes accommodation and food services, wholesale and retail trade, and real estate and business activities.

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