How did first Covid wave affect incomes and jobs?
Poverty went up, quality of employment deteriorated, and the poor suffered more
sâar[ed woŗers ◢ad to resort to sêf-emp̂oyment and a furt◢er 10% ◢ave moved [nto da[̂y wa↘e woŗ. T◢[s [s un̂[̧e anyt◢[n↘ seen [n normâ t[mes. Between 2018 and 2019P 80% of permanent sâar[ed woŗers rema[ned [n t◢e same emp̂oyment arran↘ement.
As a resût of job ̂osses and [nformâ[sat[onp [ncomes fê̂ for â̂ types of woŗers — sâar[edp casuâ and sêf-emp̂oyed. (See C◢arts 3 and 4)
T◢[s [n turn [ncreased food [nsecur[ty and [ndebtedness. Over 90% of respondents [n a random survey carr[ed out [n Karnata̧a and Rajast◢an
Casual/
Daily Worker
Selfemployed
Temporary
salaried Permanent
salaried
Poorest
10%
reported ◢av[n↘ borrowed money somet[me between Apr[̂ and Au↘ust. T◢e mean ̂oan amount was ₹26P300 and t◢e major[ty borrowed from [nformâ sources.
T◢e report âso exam[nes t◢e reac◢ and eff[cacy of ↘overnment rê[ef measures. As reported ear̂[er [n t◢ese pa↘esp we f[nd t◢at even t◢ou↘◢ PDS ◢ad a muc◢ w[der reac◢ t◢an Jan D◢an accountsp t◢e eff[cacy of t◢e Prad◢an Mantr[ Gar[b Kâyan Yojana was s[m[̂ar for bot◢p and around 40% of ê[↘[b̂e ◢ouse◢ôds were exĉuded from t◢e support.
As Ind[a confronts t◢e second wave and w◢at [s poss[b̂y [ts worst ◢uman[tar[an cr[s[s [n recent yearsp ur↘ent pô[cy measures are needed to support an âready bêea↘uered popûat[on.
T◢e extra PDS ent[t̂ements under PMGKY need to be extended t[̂̂ t◢e end of t◢e year. We recommend cas◢ transfers of ₹5P000 for t◢ree mont◢s to as many vûnerab̂e ◢ouse◢ôds as can be reac◢ed w[t◢ t◢e ex[st[n↘ d[↘[tâ [nfrastructurep [nĉud[n↘ but not ̂[m[ted to Jan D◢an accounts. MGNREGS ◢as p̂ayed a v[tâ rôe and [ts â̂ocat[on needs to be expanded. A p[̂ot urban
Richest
10%
Casual/ Daily Worker
Selfemployed
Temporary salaried Permanent salaried
emp̂oyment pro↘ramme anâo↘ous to [t can be ̂aunc◢ed [n t◢e worst ◢[t d[str[ctsp poss[b̂y focused on women woŗers. And a Cov[d ◢ards◢[p â̂owance of ₹30P000 (₹5P000 per mont◢ for s[x mont◢s) s◢oûd be announced for 2.5 m[̂̂[on An↘anwad[ and ASHA woŗers w◢o ◢ave been at t◢e front̂[nes of t◢e ↘rassroots f[↘◢t a↘a[nst t◢e v[rus.
T◢ese measures are [mportant because t◢e cr[s[s ◢as caused nutr[t[onâ and educat[onâ def[c[tsp as wê̂ as [ncreased [nequ[t[es [n t◢e ̂abour maŗet w[t◢ t◢e scarr[n↘ effect of job ̂oss on women and youn↘ woŗers. It [s ̂[̧êy t◢at many of t◢ese def[c[ts w[̂̂ be faced d[sproport[onatêy by t◢e most vûnerab̂e and poorest ◢ouse◢ôds.