Coronavirus pandemic could destroy up to 25 million jobs worldwide: ILO

News Image

MG News | March 19, 2020 at 11:50 AM GMT+05:00

0:00

March 19, 2020: The economic and labor crisis created by the coronavirus pandemic could destroy up to 25 million jobs around the world if governments do not act fast to shield workers from the impact, the International Labour Organization (ILO), a UN agency, said in a new assessment.

"However, if we see an internationally coordinated policy response, as happened in the global financial crisis of 2008-9, then the impact on global unemployment could be significantly lower," ILO, which is based in Geneva, said.

The preliminary assessment report, COVID-19 and the world of work: Impacts and responses, called for urgent, large-scale and coordinated measures across three pillars: protecting workers in the workplace, stimulating the economy and employment, and supporting jobs and incomes.

These measures include extending social protection, supporting employment retention (i.e. short-time work, paid leave, other subsidies), and financial and tax relief, including for micro, small and medium-sized enterprises. In addition, the note proposes fiscal and monetary policy measures, and lending and financial support for specific economic sectors.

Based on different scenarios for the impact of COVID-19 on global GDP growth, the ILO estimates indicate a rise in global unemployment of between 5.3 million (“low” scenario) and 24.7 million (“high” scenario) from a base level of 188 million in 2019. By comparison, the 2008-9 global financial crisis increased global unemployment by 22 million.

Underemployment is also expected to increase on a large scale, as the economic consequences of the virus outbreak translate into reductions in working hours and wages. Self-employment in developing countries, which often serves to cushion the impact of changes, may not do so this time because of restrictions on the movement of people (e.g. service providers) and goods.

Falls in employment also means large income losses for workers. The study estimates these as being between USD 860 billion and USD 3.4 trillion by the end of 2020. This will translate into falls in the consumption of goods and services, in turn affecting the prospects for businesses and economies.

Working poverty is expected to increase significantly too, as “the strain on incomes resulting from the decline in economic activity will devastate workers close to or below the poverty line”. The ILO estimates that between 8.8 and 35 million additional people will be in working poverty worldwide, compared to the original estimate for 2020 (which projected a decline of 14 million worldwide).

(APP)

Related News

Name Price/Vol %Chg/NChg
KSE100 167,404.61
677.01M
0.70%
1161.71
ALLSHR 101,672.26
1,138.21M
0.53%
539.44
KSE30 51,213.64
167.45M
0.64%
327.03
KMI30 241,648.17
78.38M
0.22%
531.52
KMIALLSHR 66,762.94
651.52M
0.37%
243.50
BKTi 48,313.36
112.11M
1.26%
602.29
OGTi 32,612.14
11.53M
0.60%
193.52
Symbol Bid/Ask High/Low
Name Last High/Low Chg/%Chg
BITCOIN FUTURES 108,160.00 111,160.00
107,705.00
-2915.00
-2.62%
BRENT CRUDE 60.76 61.20
60.58
-0.25
-0.41%
RICHARDS BAY COAL MONTHLY 80.50 0.00
0.00
-1.10
-1.35%
ROTTERDAM COAL MONTHLY 92.75 92.75
92.75
-0.25
-0.27%
USD RBD PALM OLEIN 1,085.00 1,085.00
1,085.00
0.00
0.00%
CRUDE OIL - WTI 56.76 57.20
56.60
-0.26
-0.46%
SUGAR #11 WORLD 15.77 15.78
15.51
0.27
1.74%

Chart of the Day


Latest News
October 21, 2025 at 12:18 PM GMT+05:00

Gold price in Pakistan remain unchanged


October 21, 2025 at 10:54 AM GMT+05:00

NEPRA revises K-Electric tariff, lowers rate to Rs32.37/unit


October 21, 2025 at 10:46 AM GMT+05:00

Japan elects Sanae Takaichi as first female PM



Top 5 things to watch in this week

Pakistan Stock Movers
Name Last Chg/%Chg
Name Last Chg/%Chg