Updated: May 20, 2020
I know most of the people are scared about being infected by coronavirus but the scarier part is about jobs. Hearing all over the news about people losing jobs, the possibility of losing jobs or for people placed already, not getting their offer letter or withdrawal of offer letter by the companies. All this news just scares the shit out of the people. Most of us are locked inside of their home and at least once think about what is going to happen to the economy, though we can easily predict that the GDP is going to fall below 3%, which is expected given the scenario of the economy. But are the jobs secure?
Source: Economic Times
talk about facts. There is not enough revenue for most of the companies which makes the daily wage earners and gig workers the worst hit. With no work at all, they all have already lost the possibility of earning income which forces them to rush to their hometowns and we all know how that ended. The manufacturing sector which is directly dependent on the lockdown, the travel, tourism, and the hospitality sector are amongst the worst hit but hold your patience, the list is quite long. Automobile, auto-component, MSMEs, Banking sector, consumer durables, and capital good sector are also amongst the worst hit. So, people are already losing jobs there.
This is obviously because of China again. Holding the largest portion of Indian imports and being the 3rd largest export partner of India, it holds for most of the people getting laid off in the above sectors. Since the imports and the exports of India has been affected badly, the prices of these products are rising to more than 10%. All of this is leading to damaging the Supply chain mechanisms of India causing a lot of mismanagement and loss to the people. Another problem being is that the U.S. is now suspending the H-1B visa given the potential growth of layoffs in the future, if not today.
Farmers who are treated as the Backbone of the Economy have also been badly hit because this is the time of Rabi harvest and since the entire physical communication sector has stopped, the movement of their agricultural harvest has become very slow. In a nutshell, the major sectors of the economy have been suffering at this moment. But this doesn’t mean that all of the sectors have been hit. The big winners of this scenario are the companies operating through online channels, the Healthcare sector, supermarket chains, Pharmaceutical companies, the IT sector dealing with latest technologies, the online video games industry and the giant global corporations such as Amazon, Apple, Google, Microsoft, Netflix, etc. Still, there is news all over India that even the IT sector will be affected because they will be investing in automation in an attempt to reduce the overheads along with investment in the technology-led communications with greater use of Social media and all kinds of digital platforms.
Many companies have their Business Continuity Plan (BCP) and Disaster Recovery (DR) at the place and would not be doing anything which hampers their majority of the workforce, so there is hope.
Now, let’s focus on each kind of affected audience one-by-one. Current employees of different companies. Of course, there is a risk of losing a job mostly because of automation and AI would be taking the place of humans. This isn’t something new but that is not going to happen overnight. Sadly, they have to bear with it for some time. Talking about the essential human resource of the company, they won’t be facing such danger because their work is way more than what AI can do but there is a possibility of cutting down on salary. All those remunerations which used to be “nice to have” will be withdrawn such as travel, variable pay or bonuses, training costs, etc. Since all the workforce is enjoying the perks of staying at home and working, they would be expected to increase the working hours and productivity.
WFH will be considered as an experiment by the company to understand the impact of the coronavirus outbreak on the industry’s efficiency and faster adoption of the latest technology through online training, workshops, and webinars. The Ministry of Finance has also given a lot of statutory relief to the employees but I know that won't be enough. But the ministry is still working on the economic benefits to the employees which I am sure would be of some relief. My suggestion would be to make sure they are as highly productive as possible to overcome the possibility of “Laid-off”.
Now, the people who are not working and were waiting for joining their companies from April onwards, obviously there is a risk to them but still, the HRD minister has requested all the companies who have sent the offer letter to not withdraw it. But still, there is news of this been done but don’t lose your hope. It doesn’t mean that nothing can be done to that. All those people would be spending their time with their family members doing a lot of things, productive or non-productive.
What I would suggest is out of the 18 hours you spend watching series, playing games, making videos on TikTok or displaying their talents every passing day, I would request them to start giving time to themselves too. Take 1-2 hours out and start doing courses online. Since the economy is in recession, all the prices of online courses are cheap and some of them are free too. Read about a recent trend in the economy and make yourself useful by doing some courses about it.
If someone has an idea of starting something new, start thinking through, gathering resources and just start with it. It would be slow initially but keep working hard, you would be pursuing your dream. People who used to invest, just wait for some time, keep your close eyes on the market and buy when it is the right time. If nothing can be done, read some good knowledgeable books which you know will add to your existing skills. Make sure that the time invested in any of the above activities is made to good use and you learn something of value through that.
The last one, who have already lost their jobs. The daily wage earners and gig workers have to sadly, wait till all of this is over. If possible start making use of 5G technology and build your resume with more seriousness through completing online courses and studying so that when the situation is back to normal, which I know would take a lot of time, they would have something extra to give to the company.
It’s the least we can do as of now. Well, most of all, what is important is that we survive through this pandemic. Keep yourself at home, stay hygienic and take care of yourself and your loved ones because more than money, your life is important. So that in the end, all we can say to the God of Layoffs,
As mentioned above, If anyone wants to do some course, I have some downloaded material with me. You can find those courses in the picture below. If interested, subscribe to TBY and Mail us the screenshot and let us know about the course you want to do. We will send you the file asap.
About 25 million jobs could be lost worldwide due to coronavirus: United Nations. (2020, March 19). Retrieved from Economic Times: https://economictimes.indiatimes.com/news/international/world-news/about-25-million-jobs-could-be-lost-worldwide-due-to-coronavirus-united-nations/articleshow/74705919.cms?from=mdr
Bloomberg. (2020, April 07). India jobless rate swells above 23% amid coronavirus lockdown, survey shows. Retrieved from The Economic Times: https://economictimes.indiatimes.com/jobs/india-jobless-rate-swells-above-23-amid-coronavirus-lockdown-survey-shows/articleshow/75023958.cms
PARIKH, A. (2020, March 24). Finance Ministry Announces Economic Relief Measures Amid Coronavirus Outbreak. Retrieved from MERCOM India: https://mercomindia.com/finance-ministry-economic-relief-measures-coronavirus-outbreak/
PTI. (2020, March 24). Experts urge India Inc to avoid layoffs, pay cuts during coronavirus outbreak for faster recovery. Retrieved from The Economic Times: https://economictimes.indiatimes.com/jobs/experts-urge-india-inc-to-avoid-layoffs-pay-cuts-during-coronavirus-outbreak-for-faster-recovery/articleshow/74786704.cms?from=mdr
Sabnavis, M. (2020, March 23). Coronavirus Outbreak: How a prolonged shutdown will affect India’s salaried class, jobs, farm production, manufacturing. Retrieved from Firstpost: https://www.firstpost.com/health/coronavirus-outbreak-how-a-prolonged-shutdown-will-affect-indias-stressed-economy-cause-collateral-damage-to-jobs-farm-production-manufacturing-8179491.html