Covid second wave deals heavier blow to livelihood

Impacts of the second wave of the Covid-19 pandemic on people's livelihood has been tougher than that after the first wave, a recent survey has found.

People's income was steadily recovering from lowest point in June 2020 before it started to reverse with the second wave and the subsequent lockdown, according to a multi-phased survey jointly conducted by the Brac Institute of Governance and Development (BIGD) and the Power and Participation Research Center (PPRC).

Prior to the pandemic daily income of people, on an average, was Tk114, which went down by 43% to 65 in June last year. 

After the lockdown was lifted, it started to rise before it dropped again to Tk88 in August this year. 

As it stands, people's earnings have fallen 23% compared to what used to be before the pandemic hit, said the survey findings, which the BIGD and PPRC have been conducting to document impacts of the pandemic on low-income people's lives.

Findings of the fourth-phase, which was revealed virtually on Thursday, also found that despite the decline in income, non-food expenses for the city's slum dwellers have doubled while it tripled for people living in rural areas. Meanwhile Institutional support from the public and private sector has also decreased. 

As a result, low earners, living in cities, are being forced to cut food spending by 17% while in rural areas, it decreased by about 12%. From March to August this year, the number of people skipping one meal in a day has gone up four times in cities and five times in rural areas. 

The survey report also reveals that the second wave has led to an increase in unemployment, which is twice in slum areas than what was before the pandemic.

Unemployment rose to 23% in June last year, but fell to 11 percent in March this year before it increased by three percentage points to 14% in August.

"69% of those surveyed said they were not getting the job they expected," said BIGD Executive Director Dr Imran Matin.

"49% respondents said they were dissatisfied with their work," he said, adding a lack of employment opportunities have forced many to take jobs, for which they are over-qualified. 

PPRC Executive Chairman Dr Hossain Zillur Rahman said, "Almost half of the people surveyed talked about their livelihood crisis.

"During the first lockdown, 45% of the families received help, but in the second lockdown, it went down to 23%. 10% of the people who lost their jobs after the pandemic have not yet found a job," he said.

Speaking about the pandemic's impact on livelihood, Dr Hossain Zillur said, "The uncertainty over work and income among people has increased in the last 18 months. Many have tried to earn a living by changing jobs. Many even switched to work that was not consistent with their skills.

He said the amount people loaned during the pandemic also increased steadily. In February 2020, the loan amount was only 13% of their annual income, but in August this year, the rate rose to 28%.

The 10% slum dwellers, who moved to rural or relatively less expensive areas, have not yet returned.

People who were just above the poverty line but went below it during the pandemic have been identified as the "new poor" people of Bangladesh. 

According to a survey in August, 19.5% of the country's population is now the "new poor". 

Hossain Zillur Rahman feared that many "new poor" families could fall into long-term poverty, 

"Prolonged poverty could disrupt the normal livelihoods of families and plunge them into a vicious cycle of poverty," he said.

Calling on the government to take adequate initiatives, he said, "The threat of a new covid wave still exists. Without a comprehensive approach to health care, administrative and economic policies, it is impossible to lessen the damages."