COVID-19-associated income loss and job loss: Evidence from Indonesia

Rendra A. Putra, Kostiantyn Ovsiannikov and Koji Kotani
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Rendra A. Putra: Rikkyo University
Kostiantyn Ovsiannikov: School of Economics and Management, Kochi University of Technology

No SDES-2022-4, Working Papers from Kochi University of Technology, School of Economics and Management

Abstract: COVID-19 pandemic has substantially altered socioeconomic conditions around the world. While numerous existing studies analyze the impact of the COVID-19 pandemic among developed states, little is known about its effects on people’s lives and social discrepancies in emerging economies. To this end, we empirically analyze the 2020 Indonesian Labor Force Survey data, hypothesizing that COVID-19 has given idiosyncratic risks and impacts on people by gender, age, education, occupation and geography. We find that income loss and job loss are prominent among males, younger and less educated people as well as among self-employed and part-time non-agricultural workers. These tendencies are not pronounced for people enjoying high income and mobility, but tend to be evident for urban residents and those having dependents. Notably, self-employed people have the highest risk of losing income, while part-time urban workers face the highest probability of losing their jobs. We conclude that in the absence of special governmental subsidies targeting these disadvantaged groups, social discrepancies related to income and employment status are expected to widen even further due to the pandemic.

Keywords: Labor force; Informal employment; Gender equality; COVID-19 (search for similar items in EconPapers)
Pages: 37 pages
Date: 2022-03, Revised 2022-03
New Economics Papers: this item is included in nep-iue and nep-sea
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Published in SDE Series, March 2022, pages 1-37

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http://www.souken.kochi-tech.ac.jp/seido/wp/SDES-2022-4.pdf First version, 2022 (application/pdf)

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Journal Article: COVID-19-associated income loss and job loss: Evidence from Indonesia (2023)
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