Pandemic, informality, and vulnerability: Impact of COVID-19 on livelihoods in India

Kesar, Surbhi and Abraham, Rosa and Lahoti, Rahul and Nath, Paaritosh and Basole, Amit (2021) Pandemic, informality, and vulnerability: Impact of COVID-19 on livelihoods in India. Canadian Journal of Development Studies / Revue canadienne d'études du développement, 42 (1-2). pp. 145-164. ISSN 0225-5189

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Abstract

We analyze findings from a large-scale survey of around 5000 respondents across 12 states of India, conducted during the months of April and May 2020, to study the impact of COVID-19 pandemic containment measures (lockdown) on employment, livelihoods, and food security. Given the predominantly informal nature of employment and critically low investment in State-funded social security nets, the impact, albeit unprecedented in its scale, was not entirely unexpected in its nature. We find that around two-thirds of respondents reported losing employment during the lockdown, and those that continued to be employed witness a sharp decline in earning. Further, with critically low levels of social security net, the loss in employment quickly translated into food and livelihoods insecurity. Almost 80 per cent of households experienced a reduction in food intake, more than 60 per cent did not have enough money for a week’s worth of essentials, and a third took a loan to cover expenses during the lockdown. We also use a set of logistic regressions to identify how employment loss and reduction in food intake varied with individual and household-level characteristics. Based on our analysis, we argue that while there is an urgent need to undertake effective measures to support livelihoods and facilitate an economic recovery, we also highlight the necessity to critically evaluate the current development trajectory, whereby decades-long high economic growth has failed to translate into more secure livelihoods for a vast majority of the workforce.

Item Type:	Article
Authors:	Kesar, Surbhi and Abraham, Rosa and Lahoti, Rahul and Nath, Paaritosh and Basole, Amit
Document Language:	Language English
Uncontrolled Keywords:	COVID-19, informality, employment, food, security, India
Subjects:	Social sciences > Economics > Labor economics > Labor force and market Social sciences > Economics > Public finance Social sciences > Economics > Macroeconomics & related topics > Factors affecting income and wealth > Poverty
Divisions:	Azim Premji University - Bengaluru > School of Arts and Sciences
Full Text Status:	Public
URI:	http://publications.azimpremjiuniversity.edu.in/id/eprint/7139
Publisher URL:	https://doi.org/10.1080/02255189.2021.1890003

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