| Literature DB >> 33071434 |
Christian Johannes Meyer1, Morgan Hardy2, Marc Witte3, Gisella Kagy4, Eyoual Demeke5.
Abstract
In a globalized world, pandemics transmit impacts through markets. We document employment changes, coping strategies, and welfare of garment factory workers in Ethiopia's largest industrial park during the early stages of the Coronavirus Disease 2019 pandemic. We field a phone survey of female workers during a two month period in which cases are rapidly rising globally, but not locally. Our data suggest significant changes in employment, high levels of migration away from urban areas to rural areas if women are no longer working, and high levels of food insecurity. These findings compel a research and policy focus on documenting and mitigating the market-reach of pandemics on low-income workers at the margins.Entities:
Keywords: COVID-19; Employment; Ethiopia; Industrial Parks; Migration
Year: 2020 PMID: 33071434 PMCID: PMC7556233 DOI: 10.1016/j.worlddev.2020.105179
Source DB: PubMed Journal: World Dev ISSN: 0305-750X
Fig. 1The COVID-19 Pandemic and Global Clothing Retail Demand. Notes: This figure shows the timeline of events. Survey dates are shaded in blue. Sources: Number of confirmed COVID-19 cases for Ethiopia and the world are based on Thomas et al. (2020). Number of confirmed COVID-19 cases for Ethiopia and the world are from the European Centre for Disease Prevention and Control (ECDC); number of confirmed cases for Hawassa are based on the Ethiopia COVID-19 monitoring platform (https://www.covid19.et/covid-19/). Number of confirmed COVID-19 cases for Ethiopia and the world are based on Thomas et al. (2020). Number of confirmed cases for Hawassa are based on the Ethiopia COVID-19 monitoring platform (https://www.covid19.et/covid-19/). Ethiopia policy measures stem from Thomas et al. (2020). Monthly clothing retail sales for the US are based on the US Census Bureau Advance Monthly Retail Trade data (Clothing and Clothing Accessory Stores). Clothing retail sales for Germany are based on German Federal Statistical Office (Destatis) GENESIS Table 45212-0005 (WZ08-4771 Retail Sale of Clothing). All retail data are in constant prices, indexed to 2015 = 100, and seasonally adjusted using X-13 ARIMA. (For interpretation of the references to colour in this figure legend, the reader is referred to the web version of this article.)
Sample selection and summary statistics.
| (1) | (2) | (3) | (4) | (5) | |
|---|---|---|---|---|---|
| Study sample | Study sample | HIP applicants | Urban SNNPR | Urban Ethiopia | |
| (survey data) | (personnel data) | (personnel data) | (2015/16 LSMS) | (2015/16 LSMS) | |
| Age | 20.81 | 21.88 | 21.82 | 22.61 | 25.40 |
| (2.48) | (2.99) | (3.03) | (16.12) | (17.24) | |
| Female | 1.00 | 1.00 | 1.00 | 1.00 | 1.00 |
| (0.00) | (0.00) | (0.00) | (0.00) | (0.00) | |
| Years of education | 11.12 | 10.12 | 10.05 | 5.40 | 6.11 |
| (1.96) | (1.07) | (1.05) | (5.31) | (5.68) | |
| Married | 0.09 | 0.02 | 0.02 | 0.30 | 0.29 |
| (0.28) | (0.13) | (0.13) | (0.46) | (0.45) | |
| Born in SNNP | 0.97 | 0.97 | 0.96 | 0.88 | 0.16 |
| (0.16) | (0.16) | (0.19) | (0.33) | (0.37) | |
| Born in Oromia | 0.01 | 0.01 | 0.01 | 0.03 | 0.25 |
| (0.08) | (0.08) | (0.08) | (0.17) | (0.43) | |
| From Hawassa zone | 0.47 | 0.52 | |||
| (0.50) | (0.50) | ||||
| Currently in Hawassa | 0.72 | ||||
| (0.45) | |||||
| Has Hawassa kebele ID | 0.65 | ||||
| (0.48) | |||||
| (U) PSNP | 0.01 | ||||
| (0.09) | |||||
| Currently working | 0.73 | 0.64 | |||
| (0.45) | (0.48) | ||||
| Workers at company | 1655.86 | 1696.14 | |||
| (727.16) | (706.47) | ||||
| Years in HIP | 1.32 | 1.32 | |||
| (0.57) | (0.54) | ||||
| Average stint duration (in years) | 1.19 | 1.12 | |||
| (0.62) | (0.61) | ||||
| Observations | 3896 | 3896 | 32896 | 398 | 2672 |
Notes: Table presents means with standard deviations in parentheses. Columns 1 and 2 summ summarize our study sample based on survey data. Column 3 presents presents data for all HIP applicants based on personnel data. app appli. Columns 4 and 5 are based on data from the 2015–2016 round of the Living Standards Measurement Study/ Ethiopia Socioeconomic Survey (ESS/LSMS). ∗ Has ever been or is currently a beneficiary of the Urban or Rural Productive Safety Net Program.
Outcomes, for whole sample and by employment status
| By HIP employment status | ||||||
|---|---|---|---|---|---|---|
| (1) | (2) | (3) | (4) | (5) | (6) | |
| Whole sample | Employed and working | Paid leave | Unpaid leave | Decided to leave | Terminated | |
| Number of health conditions (0 −5) | 0.09 | 0.08 | 0.09 | 0.07 | 0.10 | 0.12 |
| (0.33) | (0.32) | (0.32) | (0.26) | (0.38) | (0.42) | |
| Believe there is medicine for COVID-19 | 0.05 | 0.05 | 0.04 | 0.06 | 0.04 | 0.05 |
| (0.22) | (0.23) | (0.20) | (0.24) | (0.21) | (0.22) | |
| Share of sample in category | 0.59 | 0.20 | 0.06 | 0.13 | 0.02 | |
| (0.49) | (0.40) | (0.24) | (0.34) | (0.14) | ||
| No employment | 0.93 | 0.94 | 0.85 | 0.93 | ||
| (0.25) | (0.24) | (0.36) | (0.26) | |||
| Temporary employment | 0.03 | 0.03 | 0.06 | 0.01 | ||
| (0.16) | (0.16) | (0.24) | (0.11) | |||
| Self-employed without employees | 0.03 | 0.01 | 0.05 | 0.05 | ||
| (0.16) | (0.11) | (0.21) | (0.22) | |||
| Other employment | 0.02 | 0.02 | 0.05 | 0.01 | ||
| (0.12) | (0.14) | (0.22) | (0.11) | |||
| Most recent monthly salary in HIP | 1096.17 | 1113.76 | 1059.22 | 1048.97 | ||
| (489.70) | (515.65) | (438.09) | (373.08) | |||
| Savings last 7 days | 61.12 | 57.62 | 73.06 | 59.90 | 62.37 | 41.69 |
| (169.97) | (164.44) | (177.46) | (181.75) | (182.77) | (120.72) | |
| Any food expenditure | 0.86 | 0.97 | 0.78 | 0.76 | 0.57 | 0.76 |
| (0.35) | (0.17) | (0.41) | (0.43) | (0.50) | (0.43) | |
| Food expenses last 7 days | 231.95 | 260.31 | 214.44 | 210.39 | 151.32 | 179.19 |
| (181.90) | (156.97) | (200.84) | (222.22) | (204.04) | (171.10) | |
| Rent last month | 271.84 | 309.57 | 246.50 | 247.23 | 167.54 | 190.18 |
| (212.51) | (200.18) | (190.03) | (230.31) | (241.78) | (213.08) | |
| Combined monthly rent and food expenses | 1199.64 | 1350.80 | 1104.25 | 1088.80 | 772.83 | 906.95 |
| (816.03) | (697.77) | (857.80) | (1019.87) | (938.93) | (756.96) | |
| Worried not enough food for self | 0.52 | 0.56 | 0.50 | 0.53 | 0.36 | 0.64 |
| (0.50) | (0.50) | (0.50) | (0.50) | (0.48) | (0.48) | |
| Screened depressed (PHQ2 > 3) | 0.24 | 0.23 | 0.26 | 0.29 | 0.21 | 0.25 |
| (0.43) | (0.42) | (0.44) | (0.45) | (0.41) | (0.44) | |
| Current city is Hawassa | 0.72 | 0.96 | 0.43 | 0.35 | 0.30 | 0.47 |
| (0.45) | (0.20) | (0.50) | (0.48) | (0.46) | (0.50) | |
| In desired location | 0.68 | 0.76 | 0.58 | 0.54 | 0.56 | 0.58 |
| (0.47) | (0.43) | (0.49) | (0.50) | (0.50) | (0.50) | |
| Observations | 3896 | 2280 | 776 | 243 | 524 | 83 |
Notes:Table presents means with standard deviations in parentheses. This table shows various socio-economic outcomes for the whole sample of respondents (column 1) as well as split up by employment status (columns 2–6). The data is presented as mean (standard deviation). The most recent salary in HIP has fewer observations because it is only available for respondens who are employed or on paid or unpaid leave. (a) Monthly rent expenses plus food expenses in the last 7 days multiplied by 4.
Fig. 2Migration. Note: This figure displays our findings on internal migration of respondents. Panel (a) on the left shows the share of respondents who state that they are in their desired location, by the respondent’s employment status and by whether they are currently in Hawassa. Panel (b) on the right shows the share of respondents mentioning different barriers to movement, split by whether respondents are currently in Hawassa.