Analysis of the labour market impacts of the coronavirus pandemic: Evidence from Zambia

Abstract

ABSTRACT This paper examines the short-term impact of the Coronavirus pandemic on firms in a developing country i.e. Zambia. This is motivated by the characteristics of the Labour market in developing countries where informality dominates, and female workers form a larger proportion of the informal workforce. The Zambian version of the World Bank Enterprise Survey conducted just before the pandemic (September 2019 to March 2020) and during the pandemic (June 6 to 17 July 2020) is used to explore the experience of firms in terms of changes in the number of employees and firm survival. Results suggest that informal workers are more likely to lose their jobs while firms that are at least partly owned/managed by females are also less likely to survive. It is argued that policy actions that protect informal workers are salient especially since future pandemics cannot be ruled out.