More than Five crore people working in the informal sector of the country are at high risk of losing jobs amid spreading coronavirus (COVID 19), experts said. About 85.1 percent (5.17 crore) people of the total labour force of the country are employed in this sector. Being informal, most of the workers in the sector are deprived of labour rights.
If the influence of coronavirus is prolonged for only a month, entrepreneurs will face huge losses, they said. In this situation, experts envisage that this huge number of labour forces are at high or moderate risk of losing jobs permanently. Asked, General Economics Division (GED) member of planning commission (senior secretary) Dr Shamsul Alam said, “The deadly coronavirus, which creates global catastrophe, is present in Bangladesh too. It is not clear now as to the amount of financial loss. However, most of the casualties have already hit the informal sector.”
“Normally, the labourers of this sector suffer much as they work without any agreement. As a result, they may have serious problems finding work on a daily basis,” he added. He also said, “The current situation of most of the sectors including business, commerce, production, import and export is not good. In this situation, a special fund or package is needed for their protection.”
Contacted, Research Director of CPD Dr Khondoker Golam Moazzem told Bangladesh Post, “Day labourers, rickshaw pullers and workers in other business sectors have already lost their job. In this situation, it is a big challenge to ensure their food security.” Although government has announced to give per Kg rice at tk 10 through VGF for lower income group, it is not adequate, he added.
In order to protect day labourers and lower earner groups, he urged the government providing money to ‘social protection/Security programme’, extracting from other sectors in 2019-20 fiscal year budget. He also said, “Those who do not get jobs should be brought under the Social Security program on a wider scale. Besides, the flow of money should be kept normal. Unnecessary expenditures, including felicitation cost, should be excluded from different projects.”
According to the latest 'Labour Force Survey' report prepared by the Bangladesh Bureau of Statistics (BBS), the total labour force of the country is 6.08 crore. Of these, only 14.9 percent people work in the formal sector. According to the report, 95.4 percent of the total labor force (employed) in the agricultural sector is informal. Besides, 89.9 percent workers in the industrial sector and 71.8 percent of the labor force in service sector are informally employed.
After reviewing the report, a total of 5 crore 17 lakh and 34 thousand people over 15 years of age have been engaged in informal work. Of these, 1 crore 71 lakh and 21 thousand are female and 3 crore 46 lakh and 13 thousand male workers. Economist and former lead economist of the World Bank at Dhaka office Zahid Hossain said, “Informal workers are not only at risk, they already have lost their jobs. As the capital city is under lockdown, they have gone to the villages. People who used to do small jobs including rickshaw pullers, maid servants small factory workers, grocery store workers, tailors and salesmen have gone to their villages. Their income has been completely closed.”
He also said, “If the situation improves, many of them may not return to work. The wheels of economy are now stuck. So the government should declare cash aid for this class. This initiative must be taken quickly to maintain their purchasing power.”