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One fourth of salary earners are exposed to risk of financial consequences of pandemic crisis


https://www.ipn.md/en/one-fourth-of-salary-earners-are-exposed-to-risk-of-7966_1090171.html

Approximately one fourth of the salary earners are exposed to increased and extreme risks of suffering the financial consequences of the pandemic crisis, shows an analysis of the risks to the remuneration of the most vulnerable employees that was carried out by the Center “Partnership for Development” (CPD) with financial support from Soros Foundation Moldova, IPN reports.

27.4% of the employed persons are exposed to an increased (18.1%) or extreme risk (9.3%) of working in precarious conditions as regards remuneration. The precariousness of work from the perspective of remuneration is characterized by the reduced possibility for the employed persons to negotiate and influence the pay conditions and to cover the daily needs with their earnings. Another risk is related to firing or modification of the work program without the employer explaining the moves and perpetuating the practice of informal labor – payment of salaries “in envelope”.  

The fifth part of the employed persons experienced a reduction in earnings during the pandemic. The interventions assumed at global and national levels had repercussions for the participation in the labor market and for the maintaining of the economic activity of a number of business entities. According to the opinion poll that was carried out among the working population, each fifth person on average lost the job during the pandemic because the companies for which they worked ceased operations. Each third respondent said the number of working hours was reduced.

It was also ascertained that each third person of those who suffered financial losses had their salary reduced by 26-50%. About 28% of those who faced reductions in earnings indicated a diminution of up to 50%. Each third person had a diminution in the monthly number of worked hours. 16% of these had a working program reduced by over 30 hours.

The analysis was conducted in the framework of the project “Civic initiative for promoting rights of working persons during the pandemic”.