The greater post-COVID threat

Salameh daraawi
Salameh Darawi (Photo: Jordan News)
The COVID-19 situation seems to be going in the right direction, both in Jordan and around the world. The world seems to be gearing up to reopen, seeking release from one-and-a-half years of isolation and lockdowns.اضافة اعلان

Jordan’s healthcare efforts and decisions on partial, and full lockdowns before that, have started to pay off as indicated by the drop in daily COVID cases, deaths, and hospitalizations, which has driven the government to reduce curfews and begin to reopen sectors gradually. In June, a large number of sectors is set to reopen as life slowly begins inching towards normalcy.

And whether it takes a year or more, things will return to normal, and defense orders, which have largely regulated society’s rhythm and behavior will become a thing of the past. The private sector was among the most affected by defense orders, nevertheless, they were put in place to protect citizens’ job security and prevent companies from restructuring their staff because of the pandemic’s economic repercussions.

Ultimately, those companies have survived thanks to the government’s direct and indirect assistance through economic and financial support programs provided throughout the pandemic to mitigate its impact, including the “Estidama” program, cancelation of some permits and fees, and the partial payment of fees owed to employees working at establishments that were forced to fully close.

Eventually, all defense orders will be revoked, things will return to their original course, and companies will have to restructure in accordance with the Labor Law, which is their right, to avoid complete collapse or dissolution. Therefore, major layoffs can be expected across commercial, service, and industrial sectors, which have been the victim of heavy financial burdens imposed by COVID-19 and have become incapable of facing a continued decline in performance and productivity.

Some weeks ago, an international report revealed that some 140,000 Jordanians have lost their jobs due to COVID, which is a significant number relative to the size of the Kingdom’s economy. Most of those who have become jobless used to work in either the tourism or transportation sectors.

Once the pandemic ends and defense orders are no longer in effect, the number of those laid off may worsen the issue, which may be exacerbated by the induction of some 156,000 fresh graduates into the labor market — among them 88,000 university graduates. This essentially means that unemployment rates among the youth will likely reach unprecedented levels, especially considering they now hover around 50 percent.

Past indicators have posed a threat on all levels and now require the government to set forth a contingency plan to face the outcomes of what may follow the end of the pandemic, by creating an accurate database and network comprising those who have been laid off. The government must then create a new system for the existing social protection network so that it may absorb part of the impact caused by potential layoffs and the pandemic’s financial aftermath. The government must also offer aid to this new social segment, while supporting private sector efforts to boost its productivity and sustain operations that threaten its existence.

This will allow the private sector to recuperate and take in a larger number of fresh jobseekers and graduates, considering that measures taken are not permanent, but are rather meant to address the needs of those who have been laid off until companies can return to business as usual.

This requires the concerned parties to form an emergency taskforce to deal with the issue at hand, so that it may communicate with private sector representatives, and foster the role of social service institutions, in addition to increasing their numbers.


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