During the epidemic, Nigerian businesses had lost a fifth of their workers
In the aftermath of the Covid-19 epidemic in 2020, about 20% of full-time workers at formal and informal businesses in Nigeria lost jobs.
The impressive figure comes from a study conducted by the United Nations Development Program (UNDP) in conjunction with the Nigerian Bureau of Statistics (NBS), which examined 2,964 businesses in each state in the country to look at the impact of the epidemic between the second and fourth quarters of each year.
Operational costs have risen as a result of increased productivity.
The report does not provide immediate reasons why businesses cut down on their employees, but 59% of businesses stated that their operations cost were higher between April and December 2020 than in the same period in 2019.
According to the study, operations costs climbed due to rising raw materials prices, logistics and transportation, power production, and the cost of workers' welfare. More than a third of the firms sampled said they were aware that other businesses were forced to shut down permanently owing to operating difficulties.
Over 70% of businesses reported losing income during the epidemic, including every transportation firm, in all sectors, from manufacturing and agriculture to financial services, during which the pandemic occurred. .
I'm looking forward to a rebirth to normalcy.
The reported pandemic-induced job losses corresponded to Nigeria's unemployment rate, which stood at 29 percent by the second quarter of 2020. The most recent figure is 33%, from March, when the NBS last published labor statistics. According to a Bloomberg tracker of 82 countries, only South Africa and Namibia have worse unemployment rates in Africaand possibly the rest of the worldbut only the South African and Namibia have higher unemployment levels.
According to the report, despite the repercussions of the epidemic's devastating consequences, some businesses managed to expand their operations by providing online marketing and delivery services. Some of the individuals surveyed stated they wanted that an increase in wealth in 2021 would allow them to rehire some of their staff who had to let go of last year.
Now we are begging the government to assist us, Alatu Ahubi, who has been a farmer for 20 years, said. When this epidemic began, I had to reduce my staff, but I pray that everything goes back to what it used to be so I can call back my personnel to resume their duties, thereby allowing them to feed and cater for their families.
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