This archive report was first published on 20 May 2020.
On May 20, 2020, the National Treasury Cabinet Secretary Ukur Yatani revealed the devastating impact of the government's Covid-19 containment measures on the labour market. A new survey conducted by the Kenya National Bureau of Statistics showed that nearly half of Kenyans have lost their jobs since March, when the country recorded its first Covid-19 case.
The survey, which was conducted between May 2 and May 9, found that 49.9% of workers in the informal sector had been asked to stay away or found themselves locked out by their employers following the government's directives. These measures included the banning of all passenger flights, temporary closure of bars, suspension of learning in all education institutions, dusk-to-dawn curfew, and cessation of movement in and out of some high-risk areas.
According to Mr. Yatani, these measures and the looming uncertainty about the disease have had knock-on effects on businesses and workers' incomes. 'Expectedly, a number of business owners have introduced several cost-cutting measures aimed at ensuring that their businesses remain afloat,' he said. 'The enterprises have had to delay investments, purchases of goods and hiring of workers, while others have resorted to salary cuts for their employees, temporary layoffs, and in some cases, total closure.'
The survey also found that women have been most affected by the jobs downturn, with about 65.3% of male respondents reporting they were in the labour force, compared to more than half (51.2%) of female respondents who were outside the labour force.
As the country continues to register more coronavirus cases and tougher measures are announced periodically, uncertainty about jobs is growing. 'Nine out of 10 persons who were absent from work due to stay-away or lock-down guidelines were not sure when they would return to work,' the report said.
The survey also revealed that income stoppage has curtailed their financial ability to cater for their health, transport, and housing needs. On average, the cost of transport rose by 51.7%, with Migori County recording the highest jump and Turkana having the least.
