The effect of India’s lockdown on its blue-collar employees

By admin | May 13, 2020

India’s decision to implement a sudden and total lockdown amidst the Coronavirus epidemic has sent ripples across the country. This has impacted the day-to-day functioning of people and has brought everyday life to a complete standstill. As the number of patients infected with the Coronavirus continue to rise, India is amidst Lockdown 3.0 that will be extended till 17th May, 2020. 

 

The complete lockdown has resulted in the shutting down of many factories and businesses, suspension of flights, stopping of railway operations, and imposing heavy restrictions on the movement of vehicles and people. 

 

Effect on India’s blue-collar employees

While many sectors such as IT and ITES companies have the option to work from home amidst this crisis, this option sadly is not available for blue-collar employees that work in industries such as travel, food and beverages, hospitality, delivery, e-commerce, and aviation, all of which have taken a terrible hit since the implementation of the lockdown. 

 

Other industries employing blue-collar workers such as shipping, construction, and production of non-essential consumer goods have also been disrupted. This has resulted in these employees, who are hired mostly on a contractual basis to earn next to nothing during the lockdown. 

 

E-commerce and B2B companies with drivers, delivery staff, sales and business development employees, who cannot work from home due to their job profile have been issued 3-4 month severance packages and asked to leave. Even traditional sectors such as staffing agencies have also let many of their contractual employees go. 

 

Reflection on India’s economy

Over 100-120 million blue-collar workers, that account for 70-80% of the industry, have been hit. Many face job losses and pay cuts and have gone without income since the lockdown began. With the extended lockdown till 17th May, these numbers will only continue to rise. 

 

India’ blue-collar workforce is the backbone of India’s economy. They have taken a terrible hit and are bearing the brunt of it all, which is a clear reflection of India’s economy right now. Many of the workers are not even given assured minimum wages or any social security due to their arrangement. 

 

NIRA is a brand that works towards giving ticket loans to India’s blue-collar workers and others who face financial difficulties in their time of need. They struggle to get a loan from banks due to their income and credibility and often get entrapped by taking high-interest loans from loan sharks and money lenders. 

 

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