Self-employed workers hardest hit by COVID pandemic – Newton Daily News
AMES – Employees across the country have seen a significant impact during the COVID-19 pandemic, but a recent study by a sociologist at Iowa State University shows that it may be the self-employed who have been the most hard hit.
Samuel Mindes, adjunct assistant professor of rural sociology and sociologist at Iowa State University Extension and Outreach, followed survey data on the current population of nearly 238,000 people with results showing that the self-employed were 2, 4 to 4.7 times more likely than employees to face time off work caused by the pandemic.
The study found that independent immigrants and people from racial and ethnic minorities were hit hardest, and that women, non-whites and Hispanics were hit hardest, whether they were self-employed or working for someone else. ‘another.
Mindes published his findings in an article titled “Self-employment during the COVID-19 pandemic: an analysis of linked monthly CPS data ”, which appeared in a fall edition of the Journal of Business Venturing Insights – an international journal read by entrepreneurship researchers. The study and article were co-authored by Paul Lewin, extension specialist at the University of Idaho.
“Before the pandemic I was already studying self-employment and minority employment and as the pandemic worsened we were starting to see that it was the minorities who were hit the hardest,” Mindes said.
In some cases, contrary to the general trend, the self-employed have actually fared better. Self-employed workers with incorporated businesses, which have certain legal and financial advantages, were generally more protected than informal entities. In addition, in some industries, such as agriculture, food services and accommodation services, self-employed workers fare better than employees.
“This pattern is not necessarily unexpected,” Mindes said. “In these industries, employees would be the first to lose their jobs during an economic crisis. Self-employed people can feel the impact and keep their own jobs, by running their business at a lower capacity. “
Mindes continues to track employment and demographic data as new COVID-19 threats continue across the world. He said the findings illustrate the disparity between self-employed and salaried workers, and how marginalized workers have been affected the most.
“It kind of shows us the initial impact and the disparity, where the self-employed have done well,” he said. “This initial blow did not balance out across employment sectors, and there are companies that have never recovered and probably never will.”
Mindes hopes her study will be useful to other researchers on self-employment and paid work in the aftermath of the pandemic. He said that even for workers who remained employed during the pandemic, employment alone does not necessarily reflect the disruptions and challenges they faced.
Highlights of the study
- Self-employed workers have been hit hardest by the COVID-19 pandemic and have recovered more slowly.
- The impact of the pandemic on the self-employed has been less severe in the hard-hit sectors.
- Household composition has had uneven effects between the self-employed and salaried sectors.
- Minorities face higher risks of inability to work linked to the pandemic overall.
- Different effects of additional human capital for the self-employed and employees.