SACKED EMPLOYEES AND POVERTY -THE TWO WORLDS

The covid 19 has given birth to two different worlds in one world. The poverty and the challengers. Yeah, this might sound something puzzling and any of you cannot make it out. Once you go through you will get the whole idea. Post covid the poverty level of many countries will reach an all-time high level. The risk of falling income cannot be ruled out. The rising household debt would spook the poverty level for many countries. Child death, malnutrition, lack for food, hunger are now going to rule the earth just like a demon for those who live by earning each day.

Countries which are dependent on Tourism will find the pain too much. The global economy is not divided alone between white and blue coloured jobs. They are divided between other types who earn each to make a living. World Bank has predicted coronavirus is pushing 40-60 million people into extreme poverty. At the country-level, the three countries with the largest change in the number of poor are estimated to be India (12 million), Nigeria (5 million) and the Democratic Republic of Congo (2 million). If the global GDP is going to fall and going to come down significantly then the poverty level is bound to increase. Government support plans are bound to fall short as the depth of lockdown and its impact is too hard to be calculated.

Urban unemployment and rural unemployment both are now running at the same speed. The climate change impact on agri sector followed with lockdown and a significant drop in consumption leads to massive price correction which makes the cost of production expensive. Unemployment is now competition and seems like a never-ending system. Sustainable living is a matter of long distant thinking. The global poverty share of the world’s population living on less than $1.90 per day is projected to increase from 8.2% in 2019 to 8.6% in 2020, or from 632 million people to 665 million people. Countries such as Indonesia, South Africa, and China are also forecasted to have more than one million people pushed into extreme poverty as a consequence of COVID-19.

Poverty levels are going to destroy the future society which belongs to children’s. According to UNICEF COVID-19 pandemic could push up to 86 million more children into household poverty by the end of 2020, which is an increase of 15 per cent. Children living below the national poverty line in low- and middle-income countries could reach 672 million by year-end. Nearly two-thirds of these children live in sub-Saharan Africa and South Asia.

We need free education and teachers to come forward to fill up the gap of education as these children’s cannot afford to get the education. This pandemic is a socio-economic crisis which is draining the savings and hence living will is a challenge in the near term. On the other side, I find that there will be war-related to business and trade which will create new opportunities. Many countries don’t have a proper social system and even if they have they will have corruption which snatches the rightful demand and ability of the poor. Many state government and central governments are not in a condition to provide buffer support to the people and hence the global poverty levels are bound to increase.

Challenger 

Post-Covid there will be a war of for productivity, there will be a war for getting export, there will be a war for getting consumer market share. Yes, we are going to face a massive war for the survival of every economy. This lockdown based slowdown has created an immense hole in the individual as well as on the corporate level. Post-COVID the global ecosystem of trade and business is going to be challenged significantly. We need to understand and be ready with our strategies of getting into the same ecosystem and not being left alone. We need to understand that the dynamics of the pricing and war for business and challenges are going to come from home itself and not from the cross border.

Challenges are extensively going to be at a new redesigned new level. The whole ecosystem is about to change where corporates will be challenged by the retail segment. Yes, those who are thinking that this is not going to happen then it’s high time to get out of the sleep. The whole ecosystem is about to get challenged where small firms will be coming up to challenge the services, offerings and pricings.

 I will not be surprised if the pricing will be broken margins will be slashed. The legacy business will be challenged and sacked employees are now going to form new routes of creating another economy and ecosystem.

Those senior employees who have lost job will now be coming up with their firms. These firms will now come up with low-cost products and services to challenge the ecosystem. We have seen this challenger previously but now with the advent of technology and ease of starting up and doing business leads to a significant challenge. Quality small teams will now be the biggest challenge for the ones who are controlling the price.

Job challenges will now be met with start-ups and this will break the monopoly of pricing and products and market control. Everyone will be looking forward to grabbing the consumer with the lowest price and the best product or services. We will be witnessing two different worlds in the same world.