Coronavirus not only has affected the health of people all around the world. But it is also affecting the economy of the world. Most of the people are getting jobless and getting pay cuts for no reason.
The current situation of the world economy can highly disturb the careers. It can possibly take everyone’s career back by three to more years.
This is clearly a vulnerable situation. The current data shows that people in United States are facing unemployment. The percentage has risen from 3.5 to 15 percent. The rate of people losing jobs is increasing day by day.
However, in India, people are facing salary cuts and losing jobs. The salary cuts ranges from 5 percent to 60 percent and even more. Therefore, there are no chances for the world economy or people to see a ray of improvement anytime soon.
IT and Media employees fear the most in India
According to a survey conducted by Linkedin, “Two out of five media experts said that their companies are going to fare bad in the coming six months, displaying a bleak viewpoint of the future.
On the other hand, out of four one manufacturing experts and more than five out of ten IT experts have similar viewpoints.” However, the survey also shows that there is decrease in the personal incomes of the people.
A report by IANS, 48% of job seekers and 43% of full time experts anticipate of very less of job openings after the lockdown.
Salary cuts through industries in India
In March, when PM Modi announced and requested the industrialists and employers to avoid salary cuts and prohibited them from firing employees. However, the request seems completely unheard, unfortunately.
There have been many cases where the pay cuts have risen from 5percent to 60percent and more. Surprisingly, organizations and industries are doing this by not informing the staff members formally via mails and letters.
This can be called quite a way to be off the radar. Nevertheless, media organizations are asking their employees to be on an endless leave without the salary. Renowned hotel chains are offering their employees retirement at a month’s payment.
How this situation exactly affects an employee’s career
Seeing the site where employees are facing salary cuts and volunteer retirement from many service sectors, it takes back career of anyone by 3years and more.
It is more than just a loss of small amount of money. Increments and appraisals are stalled. People have to work with the pays out which were drawn by them three years back. Also, there are some employees who have given up on their 60 percent of the salary.
The end of COVID-19 situation, employees might have to negotiate with their salary packages. Or the least possible chance is to change career or jobs.
A piece of advice
The economy is unstable clearly and it is wise to take precautionary steps. Pointless expenses should be a clear no. also, risky investments should be refrained. Try to invest your money where it is safe of any loss.
This is high time to act wise in terms of money.