Evaluating the Effects of COVID-19 and Vaccination on Employment Behaviour: A Panel Data Analysis Acrossthe World

Abstract

COVID-19 is a fast-invading virus that quickly invaded the human body and made no human activity immune to its infections. The purpose of this study is to simulate the effects of COVID-19 on employment behaviour and vaccination’s weight in the recovery process. Based on quarterly panel data from 43 nations from 2018 to 2020, we built an adaptive employment model. The major findings demonstrate that COVID-19 has negative and large net and second effects, with parameters of −7049 and −15,768 employees each quarter for 100,000 infected people, respectively. While immunization has a positive net effect of 10,900 employees every quarter, it has a negative second effect of −29,817 employees. This last result may look strange, but it is rational and demonstrates that immunizations modify employees’ behaviour toward prevention measures, leading to actions such as resuming mobility, reopening, cancelling confinement, and so on, even though COVID-19 continues to spread. Demand, the labour force, the short-term multiplier, and immunization appear to have a positive and large impact on employment behaviour, while average labour productivity appears to have a negative impact.

Review of the impacts of COVID-19 pandemic on the employment of college graduates in China and countermeasures to it

“…To prevent and control the transmission of the COVID-19, Chinese government have had to implement a series of lockdown policies, which had led to difficulties in rework, shutdown of work and production, which greatly influenced the demand of employment ( 26 , 27 ). Affected by the epidemic, global working hours reduced by 5.2% in the first quarter of 2020, and the effect was expanded in the second quarter, reaching 18.2%, then dropped to 7.2 and 4.6% in the third and fourth quarter, respectively ( 28 ). The COVID-19 pandemic has caused enormous disruptions in the U.S. labor market.…”

Employment in the 21st Century: Pre- and Post-COVID-19 Changes

“…Regarding these difficulties, vaccination seemed to play a role in employment. Mosbah and Dharmapala [66], analyzing data from 43 nations between 2018 and 2020, found that while COVID-19 harmed workers, after vaccination and especially after the establishment of partial immunity, positive effects were cited on the workforce and employee behavior. However, the job retention support that was provided was beneficial for the Estonian labor market, because 20% of jobs were saved when they were supported by the program, also decreasing the rate of unemployment by 2-4 percentage points [67].…”