The Effect of COVID-19 on the Kurdistan Region Government (KRG) Economy

Abstract

The COVID-19 pandemic has affected employment globally, especially in the private sector. This study aims to identify the effects of the pandemic on the employment statuses such as lower wages and lack of jobs in the Kurdistan Region Government ( KRG). The research questions guiding the study are the following: How has the COVID-19 crisis affected livelihoods in the KRG? How have these changes affected the association among income loss, working status, business closure, and gender? We have conducted a survey in May 2021 to examine changes in the work situation; the empirical cases cover a sample of 72 people aged between 20 and 60 years old in the Kurdistan Region in Iraq. In addition, we perform a chi-square test to check whether the relationships between losing salary and working status, and business shutdown and gender are significant or not. The findings revealed 37.5% of salary cut and about 50% of employees’ businesses shut down and 51% of working hours get shorter due to the COVID-19 crisis in the KRG. Our result shows no association between losing salary and working status, while there is an association between gender and business shutdown. Beyond this, the study seeks to highlight new and essential information about position reduction related to age class, difficulty to find a job related to the level of education, and working hours related to gender. Supplementary Information The online version contains supplementary material available at 10.1007/s13132-023-01130-1.