COVID-19 PANDEMIC: THE JOBS IMPACT by Evelina Roseman Ph.D., MBA, Chief Economist
Leaders Magazine Issue 1 April 2020
The current crisis is not of economic nature, but: (1) it will take much longer to restart the global economy than it took to shut it down; and (2) it has exacerbated issues that have been accumulating for a while, like “the delicate state” of the world economy and the “new mediocre” of the global slowdown on the one hand, and the driving force of technology innovation making globalization stronger, on the other.
Same is true for human capital. Top of the pyramid, the talent behind the digital evolution, will thrive on this. The bottom of the pyramid will experience a crash, as small and micro businesses have to come to a grinding halt, but the demand for simple services delivered human to human will pick up and resume, the first chance they get. And the middle class jobs and businesses will get squeezed even harder, forced to make choices between downshifting and competing with the digital natives.
Either way, globalization will get stronger coming out of this crisis, and humans should use this time to bridge the skills gap and invest strategically into their future.