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Jobs during lockdown
During the COVID-19 shutdown, there was job loss and mental health issues.
Objectives
Existing research on the effects of job loss on depression has struggled to overcome possible endogeneity bias induced by reverse causation. Because the source of unemployment is extremely likely to be exogenous to the person, the COVID-19 pandemic provides a unique natural experiment. This research looked at how job loss and work furlough affected people's mental health in South Africa during the COVID-19 epidemic.
Methods and data
The study's data comes from the first and second waves of the National Income Dynamics-Coronavirus Rapid Mobile Survey (NIDS-CRAM), which were performed in May-June and July-August 2020, respectively. The NIDS-CRAM sample was selected from a previous national survey on mental health that was performed in 2017. In Wave 2 of NIDS-CRAM, questions on depressed symptoms during the lockdown were asked using a two-question variant of the Patient Health Questionnaire (PHQ-2). The ordered logit regression model was best suited for analyzing the influence of job position on depression symptoms since the PHQ-2 answers (0–6 on a discrete scale) were regrouped into four groups.
Results
The research found that people who kept their paid jobs during the COVID-19 lockout had considerably lower depression levels than those who lost their jobs. The advantages of work compounded over time as well, emphasizing the impact of unemployment length on mental health. Furloughing (unpaid leave) provided no mental health advantages, whereas paid leave had a substantial and significant favorable influence on adults' mental health.
Conclusions
The economic consequences of the COVID-19 pandemic resulted in extraordinary employment losses, which greatly harmed mental health. As a result, health policy solutions to the crisis must include both physical and mental health treatments.
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