Gender disparities in COVID-19 job losses across European post-transition economies

Abstract

COVID-19 has brought severe adverse effects on the economy and labour markets across the globe. Due to the nature of the crisis, firms in service sectors with frequent interactions among consumers or between consumers and providers have been particularly affected. Since these sectors predominately rely on female workers, higher propensities for female workers to be either laid-off or furloughed were expected. Hence, we explore gender differences in lay-offs and furloughs in European posttransition economies during the COVID-19 pandemic. Results confirm adverse labour market effects for female workers. More precisely, firms in post-transition countries are disproportionally more likely to dismiss female workers if they have recorded sales decrease and if the firm is larger and older. Surprisingly, firms in the manufacturing sector are more prone to shedding female workers or including them in furlough schemes, probably related do competitiveness and supply chain disruptions issues. Regarding restrictive COVID measures, we have established that closing restaurants and bars, gyms and sports centres, as well as the closure of entertainment venues, are creating adverse conditions for female workers