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About 43% of Portuguese people earning up to 1,000 euros had cut their income

In families earning up to 1,000 euros, 43% have experienced a drop in income since covid-19 placed the country in quarantine, a figure that exceeds the global average of 36.8% of these situations, according to a study by the Catholic University.

Held in the first week of April, with a sample of 1,700 people aged over 18, the study, presented today, seeks to understand the state of mind of the Portuguese in the face of the changes that the covid-19 pandemic imposed on their lives and the economy. And the results reveal an asymmetry of impacts at the level of regions, the public and private sectors, types of income and sectors of activity.

According to the study, 36.8% of respondents reported having recorded a drop in household income, either because they were put on ‘lay-off’, stayed in employment or remained in activity, but receiving less. These global averages have different realities behind them, since the drop in income reached more households that have up to 1,000 euros per month, almost 43% of which reported this situation.

Among those who receive between 1,001 and 2,500 euros a month this problem affected 32.6% and in relation to those who receive more than 2,501 euros a month, the drop in income was a reality for just over a fifth (23.4%) .

These results led Ricardo Reis, Professor at the Catholic University and who presented the study during a virtual conference, to point out the “huge discrepancy with what is happening in the population” and to classify this crisis as unequal because it is “affecting the most poor of the population ”.

Even though they are a minority, there are 0.6% of people who have experienced an increase in income since the country entered a state of emergency and many of the economic activities have been totally or partially canceled.

The study also shows that the impact of measures to combat the covid-19 outbreak was most felt among self-employed entrepreneurs and self-employed workers, where the drop in income reached 71.7%. In employees, this problem reached 41.4%.

The drop in earnings also affected the public and private sectors differently, a problem reported by 31.3% of public workers and 52% of private workers.

At the regional level, there are also differences with the North, with the largest share of respondents (39%) to whom the crisis caused by the covid-19 has already led to declines in income. Lisbon followed, with 35.9%, and the Center, with 34.7%.

These results reflect the fact that it is also in these regions that there are more cases of ‘lay-off’ or people who reported being out of activity and lower income. In general terms, 13.4% of respondents said they were in ‘lay-off’, and in regional terms, the North appears above this average, with 17.8% of respondents in this situation.

Regarding those who are out of work and had a drop in income, the global responses point to a universe of 14.4%, with the Center registering 17.7%, the North almost 13% and Lisbon 12.5%.

The survey also made it possible to conclude that 6% of respondents were at home without working but without having an impact on their income. For Filipe Santos, other speakers at the conference presentation of the study “Covid-19 and the Portuguese”, these people have almost an “obligation to share the income they managed to maintain” towards those who “saw their lives destroyed by this crisis ”, this being a way to prevent the economy from having an unnecessary level of destruction.

Among the professions with the highest levels of income loss are those related to accommodation and restaurants and retail trade, but also domestic activities, other service activities, transport or entertainment.

The measures of social isolation led to an increase in teleworking, but among respondents, most (35.5%) revealed that, in April, they continued to work in the usual place, that is, without changes compared to the pre-civic period. 19. Teleworking has become a reality for 23.2% of respondents, with the overwhelming majority (almost 85%) reporting that it is being a positive experience, in terms of equipment, environment and support from companies.

In parallel, more than half consider that the experience is going well or very well with regard to the reconciliation of professional and family life (this appreciation being common to those who have children and do not have them), although more than two thirds recognize who is working the same or less, compared to previous professional production.

The survey sought to understand whether people are fulfilling social isolation, what means they use most to inform themselves about the disease and whether they have been lacking products when they go shopping. The responses showed that 14% had not taken to the streets in the previous two weeks, but 9% went out more than once a day. The main reason for departures (62%) is the purchase of essential goods.

On the other hand, 75% have television as the main means of information about covid-19 and 77% have no difficulty in buying the goods they need, except when it comes to alcohol or disinfectant gel.

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