Low-income women at worst risk from recession job cuts

Published: Sunday | March 8, 2009



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Women in low-income jobs, such as casual labour, could be hit hardest from the recession.

Sonia Mitchell, Gleaner Writer

Though Jamaican men have borne the brunt of job cuts, further fallout could have disastrous consequences on women from low socio-economic strata, local labour and business officials have said.

The Ministry of Labour and Social Security revealed on Friday that at least 3,000 women in Jamaica have lost their jobs since January as shock waves from a global financial implosion continue to rattle the local economy.

Since last October, companies have haemorrhaged at least 13,000 jobs in the island, ranging from the foreign-exchange cash cow, the bauxite sector, to the airline and financial-services industries. Small- and medium-size firms are also trimming employee fat, much of which is not captured in government statistics.

Alvin McIntosh, permanent secretary at the labour ministry, said revenue declines linked to the plunging demand for goods and services would hit women hardest, especially low-income earners like house assistants, waitresses and casual labourers.

McIntosh said: "The implication is even greater for women as a result, especially those who have single households, and are the breadwinners for the family.

"As they lose their jobs, they will affect the stability and welfare of the family, and could put them at a greater disadvantage.

"In the academic area, you find a number of women who are more qualified than men, but in the skill areas such as masonry, carpentry, automotives, culinary arts, you find that in these traditional occupations that are dominated by men, women are making headway too," he said.

Message of doom

The message of doom was compounded mid-week by statistics issued by the International Labour Organisation (ILO) predicting a rise in global unemployment this year of up to 51 million people. According to the ILO's Global Employment Trends for Women report released last Thursday, 22 million of the jobless victims will be women. The report, timed to heighten awareness of International Women's Day - which is being celebrated today - also said gender equity gains could be jeopardised.

However, McIntosh touted the Government's bid to help retrain individuals, particularly women. Among the labour ministry's programmes is the Special Youth Training and Employment project, which targets 18- to 30-year-olds, as well as other collaborations with HEART, the national training agency.

The bureaucrat also said a Steps to Work programme, a new dimension to the Programme for Advancement Through Health and Education, sought to remove Jamaicans caught in the welfare net and redirect them, through training, into productive activity.

McIntosh said the Government had allocated $1 billion, under the National Insurance Scheme, to provide soft loans to keep afloat struggling small and micro enterprises. The loans would be made available through various financial institutions at 10 per cent interest.

Edward ChinMook, president of the Small Business Association of Jamaica (SBAJ), told The Gleaner Friday that though women were often better-performing workers and were more focused on their jobs, they were at a disadvantage, particularly in less-sophisticated industries.

He said that because many women were the family breadwinners, particularly in single-parent homes, their risk for joblessness was amplified. The domino effect on key social structures, he said, could be grave.

However, ChinMook said a rethink of entrepreneurial models might provide a salve to Jamaica's business wounds.

"All is not lost for these women, if they come together as a group to form partnerships," he said.

The SBAJ head said only 4.7-five per cent of businesses in Jamaica were partnership-based, suggesting that many sole-trader operations ran aground because of inadequate capital cushion.

"(In partnerships) they can utilise their skills and education to their full potential and do business that does not require a lot of imports, but look to the local industries," he added.

Efforts to get comments from Wayne Chen, president of the Jamaica Employers' Federation, proved unsuccessful.

sonia.mitchell@gleanerjm.com