The Effects of the COVID-19 Pandemic on Iranian Female Unemployment in Relative to Male

Document Type : Research Paper

Authors

Faculty of Economics, Allameh Tabataba'i University, Tehran, Iran

Abstract

COVID-19 was emerged in late 2019 in Wuhan, China, and the new coronavirus quickly spread across the globe. The COVID-19 epidemic wreaked havoc on the economy and put people’s lives and health at risk. The effect of COVID-19 in labor market was characterized by growing unemployment rate in many economies, which deteriorated the employment prospects of millions of people, especially women. The aim of this study is to examine the impact of COVID-19 on female unemployment relative to male unemployment in Iranian economy using Vector Autoregressive (VAR) model. Despite the fact that both male and female workers have been affected by the COVID-19 pandemic, our findings indicate that women have been more severely affected by COVID-19. In other words, women lost their jobs more quickly and for longer durations than men. Our findings show that because of COVID-19 outbreak in Iran, female workers were more likely to be hurt and harmed than males. The impact of this shock on labor market can be mitigated by policies such as banking system credits, unemployment insurance, tax exemptions for unemployed women, and use of technology to promote remote working for female workers.

Keywords