COVID-19 Pandemic Accelerated Class Inequalities and Poverty in India
Introduction
The COVID-19 pandemic severely impacted India’s socio-economic structure, exacerbating class inequalities and poverty. The disproportionate effect on vulnerable sections widened the rich-poor divide, affecting employment, education, healthcare, and access to resources.
How COVID-19 Widened Class Inequalities & Poverty?
1. Job Losses & Informal Sector Crisis
- Centre for Monitoring Indian Economy (CMIE) Report: Over 100 million jobs lost during the lockdown, majority in informal sectors.
- ILO Report (2021): 75% of informal workers (e.g., construction laborers, domestic workers) faced job loss or income reduction.
2. Reverse Migration & Wage Gaps
- 80+ lakh migrant workers returned home due to lack of jobs and social security (Economic Survey 2021).
- Wages of unorganized workers fell by 30-40%, increasing income disparities.
3. Digital Divide & Education Disparity
- 75% of rural students lacked digital access (ASER 2020), worsening the learning gap between rich and poor students.
- Private school students continued education online, while government school students faced dropouts, leading to future economic inequality.
4. Healthcare Inequality
- Richer classes accessed private hospitals and oxygen supplies, while lower classes suffered from inadequate public healthcare (e.g., shortage of ICU beds and oxygen cylinders).
- Catastrophic health expenditures pushed many middle-class families into poverty.
5. Gendered Impact on Poverty
- Women’s labor force participation dropped from 21% (2019) to 19% (2021) due to job losses (World Bank).
- Increased domestic violence and unpaid care burden worsened gender inequality.
6. Rise in Poverty
- World Bank (2021): 75 million Indians pushed into poverty, reversing years of progress.
- NITI Aayog’s MPI (2021): 25% of India’s population remains multi-dimensionally poor, with rising food insecurity.
Conclusion
The pandemic deepened existing class inequalities and widened the poverty gap. While the government introduced relief measures (PM Garib Kalyan Yojana, free ration schemes), the long-term effects on employment, education, and income disparities remain significant. Targeted economic recovery policies, digital inclusion, and social security expansion are crucial to bridge the inequality gap.
