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‘I Can’t Stop’: In Vast Informal Economy, Pandemic Adds to Pressure ‘I Can’t Stop’: In Vast Informal Economy, Pandemic Adds to Pressure
(6 days later)
MEXICO CITY — His clientele had all but disappeared since the Mexican government told people to stay home. And he knew he was running the risk of contracting the coronavirus himself.MEXICO CITY — His clientele had all but disappeared since the Mexican government told people to stay home. And he knew he was running the risk of contracting the coronavirus himself.
Yet Leonardo Meneses Prado was still tending his hamburger cart at his usual sidewalk spot in Mexico City.Yet Leonardo Meneses Prado was still tending his hamburger cart at his usual sidewalk spot in Mexico City.
“I can’t stop,” he said late last week, an edge of desperation in his voice. “If I don’t sell, I don’t eat. It’s as simple as that.”“I can’t stop,” he said late last week, an edge of desperation in his voice. “If I don’t sell, I don’t eat. It’s as simple as that.”
Latin America’s economies were fragile even before the advent of the coronavirus. But now the outlook is far worse as government efforts to confront the pandemic paralyze economic activity.Latin America’s economies were fragile even before the advent of the coronavirus. But now the outlook is far worse as government efforts to confront the pandemic paralyze economic activity.
And no sector of Latin American society may be as vulnerable as the workers who toil in the region’s vast informal economy, mostly beyond government oversight, without labor protections or formal contracts.And no sector of Latin American society may be as vulnerable as the workers who toil in the region’s vast informal economy, mostly beyond government oversight, without labor protections or formal contracts.
These workers, a majority in the region, range from street vendors in Asunción, Paraguay, to delivery men crisscrossing Lima, Peru, to trash recyclers in Tegucigalpa, Honduras. They live hand-to-mouth, with meager or no savings and a limited social safety net.These workers, a majority in the region, range from street vendors in Asunción, Paraguay, to delivery men crisscrossing Lima, Peru, to trash recyclers in Tegucigalpa, Honduras. They live hand-to-mouth, with meager or no savings and a limited social safety net.
As the pandemic has spread, many of these workers are also at a greater risk of contracting the virus, working jobs that put them in contact with strangers and then retiring at day’s end to overcrowded homes.As the pandemic has spread, many of these workers are also at a greater risk of contracting the virus, working jobs that put them in contact with strangers and then retiring at day’s end to overcrowded homes.
At the same time, the precarious state of public health care in many countries in the region has left them even more vulnerable to the worst ravages of the pandemic.At the same time, the precarious state of public health care in many countries in the region has left them even more vulnerable to the worst ravages of the pandemic.
“They are going to be very badly hurt,” said Santiago Levy, a Mexican economist and senior fellow at the Brookings Institution in Washington.“They are going to be very badly hurt,” said Santiago Levy, a Mexican economist and senior fellow at the Brookings Institution in Washington.
The impact could be particularly brutal and far-reaching in Mexico, where informal workers generate nearly a quarter of the economic output, according to the Mexican government.The impact could be particularly brutal and far-reaching in Mexico, where informal workers generate nearly a quarter of the economic output, according to the Mexican government.
And compared with some other nations in the region, the Mexican government has taken a far more restrained approach to the pandemic. The tone has been set by President Andrés Manuel López Obrador, whose attitude, at times, has been lackadaisical and even dismissive.And compared with some other nations in the region, the Mexican government has taken a far more restrained approach to the pandemic. The tone has been set by President Andrés Manuel López Obrador, whose attitude, at times, has been lackadaisical and even dismissive.
Mr. López Obrador, who won office in 2018 as a populist defender of the downtrodden, said he was waiting to impose stricter public health measures in order not to disrupt the economy prematurely. His greatest concern, he said, has been the country’s poor, his political base.Mr. López Obrador, who won office in 2018 as a populist defender of the downtrodden, said he was waiting to impose stricter public health measures in order not to disrupt the economy prematurely. His greatest concern, he said, has been the country’s poor, his political base.
Some critics say that by delaying the inevitable, Mr. López Obrador may have given the virus a greater opportunity to infect a larger percentage of Mexico’s impoverished population.Some critics say that by delaying the inevitable, Mr. López Obrador may have given the virus a greater opportunity to infect a larger percentage of Mexico’s impoverished population.
“It’s one thing to continue to have tons of people living day by day, and another to have thousands dying of this every day,” said Jesús Silva Herzog, a professor of government at the Tecnológico de Monterrey, a university in Mexico.“It’s one thing to continue to have tons of people living day by day, and another to have thousands dying of this every day,” said Jesús Silva Herzog, a professor of government at the Tecnológico de Monterrey, a university in Mexico.
On Tuesday, Mexican officials, citing a shift in the outbreak, announced a stricter set of protocols, canceling events drawing more than 100 people and calling for the suspension of employment requiring workers to commute to an office.On Tuesday, Mexican officials, citing a shift in the outbreak, announced a stricter set of protocols, canceling events drawing more than 100 people and calling for the suspension of employment requiring workers to commute to an office.
Over the weekend, the López Obrador administration began urging Mexicans to stay home. And late Monday, officials tightened restrictions even further, ordering the shutdown of all non-essential activities. But many Mexicans cannot work from home, or forgo work for weeks.Over the weekend, the López Obrador administration began urging Mexicans to stay home. And late Monday, officials tightened restrictions even further, ordering the shutdown of all non-essential activities. But many Mexicans cannot work from home, or forgo work for weeks.
Mr. Meneses, 43, who has sold hamburgers and hot dogs from his cart for 19 years, said he was less worried about contracting the virus than he was about the financial effects of the pandemic.Mr. Meneses, 43, who has sold hamburgers and hot dogs from his cart for 19 years, said he was less worried about contracting the virus than he was about the financial effects of the pandemic.
His business has already cratered. His sales are down about 50 percent from two weeks ago and still falling.His business has already cratered. His sales are down about 50 percent from two weeks ago and still falling.
If the authorities force street vendors to shut down, Mr. Meneses said, he does not know what he will do to support his wife and three daughters. Maybe start pawning possessions, he said.If the authorities force street vendors to shut down, Mr. Meneses said, he does not know what he will do to support his wife and three daughters. Maybe start pawning possessions, he said.
The family has no health insurance.The family has no health insurance.
“For us, it’s a luxury to get sick,” he said.“For us, it’s a luxury to get sick,” he said.
In some countries in the region, when governments have tried to impose restrictions to fight the virus, poor workers have rebelled — and been met with force. In Peru, more than 21,000 people, including street vendors and other laborers in the informal economy, have been detained for not complying with the government’s orders to stay at home.In some countries in the region, when governments have tried to impose restrictions to fight the virus, poor workers have rebelled — and been met with force. In Peru, more than 21,000 people, including street vendors and other laborers in the informal economy, have been detained for not complying with the government’s orders to stay at home.
Governments in Latin America have promised to help the poor, in some places announcing cash assistance programs.Governments in Latin America have promised to help the poor, in some places announcing cash assistance programs.
In Colombia, President Iván Duque recently announced, among other aid measures, payouts of about $40 for informal workers who were not already receiving social assistance. But as the country began its quarantine this week, there was widespread concern that the disbursements would not be enough to maintain social order.In Colombia, President Iván Duque recently announced, among other aid measures, payouts of about $40 for informal workers who were not already receiving social assistance. But as the country began its quarantine this week, there was widespread concern that the disbursements would not be enough to maintain social order.
Particularly vulnerable are the 1.5 million Venezuelans who have immigrated to Colombia, escaping their country’s economic collapse. Many of them use each day’s earnings to pay that night’s stay in a motel. With the nation shutting down, many are already finding themselves on the street.Particularly vulnerable are the 1.5 million Venezuelans who have immigrated to Colombia, escaping their country’s economic collapse. Many of them use each day’s earnings to pay that night’s stay in a motel. With the nation shutting down, many are already finding themselves on the street.
Updated June 16, 2020 Updated June 22, 2020
A commentary published this month on the website of the British Journal of Sports Medicine points out that covering your face during exercise “comes with issues of potential breathing restriction and discomfort” and requires “balancing benefits versus possible adverse events.” Masks do alter exercise, says Cedric X. Bryant, the president and chief science officer of the American Council on Exercise, a nonprofit organization that funds exercise research and certifies fitness professionals. “In my personal experience,” he says, “heart rates are higher at the same relative intensity when you wear a mask.” Some people also could experience lightheadedness during familiar workouts while masked, says Len Kravitz, a professor of exercise science at the University of New Mexico.
The steroid, dexamethasone, is the first treatment shown to reduce mortality in severely ill patients, according to scientists in Britain. The drug appears to reduce inflammation caused by the immune system, protecting the tissues. In the study, dexamethasone reduced deaths of patients on ventilators by one-third, and deaths of patients on oxygen by one-fifth.The steroid, dexamethasone, is the first treatment shown to reduce mortality in severely ill patients, according to scientists in Britain. The drug appears to reduce inflammation caused by the immune system, protecting the tissues. In the study, dexamethasone reduced deaths of patients on ventilators by one-third, and deaths of patients on oxygen by one-fifth.
The coronavirus emergency relief package gives many American workers paid leave if they need to take time off because of the virus. It gives qualified workers two weeks of paid sick leave if they are ill, quarantined or seeking diagnosis or preventive care for coronavirus, or if they are caring for sick family members. It gives 12 weeks of paid leave to people caring for children whose schools are closed or whose child care provider is unavailable because of the coronavirus. It is the first time the United States has had widespread federally mandated paid leave, and includes people who don’t typically get such benefits, like part-time and gig economy workers. But the measure excludes at least half of private-sector workers, including those at the country’s largest employers, and gives small employers significant leeway to deny leave.The coronavirus emergency relief package gives many American workers paid leave if they need to take time off because of the virus. It gives qualified workers two weeks of paid sick leave if they are ill, quarantined or seeking diagnosis or preventive care for coronavirus, or if they are caring for sick family members. It gives 12 weeks of paid leave to people caring for children whose schools are closed or whose child care provider is unavailable because of the coronavirus. It is the first time the United States has had widespread federally mandated paid leave, and includes people who don’t typically get such benefits, like part-time and gig economy workers. But the measure excludes at least half of private-sector workers, including those at the country’s largest employers, and gives small employers significant leeway to deny leave.
So far, the evidence seems to show it does. A widely cited paper published in April suggests that people are most infectious about two days before the onset of coronavirus symptoms and estimated that 44 percent of new infections were a result of transmission from people who were not yet showing symptoms. Recently, a top expert at the World Health Organization stated that transmission of the coronavirus by people who did not have symptoms was “very rare,” but she later walked back that statement.So far, the evidence seems to show it does. A widely cited paper published in April suggests that people are most infectious about two days before the onset of coronavirus symptoms and estimated that 44 percent of new infections were a result of transmission from people who were not yet showing symptoms. Recently, a top expert at the World Health Organization stated that transmission of the coronavirus by people who did not have symptoms was “very rare,” but she later walked back that statement.
Touching contaminated objects and then infecting ourselves with the germs is not typically how the virus spreads. But it can happen. A number of studies of flu, rhinovirus, coronavirus and other microbes have shown that respiratory illnesses, including the new coronavirus, can spread by touching contaminated surfaces, particularly in places like day care centers, offices and hospitals. But a long chain of events has to happen for the disease to spread that way. The best way to protect yourself from coronavirus — whether it’s surface transmission or close human contact — is still social distancing, washing your hands, not touching your face and wearing masks.Touching contaminated objects and then infecting ourselves with the germs is not typically how the virus spreads. But it can happen. A number of studies of flu, rhinovirus, coronavirus and other microbes have shown that respiratory illnesses, including the new coronavirus, can spread by touching contaminated surfaces, particularly in places like day care centers, offices and hospitals. But a long chain of events has to happen for the disease to spread that way. The best way to protect yourself from coronavirus — whether it’s surface transmission or close human contact — is still social distancing, washing your hands, not touching your face and wearing masks.
A study by European scientists is the first to document a strong statistical link between genetic variations and Covid-19, the illness caused by the coronavirus. Having Type A blood was linked to a 50 percent increase in the likelihood that a patient would need to get oxygen or to go on a ventilator, according to the new study.A study by European scientists is the first to document a strong statistical link between genetic variations and Covid-19, the illness caused by the coronavirus. Having Type A blood was linked to a 50 percent increase in the likelihood that a patient would need to get oxygen or to go on a ventilator, according to the new study.
The unemployment rate fell to 13.3 percent in May, the Labor Department said on June 5, an unexpected improvement in the nation’s job market as hiring rebounded faster than economists expected. Economists had forecast the unemployment rate to increase to as much as 20 percent, after it hit 14.7 percent in April, which was the highest since the government began keeping official statistics after World War II. But the unemployment rate dipped instead, with employers adding 2.5 million jobs, after more than 20 million jobs were lost in April.The unemployment rate fell to 13.3 percent in May, the Labor Department said on June 5, an unexpected improvement in the nation’s job market as hiring rebounded faster than economists expected. Economists had forecast the unemployment rate to increase to as much as 20 percent, after it hit 14.7 percent in April, which was the highest since the government began keeping official statistics after World War II. But the unemployment rate dipped instead, with employers adding 2.5 million jobs, after more than 20 million jobs were lost in April.
Mass protests against police brutality that have brought thousands of people onto the streets in cities across America are raising the specter of new coronavirus outbreaks, prompting political leaders, physicians and public health experts to warn that the crowds could cause a surge in cases. While many political leaders affirmed the right of protesters to express themselves, they urged the demonstrators to wear face masks and maintain social distancing, both to protect themselves and to prevent further community spread of the virus. Some infectious disease experts were reassured by the fact that the protests were held outdoors, saying the open air settings could mitigate the risk of transmission.
States are reopening bit by bit. This means that more public spaces are available for use and more and more businesses are being allowed to open again. The federal government is largely leaving the decision up to states, and some state leaders are leaving the decision up to local authorities. Even if you aren’t being told to stay at home, it’s still a good idea to limit trips outside and your interaction with other people.States are reopening bit by bit. This means that more public spaces are available for use and more and more businesses are being allowed to open again. The federal government is largely leaving the decision up to states, and some state leaders are leaving the decision up to local authorities. Even if you aren’t being told to stay at home, it’s still a good idea to limit trips outside and your interaction with other people.
Common symptoms include fever, a dry cough, fatigue and difficulty breathing or shortness of breath. Some of these symptoms overlap with those of the flu, making detection difficult, but runny noses and stuffy sinuses are less common. The C.D.C. has also added chills, muscle pain, sore throat, headache and a new loss of the sense of taste or smell as symptoms to look out for. Most people fall ill five to seven days after exposure, but symptoms may appear in as few as two days or as many as 14 days.Common symptoms include fever, a dry cough, fatigue and difficulty breathing or shortness of breath. Some of these symptoms overlap with those of the flu, making detection difficult, but runny noses and stuffy sinuses are less common. The C.D.C. has also added chills, muscle pain, sore throat, headache and a new loss of the sense of taste or smell as symptoms to look out for. Most people fall ill five to seven days after exposure, but symptoms may appear in as few as two days or as many as 14 days.
If air travel is unavoidable, there are some steps you can take to protect yourself. Most important: Wash your hands often, and stop touching your face. If possible, choose a window seat. A study from Emory University found that during flu season, the safest place to sit on a plane is by a window, as people sitting in window seats had less contact with potentially sick people. Disinfect hard surfaces. When you get to your seat and your hands are clean, use disinfecting wipes to clean the hard surfaces at your seat like the head and arm rest, the seatbelt buckle, the remote, screen, seat back pocket and the tray table. If the seat is hard and nonporous or leather or pleather, you can wipe that down, too. (Using wipes on upholstered seats could lead to a wet seat and spreading of germs rather than killing them.)If air travel is unavoidable, there are some steps you can take to protect yourself. Most important: Wash your hands often, and stop touching your face. If possible, choose a window seat. A study from Emory University found that during flu season, the safest place to sit on a plane is by a window, as people sitting in window seats had less contact with potentially sick people. Disinfect hard surfaces. When you get to your seat and your hands are clean, use disinfecting wipes to clean the hard surfaces at your seat like the head and arm rest, the seatbelt buckle, the remote, screen, seat back pocket and the tray table. If the seat is hard and nonporous or leather or pleather, you can wipe that down, too. (Using wipes on upholstered seats could lead to a wet seat and spreading of germs rather than killing them.)
Taking one’s temperature to look for signs of fever is not as easy as it sounds, as “normal” temperature numbers can vary, but generally, keep an eye out for a temperature of 100.5 degrees Fahrenheit or higher. If you don’t have a thermometer (they can be pricey these days), there are other ways to figure out if you have a fever, or are at risk of Covid-19 complications.
The C.D.C. has recommended that all Americans wear cloth masks if they go out in public. This is a shift in federal guidance reflecting new concerns that the coronavirus is being spread by infected people who have no symptoms. Until now, the C.D.C., like the W.H.O., has advised that ordinary people don’t need to wear masks unless they are sick and coughing. Part of the reason was to preserve medical-grade masks for health care workers who desperately need them at a time when they are in continuously short supply. Masks don’t replace hand washing and social distancing.
If you’ve been exposed to the coronavirus or think you have, and have a fever or symptoms like a cough or difficulty breathing, call a doctor. They should give you advice on whether you should be tested, how to get tested, and how to seek medical treatment without potentially infecting or exposing others.If you’ve been exposed to the coronavirus or think you have, and have a fever or symptoms like a cough or difficulty breathing, call a doctor. They should give you advice on whether you should be tested, how to get tested, and how to seek medical treatment without potentially infecting or exposing others.
If you’re sick and you think you’ve been exposed to the new coronavirus, the C.D.C. recommends that you call your healthcare provider and explain your symptoms and fears. They will decide if you need to be tested. Keep in mind that there’s a chance — because of a lack of testing kits or because you’re asymptomatic, for instance — you won’t be able to get tested.If you’re sick and you think you’ve been exposed to the new coronavirus, the C.D.C. recommends that you call your healthcare provider and explain your symptoms and fears. They will decide if you need to be tested. Keep in mind that there’s a chance — because of a lack of testing kits or because you’re asymptomatic, for instance — you won’t be able to get tested.
On Tuesday, a large crowd of protesters packed Bogotá’s Plaza de Bolívar to voice their anger. “We’re hungry!” they shouted.On Tuesday, a large crowd of protesters packed Bogotá’s Plaza de Bolívar to voice their anger. “We’re hungry!” they shouted.
In neighboring Venezuela, the government has imposed a nationwide lockdown, and said it would transfer the equivalent of up to $50 to six million informal and private-sector workers to compensate them for lost income. For most, the amount will barely cover a fraction of their losses.In neighboring Venezuela, the government has imposed a nationwide lockdown, and said it would transfer the equivalent of up to $50 to six million informal and private-sector workers to compensate them for lost income. For most, the amount will barely cover a fraction of their losses.
Meanwhile, the López Obrador administration has been designing an economic recovery plan that would directly benefit Mexico’s poor.Meanwhile, the López Obrador administration has been designing an economic recovery plan that would directly benefit Mexico’s poor.
On Wednesday, the president said the plan would include a million loans, each worth about $1,000, to small businesses in both the formal economy and informal economy. Eligible recipients, he said, would be “humble, hard-working people.”On Wednesday, the president said the plan would include a million loans, each worth about $1,000, to small businesses in both the formal economy and informal economy. Eligible recipients, he said, would be “humble, hard-working people.”
Mr. Levy of the Brookings Institution said that even if governments go through with these cash handouts and other compensatory programs, many workers in the region’s informal labor sector will be invisible to government agencies because they don’t appear on social security or tax registries.Mr. Levy of the Brookings Institution said that even if governments go through with these cash handouts and other compensatory programs, many workers in the region’s informal labor sector will be invisible to government agencies because they don’t appear on social security or tax registries.
José Luis Miguel Monroy, 30, a coconut water vendor in Mexico City, said he became the only breadwinner in his family after his two brothers were laid off in pandemic-related staff cuts.José Luis Miguel Monroy, 30, a coconut water vendor in Mexico City, said he became the only breadwinner in his family after his two brothers were laid off in pandemic-related staff cuts.
He has heard about social distancing, but in his job he has little opportunity to practice it. Most of his customers pay it no mind, he said. At night it is even more difficult. He shares a rented room in Mexico City with five other street vendors.He has heard about social distancing, but in his job he has little opportunity to practice it. Most of his customers pay it no mind, he said. At night it is even more difficult. He shares a rented room in Mexico City with five other street vendors.
“I’m a little more vulnerable,” he acknowledged. “If we get infected, we don’t have a lot of resources to treat ourselves.”“I’m a little more vulnerable,” he acknowledged. “If we get infected, we don’t have a lot of resources to treat ourselves.”
As bleak as the landscape looks for informal workers, Luis de la Calle, a Mexican economic analyst, argued that living outside corporate structures may have its advantages. Some who have built their careers on the street are able to adapt quickly, a skill that will be useful as the pandemic reorders even the most stable economies. During the influenza pandemic of 2009, which followed the global financial crisis, Mexico’s informal work force grew as people sought new ways to eke out a living.As bleak as the landscape looks for informal workers, Luis de la Calle, a Mexican economic analyst, argued that living outside corporate structures may have its advantages. Some who have built their careers on the street are able to adapt quickly, a skill that will be useful as the pandemic reorders even the most stable economies. During the influenza pandemic of 2009, which followed the global financial crisis, Mexico’s informal work force grew as people sought new ways to eke out a living.
“That becomes part of the solution,” Mr. de la Calle said. “The more flexible you are, the better.”“That becomes part of the solution,” Mr. de la Calle said. “The more flexible you are, the better.”
But Mr. Meneses, the hamburger vendor, is not as sanguine. All he can see is disaster ahead.But Mr. Meneses, the hamburger vendor, is not as sanguine. All he can see is disaster ahead.
“If it comes and hits us hard, it’s going to be a massacre,” he said. “I hope this is just a dream and it passes fast, a nightmare that we wake up from.”“If it comes and hits us hard, it’s going to be a massacre,” he said. “I hope this is just a dream and it passes fast, a nightmare that we wake up from.”
Kirk Semple reported from Mexico City and Natalie Kitroeff from New York. Paulina Villegas and Elda Cantú contributed reporting from Mexico City, Julie Turkewitz from Bogotá and Anatoly Kurmanaev from Caracas.Kirk Semple reported from Mexico City and Natalie Kitroeff from New York. Paulina Villegas and Elda Cantú contributed reporting from Mexico City, Julie Turkewitz from Bogotá and Anatoly Kurmanaev from Caracas.