Even though outbreaks of COVID-19 in the Global South have been mild relative to those in Europe and the United States, the repercussions of the tactics used in coping with the pandemic in the developed world will have severe consequences in poorer countries, as this article by Daniel Moss at Bloomberg points out:
The Covid-19 pandemic is exposing deep flaws in the economic model that both encourages and exploits migrant labor. Too many rich countries are dependent on low-cost workers, and too many poor communities are over-reliant on the money sent home for food, shelter and education.
Remittances to low and middle income countries will drop by a fifth this year to $445 billion, according to a recent World Bank report. That’s the worst slide in decades and a sharp turnaround from last year’s increase to a record $554 billion, which exceeded foreign direct investment in these destinations. The lender forecasts a slide of 22% in South Asia, where funds are largely bound for India and Pakistan. The Philippines, which gets 10% of its gross domestic product from such payments, could see a decline of 13%.
The situation for the migrant workers themselves is pretty awful:
The pandemic is producing a triple-whammy for migrants: They can’t work, they can’t go home (with airlines grounded) and they stand a greater risk of infection by staying put in their densely packed urban quarters. The bulk of Singapore’s recent surge in cases comes from dormitories built for 200,000-plus foreign laborers. In the Middle East, long a source of remittances for many parts of Asia, living conditions have been criticized as substandard.
A 10% decline in GDP YoY is serious and a 20% decline is desperate in countries where people struggle simply to survive.
The situation with migrant workers in the U. S. is complicated, like everything else here. Millions of legal agricultural workers, deemed “essential”, continue to work, generally without social distancing or any forms of protective gear, frequently living together in close quarters. When H-1B workers are laid off, if they are not hired by another eligible company within 60 days, they lose their legal status.
The millions of migrant workers here illegally are now largely without work or pay and ineligible for social services. I expect many of them to return to their countries of origin, in some cases taking SARS-CoV-2 with them.






