Writer: Eleana Teran
2 min read December 2022—With 2023 around the corner and the COVID-19 pandemic far in the rear-view mirror, a lasting remnant, known as post-COVID conditions (PCC) or long COVID, continues to have an impact on job performance among affected workers.
In a December study published by the Federal Reserve Bank of Minneapolis, researchers found that long COVID is associated with a higher likelihood of job loss and reduced hours worked. It is estimated that up to one-quarter of individuals who have long COVID report long-lasting symptoms that can affect their quality of life and employment.
Long COVID was identified early in the pandemic and is characterized by persisting or emerging symptoms for an extended period of time. According to a previous study on long COVID, data showed the most prevalent reported symptoms include fatigue, shortness of breath, muscle pain, joint pain, headache, cough, chest pain and altered smell and taste.
Data from the Household Pulse Survey showed more than 40% of adults in the United States reported having COVID-19 in the past, and nearly one in five still exhibit long-term symptoms.
The Minneapolis Fed study also found that individuals with long COVID are more likely to be in industries that have been disproportionately affected by the pandemic, such as leisure and hospitality. Additionally, it was discovered that individuals with long COVID are more likely to report reduced income and increased financial strain as they are less likely to work as much as they did before their illness.
While further research is underway to better understand the effects of long COVID, the potential impact on the workforce is concerning. Survey results published in The Lancet found that 45% of individuals who experienced long COVID had to work fewer hours, while another 22% were not working at all due to their illness, placing them at an increased risk of long-term disability. Besides straining healthcare systems, this illness has implications for how the government defines disability insurance eligibility and how much income support those who suffer from it may require. Furthermore, since it is altering the size and productivity of the workforce, it may also have a negative effect on overall economic growth.
A National Bureau of Economic Research working paper by Gopi Shah Goda and Evan Soltas calculates a substantial increase in absences due to workers’ illnesses during the pandemic. Per their research, employees who missed work for their possible COVID-related illness during the pandemic are 7% less likely to be in the labor force one year after their absence than workers who did not miss work for health reasons.
Additionally, the paper found that the COVID pandemic has likely had a notable impact on the U.S. labor force participation rate over the last two years. By June 2022, the participation rate had dropped by 0.18% due to COVID. Approximately 340,000 to 590,000 people are no longer working or looking for work due to the lingering effects of COVID or deteriorating health related to it.
As we head into the New Year, more studies will likely reveal just how long COVID will last and the impact on the workforce and economy.
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