If you are a worker who is concerned about making ends meet in the era of the coronavirus pandemic, you are not alone. Nearly 7 million Californians do not have enough money on hand to pay for basic necessities. So, when income is cut off, it puts people in dire straits. 

The Coronavirus Pandemic Cripples the Economy

In just a matter or weeks, once thriving businesses have had to shutter, and entire sectors have closed down. Workers of all stripes are wondering how they will be able to afford food and other necessities, and where the money for their next rent payment will be coming from. And indicators like colossal drops in the stock market, federal reserve municipal bond purchases, and a drop in Treasury yields tell us the financial decline is going to stick around for a while.  Estimates are that jobless claims will skyrocket to 2 million in the coming days and weeks, putting many across the nation in difficult situations.

Who is Primarily at Risk?

Hourly employees generally are at greatest risk of layoffs and losing their jobs, particularly those in the service industry. We have seen employees in hotels and restaurants hit hard by the coronavirus pandemic. Those in manufacturing and retail are finding themselves in the same boat. Often, these workers do not have paid leave or other benefits to help.

Government Pandemic Plan 

The federal government has passed a coronavirus pandemic prompted plan to send Americans cash in the coming weeks. The stimulus package included payments of up to $1,200 to US taxpayers but not everyone will get the entire amount and others, not at all. Federally funded emergency leave has been passed and here in California, the governor also extended the eligibility period for Medi-Cal, welfare, and food stamps by three months.  

For families who have mortgages that are federally backed, evictions and foreclosures have been suspended until May. Governor Newsom also issued an executive order to allow local governments to ban commercial and residential evictions. 

Voluntary Assistance

California’s largest power utilities have voluntarily agreed to protect customers from phone, water, and power shutoffs. Comcast is giving new customers 60 days of free Internet.

Unemployment 

For workers who have had hours cut, unemployment benefits may be available.  Those who have contracted the coronavirus may qualify for disability benefits.

Food

The federal coronavirus pandemic relief is designed to assist mothers and pregnant women, as well as seniors, with funds for groceries and/or home delivered meals. Previously planned cuts to food stamp programs have been halted by a federal judge, allowing able-bodied but unemployed individuals to continue to collect benefits.  In the works during the coronavirus pandemic are plans for bolstered food banks, as well. [Read more…]