BusinessLive reports that according to TransUnion, considered SA’s largest credit bureau, many people are losing their jobs or experiencing a reduction in work hours as a result of the Covid-19 pandemic and the resulting lockdown.  

The company’s latest research into the economic effects of the pandemic, released on Thursday, reveals that the number of people losing their jobs increased from one in 10 in April to one in six in early May.  In addition, nearly four out of 10 (37%) of those negatively affected said they have seen their work hours reduced because of the pandemic — up from the 32% reported in the first week of April.  “The pandemic is creating major economic and financial distress for consumers, with many jobs in the SA economy already being impacted or at risk due to drastic demand shifts,” said Lee Naik, CEO of TransUnion Africa.  The data suggests consumers are going to battle to meet their financial obligations, with the expected shortfall in the near future rising from R500 in April to R7,500 in May.  Nearly two thirds (64%) of consumers reported that household budget changes during the pandemic have involved cutting back on discretionary spending, which has extended to items such as subscriptions, memberships and digital services.

• Read the full original of the report in the above regard by Warren Thompson at BusinessLive

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