COVID-19: sharing the risk
published 9.20.21
As a follow-up to our “Reckoning with Inequality” piece, we chose to focus on those at the front line who are allowing us to meet essential needs: grocery store workers in the US.
Often making minimum wage, grocery store workers have no sick leave and face wildly fluctuating schedules that affect their income levels. They are now more exposed than most of us to the virus, (as are domestic staff who have to choose between being locked in with employers or losing their wages, and farmworkers who lack access to PPE and are in close proximity with one another).
Over sixteen million people filed for unemployment benefits over the past three weeks. This record-breaking number is expected to increase in the near future. At the same time, grocers are hiring thousands of people around the country. From a simplified job market perspective, grocery stores have a demand for workers and there appears to be a lack of supply. Why are grocers struggling to meet staffing needs? One reason is arguably the lack of security and protection these positions offer. Some companies are beginning to react and provide incentives for employees and applicants: CVS, Kroger, Target, and Walmart have offered bonuses and wage hikes, among other benefits. But do the benefits outweigh the risks?
Bonuses and pay raises are a good place to start. Under many of the current contracts, grocery store workers have no paid sick leave. If they are ill, they don’t get a paycheck. There is a newfound sense of urgency to address this given the challenges with social distancing for grocery store workers, and the ease with which the virus spreads. Under the current model, there are no incentives for a worker living paycheck to paycheck to stay home. This puts them (and all of us) at risk.
Some companies are beginning to provide paid sick leave. But it’s crucial the leave kicks in even before a person tests positive. By that point, they have most likely spread the virus extensively. Considering the very limited access to testing in most areas of the US, making test results a requirement for access to paid leave is not an effective preventive strategy.
The fact that workers currently carry an outsized amount of risk of exposure and illness has been widely recognized. We have seen a rise of messaging that refers to these workers as “heroes” - the Kroger pay bump is called the “hero bonus”. Memes have sprung up referring to them as those that have allowed us to keep going. While this messaging is an important (and overdue) recognition, our actions as a business community must also align. To truly honor these heroes, all risks related to COVID-19, be they health, financial, or others, need to be distributed amongst all of us.
Some leaders are taking steps in that direction. Columbia’s CEO recently took a paycheck cut to be able to continue to pay their 3,500 workers in retail stores while they remained closed. The bonuses offered by Target amount to over $300 million. This makes sense at a business level. Once the stay at home orders are lifted, and commerce begins to bounce back, businesses will need employees and suppliers to reopen their doors.
Now is the time to set the tone for how you want to be remembered and to build trust within your communities. How will you stand by your employees when they need you most?
If you’re interested in learning more about how your business can coordinate a just response to the pandemic, please contact us. We would love to help.
By Camila Gómez Wills
Consultant
