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What worked well in social protection during the COVID-19 pandemic?

Author

Listed:
  • Boglárka Dely
  • Raphaela Hyee
  • Christopher Prinz

Abstract

This Working Paper looks at some of the shorter and longer-term impacts of the COVID-19 pandemic on labour markets across OECD countries. It examines how job retention schemes, unemployment benefits, sickness and disability-related benefits and their prompt expansion have succeeded in protecting people’s jobs and incomes; and how successful countries were in preventing structural increases in labour market inactivity, as indicated by the development of disability benefit receipt. The paper demonstrates and confirms the overall significant success in the labour market response to the COVID-19 pandemic across OECD countries. This contributes to explaining why the COVID-19 pandemic has disappeared from the labour market discussion much faster than initially expected, despite an unprecedented shock to labour markets and a sharp decline in working hours at the outset of the crisis. Preventing sustained long-term unemployment and long-term sickness absence has secured jobs and incomes and prevented inactivity .

Suggested Citation

  • Boglárka Dely & Raphaela Hyee & Christopher Prinz, 2025. "What worked well in social protection during the COVID-19 pandemic?," OECD Social, Employment and Migration Working Papers 325, OECD Publishing.
  • Handle: RePEc:oec:elsaab:325-en
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    More about this item

    JEL classification:

    • H53 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Welfare Programs
    • H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • J08 - Labor and Demographic Economics - - General - - - Labor Economics Policies
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure
    • J28 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Safety; Job Satisfaction; Related Public Policy
    • J65 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment Insurance; Severance Pay; Plant Closings

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