Poverty and social security in time of crisis - lessons (to be) learned during the covid19 pandemic

To contain the Corona virus, governments around the world had to take measures that resulted in restrictions on public and economic life. Such measures were also taken in Switzerland and were particularly drastic in the initial phase of the pandemic (spring 2020). In international comparison, these interventions were less severe, and the economic consequences were cushioned by means of various social benefits such as the expansion of short time work or hardship compensation. Nevertheless, some sectors and groups were hit hard. Among them, low-skilled and poorly paid workers, who were already in precarious living conditions before the pandemic. These groups were affected more than average. The self-employed, who are particularly dependent on face-to-face exchanges, were also severely restricted in some cases. In addition, studies in Geneva and Zurich showed that the need for direct food supply increased rapidly at times and that especially groups of foreigners with unregulated settlement permits and difficult access to social benefits found themselves in a precarious situation as a result of the pandemic. In contrast, economic sectors in which highly qualified people work were far less affected, or these sectors received an additional boost thanks to the pandemic (Pharama, IT). According to current knowledge, the beginning of the pandemic in particular, with the partial lockdown, has exacerbated socioeconomic inequalities in Switzerland. However, much remains unclear. What medium-term and long-term effects are associated with the pandemic has not been researched. It is also unclear how efficiently the social safety net protected the population. Since existing studies use sample data, this is associated with some limitations. Detailed evaluations would be important that could show short- and medium-term effects and address particular risk groups of the pandemic. The effectiveness of the social safety net, taking into account the federal organization of Switzerland, has also not been conclusively clarified. This knowledge could be used to find out how pandemic measures can be taken without threatening vulnerable groups and exacerbating existing inequalities that endanger social cohesion. Against this background, the outlined project proposes two research parts that relate to and complement each other. In the first part, we will use linked tax data to examine the economic consequences of the pandemic and the effectiveness of state assistance, focusing on dynamics around the threshold of livelihood security. Using data from 6 cantons, we will be able to examine the situation of around 3.5 million people in Switzerland for the years 2019 - 2022. Thanks to the research cooperation with a French-speaking poverty expert, a comparative analysis can be carried for German and French speaking cantons. For efficient data acquisition and valid analysis, previous knowledge from various SNSF and contract research projects can be used. A research cooperation with the University of Bern (Prof. Dr. Ben Jann) is planned for this purpose. The second part of the project will focus on the clientele of Caritas Switzerland. Caritas Switzerland is the largest NGO in Switzerland with 16 regional branches. Between March 2020 and December 2021 more than 100,000 people have been supported with 18 million. The support comes into play above all when government instruments are not (yet) effective. Reporting's by Caritas Switzerland so far allow only little information about the people who have received support. This is a missed opportunity, as systematic data-collection on the frontline could provide timely information on the poverty situation of the population and gaps in social protection. In the second part of the project, therefore, more will be learned about the work of Caritas Switzerland during the Covid 19 pandemic by means of analyses of the existing case data and with the help of expert interviews. The core of the second part, however, is the development of a poverty-monitoring tool that can be used for timely strategic management and, in the event of a next crisis, as a national early warning system. This will improve crisis management considering disadvantages people in Switzerland drastically. Close cooperation with Caritas Switzerland ensures the transfer of knowledge into practice. There is also close cooperation with the Federal Social Insurance Office (Dr Philipp Dubach). He provides the link to experts in the federal administration who can comment on the project work and take the results into account when evaluating the Covid-19 protection measures from the perspective of social inequality.