This Country’s Government Fears Looting and Riots
As the coronavirus crisis worsens across the globe, leaders fear looting and riots breaking out in the south of Italy as businesses are closed causing unrest in the already poor region of the country. Compared to the northern epicentre of the Italian outbreak, the south has historically lagged behind in economic growth and financial security, and the lockdowns imposed by the government due to the crisis are worsening these economic tensions.
As Italy finishes its third week of lockdown, government officials expect the lockdown to extend until Easter at the absolute earliest while they prepare an economic stimulus similar to those seen in other countries. Cash has been diverted to southern towns and cities, with city governments receiving money which can be converted into grocery or aid funds, but these measures are seen as already too late and municipal governments in southern Italy are looking for more support.
Central to this issue is the role of the underground economy in southern Italy. While many in the wealthier north of the country are able to draw from social programs and benefits accrued from their official jobs, many in the south work in the informal economy that makes up 15% over Italy’s labour force. These workers typically work day to day on odd jobs and don’t receive a regular salary, and are unable to document their work history for government unemployment benefits.
As the crisis worsens Italy will be forced to acknowledge these jobs as part of the unemployment benefit system and support these workers to ensure there is no social unrest threatening the effectiveness of lockdown measures.
