Lockdown measures to curb the spread of COVID-19 has brought the world economy on the brink of a recession. It is imperative that nations formulate administrative policies based on the changing economic landscape. In this work, we apply a statistical approach, called topic modeling, on text documents of job loss notices of 26 US states to identify the specific states and industrial sectors affected economically by this ongoing public health crisis. Our analysis reveals that there is a considerable incongruity in job loss patterns between the pre- and during-COVID timelines in several states and the recreational and philanthropic sectors register high job losses. It further shows that the interplay among several possible socioeconomic factors would lead to job losses in many sectors, while also creating new job opportunities in other sectors such as public service, pharmaceuticals and media, making the job loss trends a key indicator of the world economy. Finally, we compare the low income job loss rates against overall job losses due to COVID-19 in the US counties, and discuss the implications of press reports on reopening businesses and the unemployed workforce being absorbed by other sectors.
Keywords: COVID-19; Economy; Job losses; Policymaking; Topic model.
© 2020 The Authors.