NORTH CHARLESTON, S.C. –An economic analysis by Trident United Way shows the Tri-County could experience more than a $700 million negative economic impact in just two weeks due to the COVID-19 virus.
Trident United Way vice president of evaluation and public policy, Jonathan Rauh, breaks down specific economic areas to detail the wage losses and ripple effect throughout our community. The federal stimulus bill, awaiting approval by the U.S. House of Representatives, could help recoup some losses to our economy. But how quick individuals and businesses see aid is still up in the air.
“With so many restaurants and businesses shut down during this crisis, it’s going to have a major economic impact that will be felt for likely the rest of 2020,” Rauh said. “Major economic engines like tourism and manufacturing have ground to a halt. Workers and businesses alike will feel the economic brunt of the virus now and in the future, even with federal assistance.”
While workers may see some of their income returned in the pending federal stimulus bill, many who depend on cash tips could still be far below their regular income level. Rauh says the bill is more of a “stop the bleeding” measure than one that will have long term benefit.
Click below for soundbites from Jonathan Rauh / Trident United Way VP of Evaluation & Public Policy
Soundbite # 1 “If we were to extend current levels out to a few months, then yes, you could see billions of dollars in losses.”
Soundbite # 2 “The slowdown we’re experiencing across the country is similar to the slowdown we’re seeing here, which reaches on average about 46%, then we could be looking at a $755 loss just over a two-week period.”
Soundbite # 3 (regarding pending stimulus bill.) “It would be incorrect to talk about this in terms of a stimulus bill, this is more of a keep things going so the situation isn’t otherwise worse than it could be bill.”
Trident United Way economic analysis of COVID-19 impact to Tri-County
- $755 million loss to local GDP over two weeks (based on 46% national slowdown)
- Up to $60 million in lost wages in food/beverage industry in just two weeks
- A 5% rise in unemployment could create $26,000 backlog in utility bills among clients that use TUW Resource Connection Centers
The above numbers show the increased need for donations to the Tri-County COVID-19 Response Fund.
Generous individuals and corporate partners have donated more than $179,000 to the Tri-County COVID-19 Response Fund since it was launched on March 18, including a $50,000 match from Trident United Way.
Tri-County COVID-19 Response Fund contributions will be used for:
- Basic needs support to address loss of work or other financial hardships
- Deploying efficient emergency networks of agencies with proven on the ground experience
- Support nonprofit partners with the surge of assistance requests and supplement service capacity
Trident United Way has a list of resources available for those are economically impacted by the virus. From unemployment assistance to small business assistance, we are a one-stop resource for help during this crisis.
Celebrating 75 years of service, Trident United Way is a catalyst for measurable community transformation through collective impact in education, financial stability and health. According to the Chronicle of Philanthropy, United Way is America’s favorite charity.