CHICAGO, June 11, 2020 – Two months after widespread COVID-related shutdowns began, 11 percent of Americans have been temporarily or permanently laid off as a result of the COVID-19 pandemic, according to a new AmeriSpeak® Spotlight on Personal Finance from NORC at the University of Chicago. Even among those still working, many Americans are experiencing decreases in income—26 percent of workers report some decrease of income, and 6 percent report they are no longer earning any income at all.

Layoffs have hit some groups harder than others. In particular, Hispanic workers reported layoffs at 1.5 times the rate of white workers, those without a college degree report layoffs at twice the rate of those with a college degree, and workers under 30 report layoffs at a rate greater than double that of older workers.

These laid-off workers are using a variety of coping strategies to get by financially, some with long-term effects on financial well-being. While many are tapping into savings or postponing bills, 40 percent of laid-off workers are using debt (credit cards, short-term loans, or borrowing from friends or family) to get by financially. Shockingly, 21 percent report skipping meals or eating less.

“Despite relief efforts by the federal government, workers who have lost their jobs as a result of the COVID-19 pandemic are really struggling, and resorting to coping mechanisms that are likely to have long-lasting impacts,” said Angela Fontes, director of the Behavioral and Economic Analysis and Decision-Making (BEAD) team at NORC. “While jobs may come back as the economy opens up, the debt that families are incurring may take years to pay off.”