Adverse effects on workers’ employment situation are highly unequal for different groups. Young workers were particularly affected by the pandemic. They were less likely to receive short-time work allowance and their income developed less favourably than the income of older workers. While financial concerns and job insecurity decrease life satisfaction, it appears that additional threats and restrictions coming along with the pandemic—as approximated by incidence rates—had a much more substantial influence on young workers’ life satisfaction than labour market-related disadvantages.

IAB-Forum, 2023-12-29.01