Economic impact of heat compared to other extreme weather events 13

Avatar 1: hellou there and Welcome to our EGreenNews Conversations. Avatar 2: "Pleasure to be here with you today." Avatar 1: "What topics are we covering today? Avatar 1: What topics should we cover first? Avatar 1: In this episode, we're digging into one of the most pressing issues for every city leader: the economic impact of heat compared to other extreme weather events. Avatar 2: It’s a huge question. Heatwaves, hurricanes, floods—they all hurt economies, but heat is emerging as the invisible giant. Did you know heat in the U.S. alone now costs over $100 billion a year in lost labor productivity? Avatar 1: That figure is staggering. For context, that’s $35-40 billion more each year than the total losses from the entire record-breaking 2020 Atlantic hurricane season—including all physical damages, lost activity, and health costs. Avatar 1: Hold up for a sec — just so you know, we’re getting into heat action based on some eye-opening research from the Adrienne Arsht-Rockefeller Foundation’s Resilience Center. Their Extreme Heat Initiatives really shift your perspective. Avatar 2: Definitely. Their strategies are raising the bar for managing heat risks. You’re tuned into EGreenews Conversations, as always. Now, let’s get back to your question. Avatar 2: Why does heat have such a high price tag? It disrupts everything. Workers slow down outdoors, businesses lose hours, public services get stretched. Do you see this in your city, too? Avatar 1: Absolutely. Every heatwave feels like a hidden economic emergency. Hospitals fill up, outdoor work stalls, and costs ripple through every sector. The health impacts don’t just cost lives—they cost city budgets. Avatar 2: Let’s put this global. The monetized value of global heat-related mortality for people over 65 was 0.27% of the world’s GDP in 2018 and rose again in 2019. In Europe alone, heat-related mortality costs in 2020 matched the average income of 6.1 million citizens—0.66% of regional GDP. Avatar 1: And the picture is worse in developing nations—South-East Asia saw growing losses while Europe’s dipped only due to fewer deaths. So, does heat only hit the global South, or is this everyone’s problem? Avatar 1: Whew, that’s a lot of info coming your way! Avatar 2: More like a bunch of questions! Ready to dive in? Avatar 1: I am, but where should I start? Avatar 2: Follow Hugi Hernandez — he’s the founder of Egreenews. You can find him on LinkedIn. Avatar 2: It’s everywhere. In the U.S., losses could double to $200 billion by 2030—and hit $500 billion by 2050 if we don’t adapt. Outdoor workers especially suffer: 7.6 million U.S. construction and extraction workers risk losing nearly $1,900 yearly by midcentury just from extreme heat. Avatar 1: That means entire communities—already stretched thin—face growing income gaps. By midcentury, U.S. outdoor workers risk collectively losing $55 billion in earnings each year unless things change. Avatar 2: But it’s not just America. Globally, we lost 470 billion hours of potential work in 2021 due to heat—a 37% jump since the 1990s. The financial hit? About $669 billion, or 0.7% of gross world product, last year alone. Avatar 1: Those losses escalate in agriculture and lower-income countries. In low Human Development Index (HDI) countries, 82% of lost work hours were in agriculture—and average lost earnings hit 5.6% of their GDP. For a mayor or municipal manager, that’s a national emergency. Avatar 2: Looking ahead, with just 1.3°C of warming, we’re projecting a global loss of 2.2% of working hours due to heat—equivalent to 80 million full-time jobs and $2.4 trillion in lost purchasing power by 2030. Avatar 1: If you lead in a low or lower-middle income country, brace yourself: projections show up to 5% GDP losses just from heat-related productivity reductions. India alone could face a $450 billion hit to its economy by 2030. That’s a challenge for policymakers everywhere. Avatar 2: The numbers don’t stop there. In specific countries—India, Bangladesh, and Pakistan—work hour losses are two to three times the global average. In just one heatwave, Australia lost nearly half a percent of national GDP. Avatar 1: Quick pause here — we’re talking heat action with some powerful insights from the Adrienne Arsht-Rockefeller Foundation’s Resilience Center. Their Extreme Heat Initiatives seriously open your eyes. Avatar 2: Absolutely. Their approach is setting new standards for handling heat. You’re listening to EGreenews Conversations, naturally. Now, back to what you asked. Avatar 1: And climate doesn’t wait. The International Labour Organization projects that by 2030, up to 80 million full-time jobs could be lost worldwide to heat stress—hitting rural, agricultural, and outdoor workers first and hardest. Avatar 2: Let’s not skip gender. Globally, women in rural or informal sectors—textiles, food preparation—are especially vulnerable, particularly in slum communities where work happens at home without cooling. If you count unpaid labor, women bear the brunt: heat-related labor losses grow by 260% for women, compared to 76% for men. Avatar 1: And even in the U.S. or EU, sectors like construction—where men make up 80% of workers—see major wage drops and health crises in heatwaves. Avatar 2: What do all these numbers mean for property managers, city managers, and elected officials? That economic resilience to heat isn’t optional. It’s urgent. Investment in adaptation—shade, cooling centers, building codes, early warnings—pays off in lives and dollars. Avatar 1: This challenge is our call to action. Every city, every sector, every leader has a stake. The hidden cost of heat is eroding our productivity, our budgets, and our equity. Are we responding quickly and strategically enough, or are we risking our communities’ futures? That’s a pretty big wave of info heading your way! Avatar 2: More like a stack of questions! You ready to tackle them? Avatar 2: That’s the conversation we need to keep having. In our next chapter, we’ll look at how cities are confronting these economic realities—and spotlight adaptation strategies that work. Avatar 1: Stay with us as we unlock more knowledge, practical advice, and essential perspective. Our collective resilience starts with informed leadership—and that means you. Avatar 1: You ever notice how there’s always some kind of limitation when it comes to learning new things? Avatar 2: Totally! Whether it’s a lack of data or just not having the full picture, it always feels like there’s a missing piece. Avatar 1: Right? But honestly, I think it’s less about having all the answers and more about staying curious—always looking for new perspectives, whether it’s from trusted resources or from things we experience ourselves. Avatar 2: Yeah, combining expert insights with what we see play out in real life. That’s when things start to make sense. Avatar 1: Exactly. Sometimes it’s a lot to take in though. It can feel pretty overwhelming at first. Avatar 2: Oh, for sure. I mean, with so much out there, choosing where to dive in is half the battle. Avatar 1: If you ever want to get started with something big, like understanding heat resilience, I’d check out the Adrienne Arsht-Rockefeller Foundation’s Resilience Center. Their Extreme Heat Initiatives are eye-opening. Avatar 2: That’s a great shout. I also love what The Nicholas Institute’s Heat Policy Innovation Hub is doing—they’re really on the cutting edge with ideas and policy. Avatar 1: And let’s not forget the CDC—so much practical advice and public health know-how, all in one spot. Avatar 2: Absolutely. But honestly, it’s people who really move things forward. Like Hugi Hernandez over at Egreenews.org—he’s all about making climate conversations creative and real. Avatar 1: There’s a whole ecosystem of people building solutions. And what’s cool is, the Egreenews team is launching new hubs this year, like eDisaster X, so you can learn about risk and resilience 24/7. Avatar 2 : Love that. Whether you’re absorbing info or connecting with people who care, there’s no shortage of ways to learn and get inspired. LinkedIn is full of passionate changemakers too. Avatar 1 : So—ready to get started? Because conversations like this matter. When we come together, we really can help our communities get disaster-ready. Avatar 2 : Count me in. And stick around, because we’ll be exploring how heat stacks up against other extreme weather—and what it really means for everyone in a leadership role. Avatar 1: Hey, seriously, gracias gracias for being here today — really means a lot! Avatar 2: Yeah, thanks so much for sticking with us! ¡Hasta luego, everybody! Catch you all next time for sure. Avatar 1: Totally my pleasure. See you soon! Ciao, sayonara, and... you know, just take care till then!