(CNN)The number of new Covid-19 cases is rising once again and while the virus isn't killing nearly as many people as it used to -- thanks to vaccinations -- it is still causing havoc around the world. 

With labor shortages already paralyzing airports and wrecking the hospitality sector, a wave of worker absences due to sickness is the last thing the economy needs. 

The latest wave of infections is driven by the most infectious and transmissible variant identified so far --  BA.5.

Based on the sequencing data reported to the World Health Organization (WHO), about half of all coronavirus cases globally are now caused by this variant. In the US, BA.5 accounts for about 80% of new cases, according to the latest data from the US Centers for Disease Control and Prevention (CDC). 

The variant is keeping experts on their toes because of its ability to evade immunity and cause reinfection.

"It is important that we continue to talk about Covid," WHO's technical lead on Covid-19 Maria Van Kerkhove said in a briefing on Tuesday, stressing the need to keep up the efforts to vaccinate the most vulnerable.

"People who are more likely to die, and this is consistent across all countries, are people who have not been vaccinated."

According to WHO, about a third of the new cases reported last week were in Europe, a third in the Western Pacific region and 25% in the Americas. 

The latest surge is having a huge impact on the economy. 

The International Monetary Fund slashed its world economic forecast on Tuesday, as it predicted major slowdowns in the three biggest economies: The United States, China and Europe. 

It said that Covid-19 lockdowns in China have continued to hamper the economy, triggering a slowdown that "has been worse than anticipated." 

A recent example of the crushing effect of Covid on the economy is the gaming hub of Macao. 

Governed by China, Macao is subject to its "zero Covid" policy, which means that the region has been under stay-at-home restrictions since last week. Gaming accounts for more than 80% of government revenue and is Macao's most important industry. Because casinos are also part of the shutdown, the government revenue is plummeting. 

Then there's the impact of long Covid. A study published Wednesday by the Institute for Fiscal Studies, a London-based economic think tank, said one in 10 UK workers with long Covid have stopped working while sick, which means an estimated 110,000 workers are currently missing from the country's labor market.