Throughout the third season, mentions of coronavirus and vaccines make it clear that the pandemic does exist in the show's world.
Joe mentions that Sherry issued a public apology for throwing a maskless party in August 2020, there were rumors about Madre Linda having early vaccine access, and a nurse mentions that anti-vaxxers still exist in "the age of COVID" while Henry is in the hospital.
But the timeline of the coronavirus pandemic seems a bit sped up on the show and it seems to be over by the time season three begins.
For example, during hospital scenes, characters are only shown wearing masks when in the room with Henry and not in the hallways outside.
And during the final scene in the Paris cafe one patron says he "can't believe how many people left New York after the pandemic."