Low wages and growing inequality in the UK
19 October 2017
According to a report from the Social Mobility Commission, low wages are trapping people and a quarter of people in low-paid jobs are unlikely to find better paying jobs in the future.
Women in their twenties are more likely to be in low-paid jobs. The report says that this is because of a lack of good, well-paid work for people with childcare responsibilities.
A different report from IPPR (an independent ‘think-tank’) states that inequality is growing in the UK. The top 10% of British households have assets of £1.32million (property, pensions and money). However, the bottom 50% have average assets of £3,200.
A spokesman for the Business Department said progress had been made: "We have more people in work than ever before, and we have taken 1.3 million people out of income tax altogether since 2015 … the national living wage has delivered the fastest pay rise for the lowest earners in 20 years."
However, Conor Darcy of the Resolution Foundation said; "This lack of pay progress can have a huge scarring effect on people's lifetime living standards."
The foundation is calling for "a more comprehensive response from business and government" aimed at increasing wages.
The Social Mobility Commission report identifies low wages as £8.10 per hour, the median wage for an average person was £12.10 in 2016. The report found that only 1 person in 6 was able to ‘escape’ from a low-paid job in the last ten years.
According to a report from the Social Mobility Commission, low wages are trapping people and a quarter of people in low-paid jobs are unlikely to find better paying jobs in the future.
Women in their twenties are more likely to be in low-paid jobs. The report says that this is because of a lack of good, well-paid work for people with childcare responsibilities.
A different report from IPPR (an independent ‘think-tank’) states that inequality is growing in the UK. The top 10% of British households have assets of £1.32million (property, pensions and money). However, the bottom 50% have average assets of £3,200.
A spokesman for the Business Department said progress had been made: "We have more people in work than ever before, and we have taken 1.3 million people out of income tax altogether since 2015 … the national living wage has delivered the fastest pay rise for the lowest earners in 20 years."
However, Conor Darcy of the Resolution Foundation said; "This lack of pay progress can have a huge scarring effect on people's lifetime living standards."
The foundation is calling for "a more comprehensive response from business and government" aimed at increasing wages.
The Social Mobility Commission report identifies low wages as £8.10 per hour, the median wage for an average person was £12.10 in 2016. The report found that only 1 person in 6 was able to ‘escape’ from a low-paid job in the last ten years.
Questions
Who are most affected by low-paid jobs?
How are they ‘trapped’?
Is inequality in society really a problem?
Who are most affected by low-paid jobs?
How are they ‘trapped’?
Is inequality in society really a problem?
Vocabulary
Highlight for definitions
trapped – unable to change your situation
a lack of – not enough
inequality – the differences between people’s status/wealth
assets – things that have financial value
out of income tax – not earning enough to pay tax
national living wage – a recommended minimum wage
a scar – a mark left by an injury (used metaphorically for a permanent effect)
median – the middle of a range of numbers
Highlight for definitions
trapped – unable to change your situation
a lack of – not enough
inequality – the differences between people’s status/wealth
assets – things that have financial value
out of income tax – not earning enough to pay tax
national living wage – a recommended minimum wage
a scar – a mark left by an injury (used metaphorically for a permanent effect)
median – the middle of a range of numbers
Grammar
Highlight the text for solutions
‘… are trapping / is growing’, are examples of which tense? Why are they used in the text?
These are examples of the present continuous, used to describe a current trend or something happening at the moment. This contrasts with the Business Department’s comments which use the present perfect to describe what has been done in the time from 2015 to the present.
More present continuous grammar
Highlight the text for solutions
‘… are trapping / is growing’, are examples of which tense? Why are they used in the text?
These are examples of the present continuous, used to describe a current trend or something happening at the moment. This contrasts with the Business Department’s comments which use the present perfect to describe what has been done in the time from 2015 to the present.
More present continuous grammar