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Gill Main, University of Leeds Melissa Wong, University of New South Wales Social Policy Research Centre seminar, 13 th April 2016

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Page 1: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

Gill Main, University of Leeds Melissa Wong, University of New South Wales

Social Policy Research Centre seminar, 13th April 2016

Page 2: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

Youth transitions ◦ Increasingly: Diverse Prolonged Fragmented (Eurostat, 2009)

The Global Financial Crisis ◦ Particularly strong impact on young people ◦ Exacerbating existing trends ◦ Youth unemployment ◦ Political ideology vs economic necessity

Australia-UK comparison ◦ Liberal/Anglo-Saxon welfare regimes ◦ Similarities in current policy and rhetoric ◦ Conditionality and reductions to youth benefits ◦ Stronger impact of crisis in UK

Page 3: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

Higher risk of poverty

Mismatch between skills and jobs

Higher risk of: ◦ Unemployment ◦ Under-employment ◦ Work insecurity

Housing difficulties

‘Youth’ not homogeneous: vulnerable groups Experience of child poverty Disability Ethnic minority/Indigenous population

UK: Telfer, ND Australia: Foundation for Young Australians, 2015

Page 4: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

Drastic changes in response to crisis in both countries ◦ Pre-2010: stimulus ◦ Post-2010: austerity ◦ Post-2015: ongoing austerity; increased cuts to welfare

Attempts to increase conditionality/decrease entitlements for youth ◦ UK: Housing Benefit (under 35s); community work after 6 months ◦ Australia: Proposals to increase waiting times for Newstart Allowance for

under 30s (rejected by Senate), increase age of eligibility for under 25s (not passed yet)

Deregulation and fees in universities

Necessity or ideology? (UK) ◦ Pensions protected; cuts focused on working-age benefits ◦ Cutting working-age benefits impacts families with children ◦ Neutral impact of austerity

Page 5: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

“We’re all in it together” – but youth are more ‘in it’ than most

Policies targeted youth – direct and indirect

impacts ◦ Hostile rhetoric – “well-worn path from the

school gate onto a life on benefits” ◦ Direct and indirect discrimination against youth

in welfare reforms Direct: higher conditionality for youth (e.g. 30 hours

unpaid ‘community work’); housing benefit withdrawn for under 35s living alone

Indirect: ‘bedroom tax’ limits ability to draw on family resources for poor youth

Page 6: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

Focus on pathways and transitions

Cuts to education budget Youth Employment Strategy (2015 Budget): ◦ High levels of investment in supporting young

people not in education or employment ◦ Intensive support for vulnerable youth (mental

health, migrants) ◦ Early School Leaver policy: increased conditionality

Page 7: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

Can a comparable typology of youth

transitions from education to the labour market be identified for the Australian and UK contexts?

What socio-demographic characteristics are associated with different trajectories and do these differ between Australia and the UK?

Page 8: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

Youth ◦ No agreed age range 15 (Australia)/16 (UK)-29 (see Eurostat, 2009)

◦ Descriptive of a transition, not a state (Eurostat, 2009) Being/becoming as characteristic of youth? Extension of childhood?

Not in Education, Employment or Training (NEET) ◦ Problematic and contested term ◦ Heterogeneous group ◦ ‘Unemployed’ and ‘inactive’ more useful cross-sectional classifications ◦ ‘Stable’ and ‘unstable’ more useful longitudinal classifications

Labour market trajectories ◦ Movement from compulsory education towards labour market

participation (or not) ◦ ‘Trajectory’ may be over-simplified (see Dorsett and Lucchino, 2012)

Page 9: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

UK: Understanding Society (US) ◦ UK’s representative longitudinal household survey ◦ Annual coverage of 40,000 households ◦ All adults (16+) interviewed ◦ Diverse range of topics – covers health, work, education,

income, family, and social life

Australia: Household Income and Labour Dynamics (HILDA) ◦ Australia’s representative longitudinal household survey ◦ Annual coverage of 7,000+ households ◦ All adults (15+) interviewed ◦ Covers family dynamics, economic and subjective well-

being and labour market dynamics

Page 10: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

Selected if: ◦ Aged 15/16-29 at wave 1 (2009) ◦ Valid responses to labour market status in each wave

Resulting sample: ◦ Australia: 2,384 ◦ UK: 4,561

Identifying trajectories ◦ Two-step cluster analysis ◦ Based on labour market status at each wave

Examining trajectories ◦ Logistic regression examining socio-demographic characteristics

associated with clusters ◦ Comparative analysis: most comparable variables/common denominators

Page 11: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

0

10

20

30

40

50

60

UK Australia UK Australia UK Australia UK Australia

Age % women English as first language Born

Mea

n ag

e/%

over

all

Page 12: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

0.0

10.0

20.0

30.0

40.0

50.0

60.0

UK Australia UK Australia UK Australia

Low qualifications Medium qualifications High qualifications

% ov

eral

l

Low: up to year 11 Medium: year 12 or higher, lower than degree High: Bachelor’s degree or higher

Page 13: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

Fixed at five clusters ◦ Conceptually relevant ◦ Good fit ◦ Comparable across Australia and the UK

Clusters identified: ◦ Employed ◦ Education to employment ◦ Unstable ◦ Education ◦ Inactive (not engaged with labour force)

Page 14: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour
Page 15: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour
Page 16: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour
Page 17: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour
Page 18: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

0

5

10

15

20

25

30

UK Australia

Mea

n ag

e

Education

Education to employment

Unstable

Employed

Inactive

Page 19: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

0.0

10.0

20.0

30.0

40.0

50.0

60.0

70.0

80.0

90.0

100.0

UK Australia

% w

omen

Education

Education to employment

Unstable

Employed

Inactive

Page 20: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

0.0

2.0

4.0

6.0

8.0

10.0

12.0

14.0

16.0

18.0

20.0

UK Australia

% no

t Enl

igh

as fi

rst l

angu

age

Education

Education to employment

Unstable

Employed

Inactive

Page 21: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

0.0

2.0

4.0

6.0

8.0

10.0

12.0

14.0

16.0

18.0

UK Australia

% no

t bor

n in

cou

ntry

Education

Education to employment

Unstable

Employed

Inactive

Page 22: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

0.0

10.0

20.0

30.0

40.0

50.0

60.0

70.0

80.0

UK Australia

% lo

w q

ualif

icat

ions

Education

Education to employment

Unstable

Employed

Inactive

Page 23: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

0.0

10.0

20.0

30.0

40.0

50.0

60.0

70.0

UK Australia

% m

ediu

m q

ualif

icat

ions

Education

Education to employment

Unstable

Employed

Inactive

Page 24: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

0.0

10.0

20.0

30.0

40.0

50.0

60.0

70.0

UK Australia

% hi

gh q

ualif

icat

ions

Education

Education to employment

Unstable

Employed

Inactive

Page 25: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

01020304050607080

UK

Aust

ralia UK

Aust

ralia UK

Aust

ralia UK

Aust

ralia UK

Aust

ralia UK

Aust

ralia

Lone adultwithoutchildren

Lone adultwith children

Couplewithoutchildren

Couple withchildren

Multipleadults

withoutchildren

Multipleadults with

children

% in

edu

catio

n

Page 26: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

0

10

20

30

40

50

60

70UK

Aust

ralia UK

Aust

ralia UK

Aust

ralia UK

Aust

ralia UK

Aust

ralia UK

Aust

ralia

Lone adultwithoutchildren

Lone adultwith children

Couplewithoutchildren

Couple withchildren

Multipleadults

withoutchildren

Multipleadults with

children

% ed

ucat

ion

to e

mpl

oym

ent

Page 27: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

05

101520253035404550

UK

Aust

ralia UK

Aust

ralia UK

Aust

ralia UK

Aust

ralia UK

Aust

ralia UK

Aust

ralia

Lone adultwithoutchildren

Lone adultwith children

Couplewithoutchildren

Couple withchildren

Multipleadults

withoutchildren

Multipleadults with

children

% un

stab

le

Page 28: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

0

5

10

15

20

25

30

35UK

Aust

ralia UK

Aust

ralia UK

Aust

ralia UK

Aust

ralia UK

Aust

ralia UK

Aust

ralia

Lone adultwithoutchildren

Lone adultwith children

Couplewithoutchildren

Couple withchildren

Multipleadults

withoutchildren

Multipleadults with

children

% em

ploy

ed

Page 29: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

0

10

20

30

40

50

60UK

Aust

ralia UK

Aust

ralia UK

Aust

ralia UK

Aust

ralia UK

Aust

ralia UK

Aust

ralia

Lone adultwithoutchildren

Lone adultwith children

Couplewithoutchildren

Couple withchildren

Multipleadults

withoutchildren

Multipleadults with

children

% in

activ

e

Page 30: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

0.0

10.0

20.0

30.0

40.0

50.0

60.0

70.0

80.0

UK Australia

% liv

ing

with

par

ents

Education

Education to employment

Unstable

Employed

Inactive

Page 31: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

Characteristics at wave 4 ◦ Not predictors ◦ Overall and by age group at wave 1 (15/16-24; 25-29)

Range of demographic characteristics examined ◦ Age ◦ Gender ◦ Educational qualifications ◦ Household structure ◦ Living with parent(s) ◦ English as first language ◦ Born in Australia/UK

Page 32: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

Characteristics: ◦ Education: younger people without children ◦ Education to employment: younger people ◦ Unstable: low-qualified women with children (UK only) ◦ Employment: older men in couples without children ◦ Inactivity: older women, lower qualifications, children

Clear similarities in clusters based on young people’s labour market trajectories

Differences in relation to inactivity ◦ Dominated by women with children in the UK ◦ Slightly less clear in Australia

No clusters marked by constant unemployment ◦ “Inactivity” evident among women with children…

Instability an important consideration ◦ 1 in 5 in UK and over 1 in 4 in Australia in unstable situations ◦ Partly driven by women with children – especially in the UK ◦ May also be a result of type of work - temporary/unstable/under employment

Page 33: Social Policy Research Centre seminar, 13th April 2016 · Social Policy Research Centre seminar, 13th April 2016 ... Under-employment Work insecurity ... Valid responses to labour

Number and quality of jobs

Socio-economic factors ◦ Poverty ◦ Deprivation ◦ Social security claims ◦ Housing ◦ Ethnicity/Indigenous/CALD populations ◦ Parental characteristics (education, income) ◦ Location ◦ Health, disability ◦ Caring responsibilities

Outcomes ◦ Subjective well-being ◦ Health ◦ Income, poverty, deprivation (outcome or predictor?)

Longitudinal analysis, additional waves