Big rise in numbers of low-paid men working part-time in Britain

There has been a substantial rise in the numbers of low-paid men working part-time in Britain, research released on Friday showed.

The research by the Institute for Fiscal Studies (IFS) showed that in 1996 just five percent of men aged 25-55 with low hourly wages worked part-time. In 2016 that figure had rise to 20 percent.

Researchers had expected to find that the growing group of low-paid male workers was a product of the financial crisis and the ensuing recession, but this was not the case and the statistics showed that it was a steady trend over the 20-year period.

By contrast, over the same period, the proportion of middle- and high- wage men working part-time remained at low levels, at less than five percent.

Weekly earnings inequality among men had risen significantly, partly because the hourly wages of high-earners grew faster than those of middle-earners, and partly because men with low hourly wages are now working fewer hours per week.

The researchers found that the rise of part-time work among men on low hourly wages far predates the recession and is widespread. The trend has been occurring consistently for 20 years and is observed for low-wage men across the age spectrum, for single men and men in couples, and for those with and without children.

In contrast, inequality in women's weekly pay fell, driven by a fall in the proportion of women working part-time, especially among those with low hourly wages.

Despite rising earnings inequality among working households, inequality in total net household incomes (including benefits and after taxes) across the vast majority of the British population is lower than 20 years ago.

Key reasons for this include tax credits for low earners, a catch-up of pensioners with the rest of the population, and falling rates of household worklessness.

However, the top one percent have been different: their share of net total household income increased from six percent in 1994-95 to 8 percent in 2014-15.

Chris Belfield, a co-author of the report and a research economist at IFS, said: "In the last 20 years, the incomes of the top one percent have pulled further away from the rest. But across the vast majority of the population income inequality has actually fallen.

"However, in large part this is because the tax and benefit system has worked increasingly hard to offset disparities in the pay brought home by working households, and because of the catch-up of pensioners with those of working age, as well as falls in worklessness." Enditem