Features

To the Point: Helping women to work

The latest unemployment figures make for grim reading. Women are being hit hardest and suffering disproportionately. The number of women unemployed is now more than a million, up 21,000 on the last quarter.

Women's position in the labour market is becoming increasingly insecure. Almost 80 per cent of redundancies in the last quarter were among women, up from just 40 per cent. Cuts to public sector jobs are disproportionately affecting women. The official classification of 'public administration', 'health' and 'education' are the only broad sector of the economy where more women than men are employed. As more public sector jobs are cut, more women will find themselves out of work. More than a quarter of a million women have now been out of work for more than a year, the highest since 1995.

The continued squeeze on family incomes, with inflation rising again this month, means it may be more economical for parents, and in particular mothers who are often paid less, to leave the labour market rather than pay for childcare.

So, other than securing the recovery and creating more jobs, what could be done to help women to work? In the short term, the Government needs to reconsider its decision to reduce support through the childcare element of the Working Tax Credit. It should also consider a single, integrated funding system for childcare that merges tax credit provision and the tax relief provided for childcare vouchers, ensuring support for all parents while offering the greatest amount to those on low incomes. It could function as a top-up in childcare support that is additional to any universal entitlement to free part-time nursery places.

IPPR is arguing for fundamental reform of the welfare state to guarantee a job on the national minimum wage to everyone out of work for more than a year. This 'job guarantee' would mean people refusing to take work after a year of unemployment would lose their benefits.

As women's prospects in the labour market become gloomier, the impact on children and families cannot be underestimated.

Nick Pearce, IPPR's director, is on paternity leave.



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