Share

UK's low-paid men see hours fall as wage inequality widens

London - Falling working hours among low-paid men are contributing to inequality in the UK, according to the Institute for Fiscal Studies.

About 20% worked part-time in 2014 whereas just 5% did so in 1994, the London-based IFS said in a report published on Friday. Higher up the income scale, the proportion of men working fewer than 30 hours a week remains at less than 5%.

The report also revealed that the incomes of the highest earners have pulled away from the rest of the working population, with the top 1% accounting for 8% of net household income compared with 6% two decades earlier.

Inequality is at the center of political debate in the UK after the vote to leave the European Union exposed a divided country where many people feel left behind. In a separate report this week, the IFS said that disparities are being exacerbated by inherited wealth from a decades-long house-price boom.

The IFS said growing wage inequality among men is a long-term trend rather than something triggered by the global financial crisis. It contrasts with the situation for women, who have  seen the gap between the highest-paid and the lowest-paid narrow.

The tax and benefits system has helped to offset the disparities in pay as tax credits boost the incomes of low earners and pensioners catch up with the rest of the population, according to the report. As a result, while wage inequality was worsened, overall income inequality for the majority has narrowed.

Read Fin24's top stories trending on Twitter:

We live in a world where facts and fiction get blurred
Who we choose to trust can have a profound impact on our lives. Join thousands of devoted South Africans who look to News24 to bring them news they can trust every day. As we celebrate 25 years, become a News24 subscriber as we strive to keep you informed, inspired and empowered.
Join News24 today
heading
description
username
Show Comments ()
Rand - Dollar
18.97
-0.1%
Rand - Pound
24.13
-0.1%
Rand - Euro
20.63
-0.2%
Rand - Aus dollar
12.40
+0.2%
Rand - Yen
0.13
+0.2%
Platinum
912.00
-1.2%
Palladium
1,021.38
-4.2%
Gold
2,161.57
+0.1%
Silver
25.12
+0.3%
Brent Crude
86.89
+1.8%
Top 40
66,252
0.0%
All Share
72,430
0.0%
Resource 10
53,317
0.0%
Industrial 25
100,473
0.0%
Financial 15
16,622
0.0%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Editorial feedback and complaints

Contact the public editor with feedback for our journalists, complaints, queries or suggestions about articles on News24.

LEARN MORE
Government tenders

Find public sector tender opportunities in South Africa here.

Government tenders
This portal provides access to information on all tenders made by all public sector organisations in all spheres of government.
Browse tenders