Jobless homes falling further behind - ESRI

Jobless households continue to suffer from high levels of deprivation, with more than 80,000 such homes falling below the poverty…

Jobless households continue to suffer from high levels of deprivation, with more than 80,000 such homes falling below the poverty line.

According to a new study by the economic think-thank, the ESRI, "work-poor" households continue to suffer from high levels of deprivation despite a dramatic decline in unemployment levels in recent years.

The study found that while the number of homes in Ireland where there are no adults in full-time paid employment declined dramatically between 1994 and 2000, a core group of 127,000 homes in Ireland had no adult employed in paid work.

It also found that people whose spouses or partners were unemployed were themselves less likely to enter the labour market.

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The study identified unskilled middle-aged and disabled people, along with lone parents, as being at greatest risk of falling into the jobless category. The study excluded those over the age of 65.

Overall, households where none of the adults was working fell from 22 per cent in 1994, one of the highest figures in the European Union at the time, to less than 14 per cent in 2000, which is the European average. The authors of the study believe there has been no significant change to these figures since 2000.

The proportion of Irish children living in jobless households has also declined dramatically, from 27 per cent to 9 per cent in the same period.

However, according to the figures collated by the ESRI, almost a third of jobless households - more than 40,000 homes - had a net income of less than 127 per week in 2000.

More than three quarters of these homes, or over 80,000 homes, had a weekly income of less than 254.

Overall, the study found that 74 per cent of these homes fell below the poverty line, set at 50 per cent of the median income. This compares with less than 10 per cent of homes where at least one adult works.

A further 29 per cent of work-poor homes were experiencing basic deprivation, such as lack of adequate heating or other basic necessities.

Dr Helen Russell, one of the authors of the study, said that over 70 per cent of work-poor homes involved people with no qualifications. Some 43 per cent were in the 55-to-64 age bracket, while 40 per cent had chronic disability problems. A further 16 per cent were classed as lone parents.

"People who have been left behind are quite distinct," she said. "They have no qualifications or low education, and many are lone parents."

Many jobless in Ireland were not in a position to avail of the employment opportunities which are currently available.

"There's a need for Government policy to be more targeted," she said.

Her colleague and co-author, Dr Richard Layte, said that Government labour policy had "relied on a policy to allow the market to create jobs".

"That has been hugely successful. This has had an impact on work-poor houses, but I think that relying on the market to produce jobs is not going to be the only answer."

The study also found no evidence that people are being pushed unwillingly into the labour market.

It found that there had been a major increase of 70 per cent in the number of households with children where both parents worked.

However, satisfaction with work ratings were slightly higher in homes where both parents worked, although working mothers had slightly lower satisfaction ratings in relation to leisure time.