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Economic Inactivity Literature Review March 2014 Professor Ronald McQuaid University of Stirling Presentation as part of: “Enabling.

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Presentation on theme: "Economic Inactivity Literature Review March 2014 Professor Ronald McQuaid University of Stirling Presentation as part of: “Enabling."— Presentation transcript:

1 Economic Inactivity Literature Review March 2014 Professor Ronald McQuaid University of Stirling Presentation as part of: “Enabling Success” Consultation on a New Strategic Framework to Tackle Economic Inactivity in Northern Ireland – Driving Social Change Through Economic Participation - Department for Employment and Learning Northern Ireland

2 1. BACKGROUND Economic inactivity related to: family commitments, specifically lone parents work-limiting health conditions or disabilities Primarily based on academic findings using desk based research and some statistical analysis

3 KEY FINDINGS - Family Commitments - Disabilities - Conclusions

4 Some pathways into inactivity Family responsibility: Heterogeneity Young vs older separation/divorce lone parents Likelihood of remaining economically ‘inactive’ rises with number of children, disability of child etc.

5 Table 2.2: Disability, Dependency and Economic activity in 2012 (LFS) Married/co-habiting dependent childrenLone parent dependent childrenNo dependents DisabilityTotalDisabilityTotalDisabilityTotal DisabledNot disabledDisabledNot disabledDisabledNot disabled Great BritainIn employment60.6%77.0%74.7%37.5%53.7%50.1%49.8%81.1%73.8% ILO unemployed5.6%5.3%5.4%12.0%13.5%13.2%7.1%6.5%6.6% Inactive33.8%17.6%19.9%50.5%32.8%36.7%43.1%12.4%19.6% Northern IrelandIn employment53.8%77.1%74.3%23.2%46.2%42.0%34.6%81.9%70.9% ILO unemployed6.4%2.6%3.0%7.3%7.2% 4.5%7.2%6.5% Inactive39.8%20.4%22.7%69.4%46.6%50.8%60.9%11.0%22.6% Lone parents and caring Inactivity rates of lone parents much greater in NI than GB. Married/co-habiting and no dependents not greatly different in NI and GB

6 Mothers returning to work More likely to return to work if: employed during pregnancy working in the public sector working for a larger employer (longer) duration of job pre-birth, generous maternity pay, particularly occupational provision in addition to the statutory entitlement partnered rather than single highly qualified

7 Mothers returning to work Less likely if: from certain ethnic backgrounds lone mothers partner works long hours

8 Family responsibilities – policy lessons Holistic and tailored support Partnership working Good advisers Training and qualifications Making work pay

9 1. BACKGROUND TO THE RESEARCH 2. KEY FINDINGS - Family Commitments - Disabilities - Conclusions

10 Some pathways into inactivity Disability: disability from childhood disability during working life

11 Table 2.2: Disability, Dependency and Economic activity in 2012 (LFS) Married/co-habiting dependent childrenLone parent dependent childrenNo dependents DisabilityTotalDisabilityTotalDisabilityTotal DisabledNot disabledDisabledNot disabledDisabledNot disabled Great BritainIn employment60.6%77.0%74.7%37.5%53.7%50.1%49.8%81.1%73.8% ILO unemployed5.6%5.3%5.4%12.0%13.5%13.2%7.1%6.5%6.6% Inactive33.8%17.6%19.9%50.5%32.8%36.7%43.1%12.4%19.6% Northern IrelandIn employment53.8%77.1%74.3%23.2%46.2%42.0%34.6%81.9%70.9% ILO unemployed6.4%2.6%3.0%7.3%7.2% 4.5%7.2%6.5% Inactive39.8%20.4%22.7%69.4%46.6%50.8%60.9%11.0%22.6% Disability and caring Inactivity rates of disabled greater in NI than GB, especially for lone parents and those with no dependents

12 Disabilities The Disability Discrimination Act (DDA) defines a person with disabilities as someone who has a physical or mental impairment that has a substantial and long-term adverse effect on the ability to carry out normal day-to-day activities Those with DDA and a work limiting disability are most likely to be inactive

13 Disability and employment issues Entering ‘main stream employment’: – employability (skills, qualifications etc); – accessible work (physical, work organisation); – attitudes of employers (and co-workers). Type of job (part-time, low pay, low skilled) Types and severity of disabilities (e.g. diabetes vs mental) Sheltered workplaces

14 People with disabilities – policy lessons a focus on employers and workplaces supporting the whole range of jobs employability awareness about programmes integrated approach

15 1. BACKGROUND TO THE RESEARCH 2. KEY FINDINGS - Contextual analysis - Family Commitments - Disabilities - Conclusions

16 Conclusions Reducing inactivity is important for NI Alternatives to paid employment for some Policies may appear to be gender, disability, family-blind etc. but in reality may not be Not just an ‘add on’ to existing policies

17 Thank you for listening Report is available at: McQuaid, R., Shapira, M., Graham, H. and Raeside, R. (2013) Economic Inactivity Research Project (those with family commitments and the long-term sick and disabled) - Literature Review (Project-11040), Department for Employment and Learning, Northern Ireland

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