Home Science Rising Interest Rates Bring Alarming Findings: 42% of Insecure Workers Trapped in Fear of Job Loss, Recent Study Discovers

Rising Interest Rates Bring Alarming Findings: 42% of Insecure Workers Trapped in Fear of Job Loss, Recent Study Discovers

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Researchers at Lancaster University’s Work Foundation challenge the belief that people willingly stay in insecure jobs for the flexibility they offer. According to their research, almost half of workers in insecure jobs (46%) would switch to another job if given the opportunity. The study reveals that these workers feel trapped by factors such as childcare and transport costs, limited job opportunities, and the absence of core protections like sick pay and redundancy pay. The findings further highlight that women are disproportionately affected by job insecurity, with one in four women struggling to make ends meet.

The study, based on survey responses from 4,000 UK workers (2,000 in insecure work and 2,000 in secure work), aims to understand why people choose insecure jobs and the factors influencing their choices. It shows that insecure workers are more likely to fear job loss, with 42% expecting to lose their jobs within the next year, compared to only 13% of secure workers. Factors such as age, income, and part-time work also contribute to the limited choices facing those in insecure jobs.

The impact of job insecurity is more prevalent among women, with a higher percentage reporting financial struggles and poor mental health compared to men. Ben Harrison, Director of the Work Foundation, emphasizes the need for government intervention to address the obstacles preventing workers in insecure jobs from accessing more secure employment.

UNISON general secretary Christina McAnea highlights the disproportionate impact of job insecurity on disabled employees and women with caring commitments. She calls for change to ensure everyone feels secure at work and that choice and flexibility become integral to every job.

The survey also reveals that insecure workers experience uncertainty around income, higher work-related stress, last-minute shift changes affecting their pay, and lower earnings compared to the Minimum Income Standard. The Work Foundation recommends that employers incorporate flexibility into all job roles, increase rates of pay for maternity and paternity leave, and develop a long-term plan to support the childcare sector.

More information: For the full report and recommendations, visit: https://www.lancaster.ac.uk/work-foundation

Provided by Lancaster University

Citation: ‘As interest rates soar, new study reveals insecure workers are ‘trapped’ and 42% fear job losses’ (2023, July 18), retrieved 18 July 2023 from https://phys.org/news/2023-07-soar-reveals-insecure-workers-job.html

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