According to a recent study by the Work Foundation at Lancaster University, the belief that individuals willingly remain in precarious employment for the supposed benefit of flexibility is fundamentally flawed. Nearly half of the respondents (46%) expressed a desire to secure alternative employment opportunities if given the chance.
The study reveals that a sense of entrapment stems from various constraining factors, including the high costs and limited availability of childcare and transportation, as well as a dearth of local job prospects.
The present economic landscape in the United Kingdom exacerbates the vulnerability of millions of insecure workers due to fluctuating wages, unpredictable working hours, and a lack of essential safeguards such as sick leave and redundancy pay.
Furthermore, persistent inflation, mounting interest rates, and soaring food prices compound the challenges faced by these workers. Alarming data from the Work Foundation’s latest research indicates that one in four individuals engaged in insecure work (28%) currently struggle to make ends meet, with women being disproportionately affected.
Insecure work
The aforementioned warning is based on an extensive survey conducted by the Work Foundation, gathering responses from 4,000 UK workers in March. The sample consisted of 2,000 individuals employed in insecure positions and an equal number of individuals in secure employment.
The primary objective of the research was to comprehend the factors influencing people’s decisions to opt for insecure jobs, characterized by irregular remuneration, uncertain working hours, and a lack of employment rights and protections.
The study reveals that workers engaged in insecure employment are more than three times as likely as their secure counterparts to perceive a risk of job loss. Astonishingly, 42% of those in precarious work anticipate losing their jobs within the next 12 months, in stark contrast to a mere 13% of secure workers who hold similar concerns.
The survey responses also highlight that younger and older workers, as well as low-income individuals and part-time employees, experience more limited options when seeking to transition away from insecure work.
Gender disparity
The gender disparity in the impact of insecure employment is striking, with women bearing a greater burden than men. Approximately one in three women (32%) report financial hardship, compared to less than one in four men (23%).
Moreover, 16% of women in precarious employment reveal that they suffer from poor mental health, whereas the corresponding figure for men stands at 11% (which affects 10% of men and 11% of women in secure employment).
The findings study shed light on the complex dynamics at play within the labor market, underscoring the urgent need for policy interventions that address the challenges faced by insecure workers. Failure to address these issues may perpetuate economic inequality and exacerbate the already significant disparities observed in both financial well-being and mental health between genders.
“As inflation continues to bite and interest rates rise, workers in insecure jobs are under enormous strain,” the researchers explain. “While many might believe that the benefit of flexibility offered to workers on temporary, part time or zero-hour contracts outweigh the risks of this form of employment, our new research shows that nearly half of these workers disagree.”
“The reality is they feel trapped in these jobs by circumstances out of their control—and, without Government intervention to overcome these obstacles, they’re likely to be prevented from accessing more secure work in future.
Additional findings
One notable revelation is that one in three individuals engaged in insecure work are uncertain about their earnings in the upcoming three months. Moreover, these workers are twice as likely (26%) to experience job-related stress on a frequent basis, ranging from four to six days a week, in comparison to their counterparts in secure employment (13%).
Insecure workers also face the challenge of unpredictable shifts, as they are more than four times as likely to encounter last-minute changes, resulting in a decrease in their wages. More than half of the respondents from this group reported experiencing such shifts.
Financial struggles are prevalent among insecure workers, with over 52% earning less than the Minimum Income Standard of £25,500 established by the Joseph Rowntree Foundation. Furthermore, more than one in four individuals engaged in insecure work (28%) express difficulties in making ends meet.
Among the various categories of workers, part-time insecure workers and freelancers stand out as particularly vulnerable. Approximately 34% of individuals in both these groups indicate financial hardship, compared to 23% of full-time workers.
The survey also highlights a concerning correlation between financial insecurity and poor mental health. Workers who lack confidence in their ability to afford unexpected expenses are 3.7 times more likely to report suffering from mental health issues.
These findings shed further light on the multifaceted challenges faced by individuals in insecure work. The prevalence of income uncertainty, job-related stress, unpredictable shifts, and financial difficulties calls for a comprehensive approach to address the vulnerabilities inherent in these employment arrangements. Urgent attention to mental health support and policies aimed at providing stability and fair compensation are necessary to ensure the well-being of workers in this sector.
“A political battleground is opening up on the future of the UK labor market with both major political parties pledging tackle labor shortages and drive up the quality of jobs on offer to UK workers,” the researchers conclude. “This report provides crucial new evidence to inform these debates, shedding new light on the choices and experiences of those in insecure work, and outlines the interventions needed to support workers into better paid, more secure jobs in the future.”
