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Over half a million U.K. workers transitioned into insecure employment within the last year.
This alarming figure, as reported by The Morning Star, suggests potential challenges for the U.K. workforce, as job security becomes an increasingly scarce commodity among employees.
Data published by the Work Foundation at Lancaster University reveals 21.4% of the active labor force is now grappling with job instability. The report defines insecure employment as “a single holistic measure,” which combines:
- “contractual insecurity, where people are not guaranteed future hours or future work”;
- “financial insecurity, where people have unpredictable pay or their pay is simply too low to get by”;
- “lack of access to employment rights and protections.”
The situation is particularly dire for disabled individuals — with a record number of 1.45 million reportedly finding themselves in severely insecure employment conditions.
According to the report, “On average, individuals in severely insecure work face a financial penalty of £3,276 per year, compared to those in secure work. There are other signs that insecure workers are under huge financial pressure to make ends meet. In 2023, 55% of workers on Universal Credit were in severely insecure work.”
The data reveals that sectors such as wholesale and retail, professional and scientific services, and hospitality are among those experiencing the highest surges in insecurity. Additionally, young workers, or those aged 18-24, are twice as likely as older workers (aged 50-65) to be in severely insecure work.
Other demographics most affected by this shift in the workforce includes women, Indian, African, and Caribbean workers. It’s revealed that three in five, or 60%, of newly insecure workers are women with “women 2.3 times more likely than men to experience severely insecure work when accounting for other factors,” according to the report.
The Work Foundation at Lancaster University suggests that these groups are facing the harsh reality of low pay in combination with uncertainty around hours and shifts, which often results in unpredictable pay. Many are also reported to lack fundamental employment rights and protections.
Disability rights advocates have criticized government plans to push more disabled people into the workforce without first addressing the underlying issues of job insecurity. Similarly, the report also suggests that gender inequalities in the labor market persist, with women disproportionately represented in unstable employment.
As the U.K. confronts these growing employment challenges, the need for comprehensive policy solutions to ensure job security and protect vulnerable workers in the workforce becomes ever more pressing.
