Black unemployment in the UK higher than the US

Black unemployment in the UK has been higher in the last three recessions.

It recently emerged that 30.7 per cent of the UK's young black males are unemployed, a significant finding [the overall rate of unemployment is 8.4 per cent]. But how does the problem here compare with the US? The answer is that we fare worse on every count. A paper due to be presented at the British Sociological Association’s annual conference today shows that in the last three recessions, unemployment among black British men was up to 15 per cent higher than among those in the US.

British black male unemployment reached 24 per cent in the early 1980s recession, 28 per cent in the early 1990s and 18 per cent in 2011. By contrast, the figures for the US were 17 per cent, 13 per cent and 15 per cent. Black women in Britain are also more likely to be unemployed than those in the US. Unemployment for black women in Britain in the three recessions peaked at 25 per cent, 26 per cent and 17 per cent, compared with 20 per cent, 12 per cent and 13 per cent in the US.

Professor Yaojun Li, of the University of Manchester, who analysed responses from 4.7 million people, will tell the conference:

Overall, there is greater ethnic inequality in Britain than in the USA for both sexes.

This gives a fairly strong indication that the flexible labour market policies adopted in Britain in the last few decades did not protect the minority ethnic groups against the repercussions of recessions.

He suggests that the US's use of affirmative action and its federal procurement policy, which requires institutions to have staff representative of the population, explains its lower levels of black unemployment. In total, one in 12 black Britons are unemployed, compared with one in 16 in the US.

I recently noted that George Osborne's plans will reduce the public sector workforce to its lowest level since comparable records began in 1999. A total of 730,000 posts will be cut between 2011 and 2017. Li suggests that this could exacerbate the problem:

As a large proportion of the disadvantaged group, particularly black people, tend to find employment in the public sector, if they can find a job at all, the current coalition government’s stringency plan to cut public sector employment is most likely to hit the most vulnerable groups even harder.

It's yet more evidence that the coalition's decision to rely so heavily on spending cuts to reduce the deficit will create levels of inequality unheard of in modern times.

 

One 12 black Britons are unemployed, compared with one in 16 in the US. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

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Want to beat child poverty? End the freeze on working-age benefits

Freezing working-age benefits at a time of rising prices is both economically and morally unsound. 

We serve in politics to change lives. Yet for too long, many people and parts of Britain have felt ignored. Our response to Brexit must respond to their concerns and match their aspirations. By doing so, we can unite the country and build a fairer Britain.

Our future success as a country depends on making the most of all our talents. So we should begin with a simple goal – that child poverty must not be a feature of our country’s future.

The Institute for Fiscal Studies projects that relative child poverty will see the biggest increase in a generation in this Parliament. That is why it is so troubling that poverty has almost disappeared from the political agenda under David Cameron, and now Theresa May.

The last Labour Government’s record reminds us what can be achieved. Labour delivered the biggest improvement of any EU nation in lifting one million children out of poverty, transforming so many lives. Child poverty should scar our conscience as much as it does our children’s futures. So we have a duty to this generation to make progress once again.

In my Barnsley constituency, we have led a campaign bringing together Labour party members, community groups, and the local Labour Council to take action. My constituency party recently published its second child poverty report, which included contributions from across our community on addressing this challenge.

Ideas ranged from new requirements on developments for affordable housing, to expanding childcare, and the great example set by retired teachers lending their expertise to tutor local students. When more than 200 children in my constituency fall behind in language skills before they even start school, that local effort must be supported at the national level.

In order to build a consensus around renewed action, I will be introducing a private member’s bill in Parliament. It will set a new child poverty target, with requirements to regularly measure progress and report against the impact of policy choices.

I hope to work on a cross-party basis to share expertise and build pressure for action. In response, I hope that the Government will make this a priority in order to meet the Prime Minister’s commitment to make Britain a country that works for everyone.

The Autumn Statement in two months’ time is an opportunity to signal a new approach. Planned changes to tax and benefits over the next four years will take more than one pound in every ten pounds from the pockets of the poorest families. That is divisive and short-sighted, particularly with prices at the tills expected to rise.

Therefore the Chancellor should make a clear commitment to those who have been left behind by ending the freeze on working-age benefits. That would not only be morally right, but also sound economics.

It is estimated that one pound in every five pounds of public spending is associated with poverty. As well as redirecting public spending, poverty worsens the key economic challenges we face. It lowers productivity and limits spending power, which undermine the strong economy we need for the future.

Yet the human cost of child poverty is the greatest of all. When a Sure Start children’s centre is lost, it closes a door on opportunity. That is penny wise but pound foolish and it must end now.

The smarter approach is to recognise that a child’s earliest years are critical to their future life chances. The weight of expert opinion in favour of early intervention is overwhelming. So that must be our priority, because it is a smart investment for the future and it will change lives today.

This is the cause of our times. To end child poverty so that no-one is locked out of the opportunity for a better future. To stand in the way of a Government that seeks to pass by on the other side. Then to be in position to replace the Tories at the next election.

By doing so, we can answer that demand for change from people across our country. And we can provide security, opportunity, and hope to those who need it most.

That is how we can begin to build a fairer Britain.
 
 

Dan Jarvis is the Labour MP for Barnsley Central and a former Major in the Parachute Regiment.