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Inside the low wage economy..


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Psychology was the popular course when I was at uni. Those guys on TV telling us what was going on in the minds of Big Brother contestants seemed to spark popularity. Is there now an oversupply of them?

 

I think art students and geography students end up in the lowest paid graduate jobs. There are too many for the vacancies. No wonder some end up at Costa in debt.

 

I think most of us know people that have degrees in abstract subjects that end up on minimum or low income. It must be heart breaking to spend all that time and money attending Uni to end up on minimum wage with student debts to service.

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I think most of us know people that have degrees in abstract subjects that end up on minimum or low income. It must be heart breaking to spend all that time and money attending Uni to end up on minimum wage with student debts to service.

 

I agree. But as TinFoil pointed out, not all jobs require a degree. And if you have a geography degree and there are X jobs but Y graduates and Y > X.....Well....people with degrees will end up overqualified for the work they find.

 

Who's daft idea was it to send everyone to university and charge them a fortune for the privilage?

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Are you saying that water rates, electricity bills and rent/mortgage is avoidable then?

 

I don't see how you get that from my post.

 

You asked why it only takes out council tax and I said why. That's because of what it chooses to measure. The reason being I suspect is because whilst you generally have to pay for water rates, electric etc, these are not taxation and the amount for them is under the direct control of the property occupier - you can have metered water - you can if you choose have no electricity if you really want etc...

 

But you cannot avoid PAYE and CT.

 

It does in fact tell you why they use this measure on the website after a bit of poking...

 

Why net income?

 

Net income is total income minus direct taxes (income tax, national insurance and council tax), and includes the value of any social security benefits received. This is the income that people have available to buy goods and services, so it is a better measure of material living standards than pre-tax income or some measure of earnings alone. There is no definition of income that gives a perfect measure of living standards, but given the data available this is probably the best.

 

Why is income measured at the level of the household?

 

The welfare of any one individual in a household will depend not only upon their own income, but also on that of other household members. By measuring income at the household level, we are implicitly assuming that all individuals within the household are equally well off and therefore occupy the same position in the income distribution. In practice that will probably not be true, but it is perhaps the least arbitrary assumption we can make.

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Shocked how? Minimum wage jobs are hard. We've all been there at some point in our lives, I did factory work, night shifts, worked in fields etc when I was studying at uni, alongside people who had been working in those places all their lives. Some people never better themselves and that's where they stay. At least there is a minimum wage.

 

Plus I'm sure you'll appreciate the power of editing and bias in programmes such as this, in the same way it applies to 'Benefit Street' and other sensationalist documentaries of their ilk.

 

I'm glad that some recognise this, but I'm not certain that others do. The credo if modern times seems to be that hard work will be rewarded. Unfortunately that is becoming less and less the case, where increasingly it's not how industrious you are or what you know, but who you know is becoming key.

 

I do want to emphasise that many in low paid work, particularly in the health and social care sector, have a huge sense of vocation to their clients. And the fact that they remain in those jobs doesn't mean that they haven't 'bettered' themselves.

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He could have got a taxi like the 2 women in front of him did...

 

Any idea how much a taxi would have cost? If you are unemployed (I don't think he was, but he was self employed on a very low income, self employed,) can you afford to speculate in this way?

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Any idea how much a taxi would have cost? If you are unemployed (I don't think he was, but he was self employed on a very low income, self employed,) can you afford to speculate in this way?

 

You do it all the time...the two women in front of him managed it....

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Yep, it does.

 

So this

 

 

Must be referring to actual earning (ie not everyone works full time), whereas the median is for FTE.

Either that or the >50% earn <20k is just wrong...

 

If you scroll down the page you linked to figure 5, I think this has the combined median (including part time) as about £425, that's £22100 which is getting closer to 50/50 around 20k.

 

It would be interesting to know what the mode average is. That might produce >50% earn <20K

 

---------- Post added 24-08-2016 at 18:53 ----------

 

You do it all the time...the two women in front of him managed it....

 

Some people in this position wouldn't even have the taxi fare available. A lot of these people live hand to mouth. No spare cash for taxis. Ever.

 

---------- Post added 24-08-2016 at 18:56 ----------

 

Programme about to start (7.0pm) on BBC2 'Britain's hardest workers: inside the low wage economy.' This is number 3 of 5, but each episode can stand alone, each looking at a different type of work.

Followed by 'Can Britain have a pay rise?' at 8.0pm

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It would be interesting to know what the mode average is. That might produce >50% earn <20K

 

---------- Post added 24-08-2016 at 18:53 ----------

 

 

Some people in this position wouldn't even have the taxi fare available. A lot of these people live hand to mouth. No spare cash for taxis. Ever.

 

---------- Post added 24-08-2016 at 18:56 ----------

 

Programme about to start (7.0pm) on BBC2 'Britain's hardest workers: inside the low wage economy.' This is number 3 of 5, but each episode can stand alone, each looking at a different type of work.

Followed by 'Can Britain have a pay rise?' at 8.0pm

 

The modal average??? Who uses that?

 

Normally the mean or median are used and outliers are rejected before calculation.

 

What use is the mode??????

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