Influence of Work–Welfare Cycling and Labour Market Segmentation on Employment Histories of Young Long-Term Unemployed

Abstract

The onset of the 'Great Recession' from 2008 was associated with a significant increase in long-term unemployment among young people. Work-welfare cycling has been put forward as a contributory factor. Drawing on a large-scale survey of long-term unemployed young people, this article argues that segmented labour market theory provides a strong explanatory framework for understanding the nature of long-term unemployment among young people, with the literature on work-welfare cycling contributing to an understanding of one of the processes by which precarious employment impacts on employability and labour supply. A second key finding is the heterogeneous nature of the young long-term unemployed, which in turn requires policy responses more customised to the needs of the different groups.

A Capability Approach to Understand the Scarring Effects of Unemployment and Job Insecurity: Developing the Research Agenda

“…This is important because a qualitative judgement of individual situations is crucial. For example, the combination of scarring and a low-paid job may result in cycling in and out of the labour market, involving difficulties with welfare benefits and potential use of food banks (McBride et al, 2018; McTier and McGregor, 2018; Shildrick et al, 2012). In turn, in a dual-earner household with previous spells of unemployment, undertaking a low-paid job may be a valued individual/household strategy for reasons of flexibility that enable care for dependants (Leßmann and Bonvin, 2011) rather than a clear-cut reflection of scarring.…”

“…The CA is therefore a stark contrast to the neo-liberal underpinnings of workfare states, which purport to raise self-initiative (Dörre, 2015) while attaching value only to income-generating activities, using sanctions and compulsions to compel and enforce individual choice (Friedli and Stearn, 2015; Wright, 2012, 2016). Such contradictions make agentic and individually valued decision-making impossible, and problematically frame paid work as a panacea (McTier and McGregor, 2018; Shildrick et al, 2012). This is a key contribution of the CA, in that it highlights the role of demand-side issues in an individual’s labour market experiences, while ALMPs to date have largely been supply-side focused (Egdell and Graham, 2017; Egdell and McQuaid, 2016).…”

“…Following the 2008 economic recession, unemployment increased across Europe (Eurostat, 2014), with youth unemployment rates a particular concern for governments (European Commission, 2013). Alongside rising unemployment, precarious employment became a prominent labour market status, often leading to later long-term unemployment (McTier and McGregor, 2018). Research shows that future employment, job quality and well-being may be compromised by periods of unemployment and/or a poor start in the labour market (Brandt and Hank, 2014; Gallo et al, 2006), with the latter characterised by low starting wages, inadequate job match, employment instability and/or repeated unemployment spells (Cockx and Picchio, 2013).…”

The Impact of Unemployment and Non-Standard Forms of Employment on the Housing Autonomy of Young Adults

“…Over the course of the last recession, unemployment in the UK was over 35% among 16-17-year-olds and was 17% among 18-24-year-olds, compared to just under 6% among other age groups (Bell and Blanchflower, 2010). While youth unemployment has declined modestly in recent years, it remains high and sensitive to business cycle fluctuations (McTier and McGregor, 2018). Moreover, when they are employed, young workers are increasingly hired into non-standard forms of employment.…”

Varken resurs eller problem: om lågutbildade ungas etablerings- och försörjningsmöjligheter

“…1 Det ökar behovet försörjningsstöd. Situationen för tankarna till det redan nämnda fenomenet som inom välfärdspolitisk kallas work-welfare cycling (McCollum 2012a(McCollum , 2012bMcTier & McGregor 2017) och som syftar på att stora grupper av unga, migranter och lågutbildade tenderar att fastna i pendelrörelser mellan kortvariga och okvalificerade jobb och arbetslöshetsperioder med begränsat socialt understöd. En ytterligare aspekt är att det finns en grupp unga som varken studerar eller arbetar, eller arbetar i en ytterst begränsad omfattning, och som inte heller fångas upp av samhällets skyddsnät.…”