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Poverty and Ethnicity
Tackling poverty effectively across
all ethnicities



Helen Barnard   23rd November 2012
Poverty and Ethnicity – the big picture

• Poverty higher for all ethnic minority groups than for
  White British people

   • But varies between ethnic groups




  Poverty and Ethnicity
Poverty rates by ethnicity
Poverty and Ethnicity – the big picture (2)
•   Great variations
     – Across different ethnic groups and sub-groups
     – Men and women
     – Age and generation
     – Disability

•   Considerable inequality within groups
         • More than between them
     – Particularly high inequality among ‘Chinese’, ‘African’ and Indian
       groups

     – PLACE: The same groups do very differently in different places
        • Education, labour markets, care provision, other services
        • Who’s there
            – History
            – Qualification levels
            – Job types: sector and level

       Poverty and Ethnicity
Key factors driving poverty - and influenced
by ethnicity


   • Education

   • Employment

   • Caring




  Poverty and Ethnicity
Education (1)
•   Ethnicity, socio-economic status and gender affect education most
•   Socio-ec status = biggest driver (effect is 3 times greater than ethnicity)
•   Varies greatly by age, stage + school and area
•   Primary school
     – Indian, Bangladeshi & Chinese children’s attainment lower at start
     – But progress varies: Indian & Chinese pupils make most progress
     – Poorer progress among Black and low income white pupils
•   Secondary school
     – Decline in achievement of black Caribbean students
          • Evidence of issues around teacher expectations
     – Indian and Chinese pupils get best results
     – Black African, Pakistani and Bangladeshi students also have higher
        results than equivalent White British pupils
     – Young Travellers have lowest achievement

    Poverty and Ethnicity
Education (2)
•   Education after 16
     – Young people from ethnic minority groups + poorer backgrounds
       more likely to go to FE colleges than 6th forms
        • Affects access to university, degree attainment and labour
           market outcomes
     – Low take up of apprenticeships and vocational qualifications
       among many minority ethnic groups + poor progression
     – Many minority ethnic groups over-represented in higher education
        • Except black Caribbean men
        • White men from low income backgrounds also under-
           represented
     – Differences in value of degrees in labour market
        • Disadvantages many minority ethnic students
        • Institution, subject, attainment and route into university

    Poverty and Ethnicity
Employment
• Work as a route out of poverty isn’t equally
  effective across groups

• Several reasons

     – First, different levels of unemployment and
       inactivity
         • Higher unemployment among all ethnic
           minority groups



Poverty and Ethnicity
Unemployment rates




Poverty and Ethnicity
Employment (2)
     – Second, differences in amounts of work

         • Levels of part time work and self
           employment

         • Sustainability and progression




Poverty and Ethnicity
Poverty and Ethnicity
Employment (3)

• Third, different levels of pay

• Lower pay for people from many minority groups
– Despite higher qualifications in some cases
– Pay gap partly due to working in different sectors
  and job types
– But also when doing equivalent jobs




Poverty and Ethnicity
Hourly pay gaps by ethnicity and gender

•   Compared to White British men many groups earn less per
    hour
     – Pakistani men earn 22.9% less
     – Bangladeshi men 20.9%
     – Black African men 17.8%

    –   Indian women 14.3%
    –   Pakistani women 25.7%
    –   Black Caribbean women 13.9%
    –   Chinese women 9.4%
Poverty and Ethnicity
Poverty and Ethnicity
Employment (4)
•   In-work poverty
     – Types of jobs people get: sectors and levels
     – Working below qualification level, part time work and self-
        employment
     – Retention and progression
•   Interaction between decisions made by job seekers and
    employees and employers’ attitudes and behaviour
•   Recruitment, pay, flexibility, training, promotion, retention, culture
•   Big variations by size of employer, sector, location, workforce
    diversity
•   Discrimination
•   Workplace culture
•   Need to look at ethnicity alongside gender, age, disability etc.


    Poverty and Ethnicity
Caring (1)
• Families need enough income to be out of poverty and
  to care for children and adults appropriately

• Ethnicity important in relation to:
   – Women’s employment: education, occupation,
     ‘choices’ about work and care
   – Attitudes towards unpaid caring and professional
     care
   – Social capital, support networks and resources
   – Care provision: cultural sensitivity and awareness
Caring (2)

• Little detailed evidence for many ethnic groups
• Some general patterns
• Demand for care: numbers and type
   – Children: Bangladeshi and Pakistani families
      tend to be bigger and start earlier
   – Poor health among Bangladeshi and Pakistani
      women + older people
   – More long-standing illness among some other
      minority ethnic groups
   – New migrants less likely to have dependents
Caring (3)
• Patterns changing fast

     – Rising numbers older people among previously
       ‘young’ groups
         • E.g. projections for Birmingham: by 2026
           nearly 3 x Bangladeshis over 65, 5 x
           Africans over 65, fewer white people over 65

     – Declining numbers of children in South Asian
       families


Poverty and Ethnicity
Caring (4)
• Trade offs between caring and earning
   – Work available is crucial
      • Do jobs pay enough for formal care?
      • Low paid work can lack the flexibility carers
        need
   – Care provision
      • Distribution of care services and jobs very
        variable
      • Can have major effect on attitudes to using
        paid for care
      • Resistance often focused on specific
        concerns about what is available
Poverty and Ethnicity
Conclusion
•   Differences between ethnic groups
     – Including white minorities, small groups, new groups
•   Diversity within ethnic groups
•   Other factors also important: gender, age, disability, religion
•   Variations between the same group in different places
•   Dos and don’ts
     – Avoid white/non-white analysis where-ever possible
     – Don’t rely on national patterns
     – Be sceptical of broad brush assumptions
     – Find out who is in each area in as much detail as
        possible
     – Explore work patterns, qualification levels, job clustering
     – Understand specific opportunities and barriers


Poverty and Ethnicity
Coming soon from JRF
• Current major research projects: to be published early
  2013
   – Employer behaviour, workplace culture and
     progression
   – Local labour markets
   – Caring and earning
   – Social networks

     – Northern Ireland
     – Wales


Poverty and Ethnicity

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Chapter 2
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Ne cp commission event hb pov eth pres nov 2012

  • 1. Poverty and Ethnicity Tackling poverty effectively across all ethnicities Helen Barnard 23rd November 2012
  • 2. Poverty and Ethnicity – the big picture • Poverty higher for all ethnic minority groups than for White British people • But varies between ethnic groups Poverty and Ethnicity
  • 3. Poverty rates by ethnicity
  • 4. Poverty and Ethnicity – the big picture (2) • Great variations – Across different ethnic groups and sub-groups – Men and women – Age and generation – Disability • Considerable inequality within groups • More than between them – Particularly high inequality among ‘Chinese’, ‘African’ and Indian groups – PLACE: The same groups do very differently in different places • Education, labour markets, care provision, other services • Who’s there – History – Qualification levels – Job types: sector and level Poverty and Ethnicity
  • 5. Key factors driving poverty - and influenced by ethnicity • Education • Employment • Caring Poverty and Ethnicity
  • 6. Education (1) • Ethnicity, socio-economic status and gender affect education most • Socio-ec status = biggest driver (effect is 3 times greater than ethnicity) • Varies greatly by age, stage + school and area • Primary school – Indian, Bangladeshi & Chinese children’s attainment lower at start – But progress varies: Indian & Chinese pupils make most progress – Poorer progress among Black and low income white pupils • Secondary school – Decline in achievement of black Caribbean students • Evidence of issues around teacher expectations – Indian and Chinese pupils get best results – Black African, Pakistani and Bangladeshi students also have higher results than equivalent White British pupils – Young Travellers have lowest achievement Poverty and Ethnicity
  • 7. Education (2) • Education after 16 – Young people from ethnic minority groups + poorer backgrounds more likely to go to FE colleges than 6th forms • Affects access to university, degree attainment and labour market outcomes – Low take up of apprenticeships and vocational qualifications among many minority ethnic groups + poor progression – Many minority ethnic groups over-represented in higher education • Except black Caribbean men • White men from low income backgrounds also under- represented – Differences in value of degrees in labour market • Disadvantages many minority ethnic students • Institution, subject, attainment and route into university Poverty and Ethnicity
  • 8. Employment • Work as a route out of poverty isn’t equally effective across groups • Several reasons – First, different levels of unemployment and inactivity • Higher unemployment among all ethnic minority groups Poverty and Ethnicity
  • 10.
  • 11.
  • 12. Employment (2) – Second, differences in amounts of work • Levels of part time work and self employment • Sustainability and progression Poverty and Ethnicity
  • 14. Employment (3) • Third, different levels of pay • Lower pay for people from many minority groups – Despite higher qualifications in some cases – Pay gap partly due to working in different sectors and job types – But also when doing equivalent jobs Poverty and Ethnicity
  • 15. Hourly pay gaps by ethnicity and gender • Compared to White British men many groups earn less per hour – Pakistani men earn 22.9% less – Bangladeshi men 20.9% – Black African men 17.8% – Indian women 14.3% – Pakistani women 25.7% – Black Caribbean women 13.9% – Chinese women 9.4%
  • 18. Employment (4) • In-work poverty – Types of jobs people get: sectors and levels – Working below qualification level, part time work and self- employment – Retention and progression • Interaction between decisions made by job seekers and employees and employers’ attitudes and behaviour • Recruitment, pay, flexibility, training, promotion, retention, culture • Big variations by size of employer, sector, location, workforce diversity • Discrimination • Workplace culture • Need to look at ethnicity alongside gender, age, disability etc. Poverty and Ethnicity
  • 19. Caring (1) • Families need enough income to be out of poverty and to care for children and adults appropriately • Ethnicity important in relation to: – Women’s employment: education, occupation, ‘choices’ about work and care – Attitudes towards unpaid caring and professional care – Social capital, support networks and resources – Care provision: cultural sensitivity and awareness
  • 20. Caring (2) • Little detailed evidence for many ethnic groups • Some general patterns • Demand for care: numbers and type – Children: Bangladeshi and Pakistani families tend to be bigger and start earlier – Poor health among Bangladeshi and Pakistani women + older people – More long-standing illness among some other minority ethnic groups – New migrants less likely to have dependents
  • 21. Caring (3) • Patterns changing fast – Rising numbers older people among previously ‘young’ groups • E.g. projections for Birmingham: by 2026 nearly 3 x Bangladeshis over 65, 5 x Africans over 65, fewer white people over 65 – Declining numbers of children in South Asian families Poverty and Ethnicity
  • 22. Caring (4) • Trade offs between caring and earning – Work available is crucial • Do jobs pay enough for formal care? • Low paid work can lack the flexibility carers need – Care provision • Distribution of care services and jobs very variable • Can have major effect on attitudes to using paid for care • Resistance often focused on specific concerns about what is available Poverty and Ethnicity
  • 23. Conclusion • Differences between ethnic groups – Including white minorities, small groups, new groups • Diversity within ethnic groups • Other factors also important: gender, age, disability, religion • Variations between the same group in different places • Dos and don’ts – Avoid white/non-white analysis where-ever possible – Don’t rely on national patterns – Be sceptical of broad brush assumptions – Find out who is in each area in as much detail as possible – Explore work patterns, qualification levels, job clustering – Understand specific opportunities and barriers Poverty and Ethnicity
  • 24. Coming soon from JRF • Current major research projects: to be published early 2013 – Employer behaviour, workplace culture and progression – Local labour markets – Caring and earning – Social networks – Northern Ireland – Wales Poverty and Ethnicity

Hinweis der Redaktion

  1. Sub-groups include those based on religion, caste, place of origin, migration history Qualification levels changing fast for some groups – e.g. many more women in some groups getting higher education. Aspirations also changing. E.g study in 2006 looking at ethnic minority women in 5 different places. showed very different positions for the same groups in different places Employment rates for same group in different areas: e.g. Pakistani women’s emp. 3x higher in Camden than Newcastle. 29% of Black African women in full time work in Camden vs 40% in Southwark. Big differences in the kinds of jobs and industries the women concentrated in and what the issues were in terms of getting more into work, helping them keep jobs and in terms of progressing in work to move out of poverty.
  2. effect = 3 times greater than ethnicity – in secondary school, differences between results of richer and poorer children are 3 x as great as different between children from different ethnic backgrounds who are equally disadvantaged. Gender gaps also important and appear in every group. But relationship between ethnicity, other factors and education isn’t consistent: varies on age and stage of schooling
  3. Minority ethnic students tend to be concentrated in newer universities in urban areas. residential concentration in those areas (minority ethnic students are more likely than white students to study in their home town) differences in entry requirements courses available preferences for living at home or in a diverse area student views about particular universities # and apparent bias in admissions at some universities. In particular, high tariff universities have a strong bias towards ‘traditional’ entrants (with A levels, applying from school), who are less likely to be from an minority ethnic background (Purcell, et al ., 2009). The class of degree affects how it is valued by employers. Overall, minority ethnic students are less likely to achieve a higher degree class than white students. Exceptions to this are the ‘other black’, ‘mixed’ and ‘other’ groups (Broecke and Nicholls, 2007). One of the key reasons for the lower likelihood of some students to gain a first class degree seems to be their path into university. Those who go to university with A levels or Highers are more likely to achieve a higher class of degree than those with other qualifications (Richardson, 2008).
  4. We know a fair amount about patterns of pay, where people work etc Much less about why – what adds up to those patterns And as discussed earlier, big variations across different places and local labour markets. Two major projects in our programme are looking at this area – one on differences between local labour markets and another at employer behaviour and informal workplace culture, especially around progression.
  5. National Audit Office report, 2008, Increasing employment rates for ethnic minorities
  6. National Audit Office report, 2008, Increasing employment rates for ethnic minorities
  7. We know a fair amount about patterns of pay, where people work etc Much less about why – what adds up to those patterns
  8. National Audit Office report, 2008, Increasing employment rates for ethnic minorities
  9. Pay Gaps Across Equalities Areas, An analysis of pay gaps and pay penalties by sex, ethnicity, religion, disability, sexual, orientation and age using the Labour Force Survey Simonetta Longhi and Lucinda Platt, Institute for Social and Economic Research, University of Essex EHRC 2008
  10. Palmer and Kenway 2007, JRF,
  11. We know a fair amount about patterns of pay, where people work etc Much less about why – what adds up to those patterns And as discussed earlier, big variations across different places and local labour markets. Two major projects in our programme are looking at this area – one on differences between local labour markets and another at employer behaviour and informal workplace culture, especially around progression.
  12. We’re funding a major project looking at how ethnicity affects caring and earning and hoping to start plugging some of the gap.
  13. Birmingham: currently 1 in 8 people over 65 are from minority ethnic group. By 2026 will be 1 in 4.
  14. Attitudes to using professional care aren’t as fixed as is sometimes assumed. Can be very variable between places and sub-groups.
  15. Hopefully we can feed in the findings from those projects to on-going discussions after today. Nb Ethnicity spread in Phase 1 Pov Eth projects Local Labour Markets East African Asian Pakistani African Caribbean   Caring Pakistani Caribbean Somali   Social Networks Somali Chinese Bangladeshi Pakistani Polish   Wales Polish White British/White Welsh Somali Pakistani/Bangladeshi     Employers – mix Northern Ireland review + qual with Polish, Somali, Roma, Chinese follow up: TBC   Locations Caring and earning – London Employers – Scotland, England, rural + city Social networks – Birmingham, Liverpool and Cumbria Local labour markets – TBC, England and Scotland Wales - The North Wales Coast, the valleys, Cardiff, Carmarthenshire.