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LOW-PAID workers, already worst affected by the pandemic, are now on a jobs “rollercoaster” as the recovery begins, a new report warns.
Workers on low pay are now returning to their jobs fastest but face the risks of rising unemployment and low job security, according to the Resolution Foundation.
In March, the lowest-paid workers were more likely than the highest paid to have lost their job, been furloughed, or to have faced a cut to their hours and pay, the think tank’s research found.
While the outlook for low-paid workers is better than last year, the foundation warned that big risks lie ahead in the wake of the crisis.
Unemployment is expected to rise after the end of the furlough scheme in September and low-paid workers face the highest risk of losing their jobs later this year, it said.
The foundation called on the government to offer a new post-pandemic contract for low-paid workers given the turmoil they have experienced during the crisis.
Responding to the report, TUC general secretary Frances O’Grady said: “The pandemic has exposed the terrible working conditions low-paid workers across Britain face.
“Many have lost their jobs. Many have worked in front-line roles – in sectors like social care – on poverty pay and insecure contracts, and many have been unable to afford to self-isolate when sick.”
Gary Smith, the GMB union’s newly elected general secretary, said: “The pandemic has exposed the deep inequalities in the UK economy after a decade of politically driven austerity.
“It’s just wrong that carers are paid less than £10 an hour and millions in the so-called gig economy don’t even have basic employment rights, never mind decent pay.
“A furlough cliff-edge will also exacerbate pay inequality, increase unemployment and damage the credibility of the government’s ‘levelling-up’ agenda — killing off a recovery before the country gets back on its feet.”
Unison general secretary Christina McAnea said that reform of social care in workers’ favour is long overdue.
“The government must ensure that every employer in the sector pays its staff at least the real living wage,” she said.
“Fixing the problem of inadequate sick pay, [which has] forced care staff to carry on working when they should’ve been off isolating, should be a close second.
“That’s the very least the government should do. These would be the first steps on the long road to fixing the UK’s broken care system.”