Pay inequality among men is being driven by the hours they work, according to findings from the Resolution Foundation.
In its report, Counting the hours, men in lower paid roles were found to be working fewer hours or part-time, with higher paid men working for longer. This trend has led to a ‘hollowing out’ of the male workforce, with fewer middle earners.
The findings showed that the share of low-paid men earning less than £175 a week had increased by 70 per cent over the past 20 years, while the share of higher-paid men earning more than £1,060 a week had increased by 15 per cent. However, middle-earning men – paid between £400 and £660 a week – had fallen by 15 per cent.
‘When people talk about the labour market ‘hollowing out’ they’re normally referring to mid-skilled jobs moving to other parts of the world, or disappearing altogether as a result of automation,’ commented Stephen Clarke, Policy Analyst at the Resolution Foundation.
‘But Britain’s real hollowing out problem has much more to do with the hours people are working than the rates of pay different jobs bring. The increase in earnings inequality among men is about the increasing number of low-paid men who are either reducing their hours or moving into part-time work, in some cases against their wishes.’
The report notes that the number of male part-time employees has increased by more than 50 per cent since 1997, while the number of hours that men work full-time has also changed. The average number of hours worked by low-paid men has fallen from 44.3 hours in 1997 to 42.2 hours in 2016, while it increased by 0.5 hours to 37.3 hours for high-paid men.
‘Stronger pay rises and finding work will always be the best and most direct way for households to boost their incomes. But being able to work the hours you want or need to get by also matter hugely,’ added Clarke.
