Social Security Policy in a Changing Labour Market

Steven Webb

Oxford Review of Economic Policy, 1995, vol. 11, issue 3, 11-26

Abstract: Conditions in the UK labour market of the 1990s are markedly different from those which prevailed in the post-war period when the modern welfare state was created. The main differences include a growth in long-term unemployment, in female part-time employment, and in low-paid employment and self-employment. In some respects, social security policy has adapted to reflect these new patterns. The clearest example of this is the introduction and enhancement of in-work benefits, such as Family Credit. However, two of the main strands of benefit policy in recent decades--greater reliance on family-based means-testing and an increased role for private insurance--do not fit so well with labour-market trends. In the case of the privatization of mortgage insurance the result is likely to be further redistribution away from those in insecure or low-paid employment. Copyright 1995 by Oxford University Press.

Date: 1995
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