Women and the Economy

Toby Perkins Excerpts

Wednesday 9th December 2015 Commons Chamber

[Kate Green]

I am certainly not frit, Madam Deputy Speaker, because what I know from my constituency, as I think hon. Members across the House know from theirs, is that the investment we made in housing, hospitals, policing and schools benefited families and women. It grew the economy, created jobs and lifted 1 million children out of poverty, and I am proud of that record.

The Chancellor’s gender blindness is not confined to his fiscal decisions. The investment in infrastructure announced in the summer Budget and the autumn statement is of course welcome, but the investment in the social infrastructure that supports women to work, learn and care is sadly lacking. Where was the labour market strategy to help women prosper and progress in the workplace? I recognise—before hon. Members jump up to tell me—that there are more women in work, not least because the increase in the state pension age and inward migration means that there are more women of working age who must work, but women’s unemployment remains higher than pre-recession levels. For women over the age of 50 unemployment is 7% above the 2008 rate, and the Young Women’s Trust says that twice as many young women as young men are considered to be economically inactive.

[Toby Perkins (Chesterfield) (Lab)]

My hon. Friend is making the case—this is ironic when we hear the contributions from Conservative Members—that inequality is hitting our economy, and that far from Britain not being able to afford gender equality, we cannot afford not to get this right.

[Kate Green]

That is absolutely right. Our economy is losing out through women’s under-participation in the labour market. They are underperforming in earnings and therefore in their ability to provide the financial means to support themselves and their families and to contribute to the local economy. That leads to a drain on our public spending.

For women in work, low pay remains a significant issue. Since 2010, over half the jobs growth for women has been in low-paid sectors. In Scotland, six out of 10 jobs have been created in low-paid, more insecure sectors over the period of the majority Scottish National party Government. Seventy-eight per cent. of women work in low-paid social care, but 86% of workers in the STEM—science, technology, engineering and maths—industries, which pay much better, are men. According to the Young Women’s Trust, 20% of young women have been offered jobs paying less than the minimum wage. Meanwhile, as has been noted, the overall gender pay gap stands at 19.2 %—considerably higher than the European Union average—and has been falling more slowly than under the previous Labour Governments. That reflects a downward convergence between women’s and men’s wages, not women’s earnings rising to close the gap.