Notes on the Front

Commentary on Irish Political Economy by Michael Taft, researcher for SIPTU

Sacrificing Our Young

It is often stated that everyone has made sacrifices during this crisis.  Whatever about ‘everyone’, there are certain groups that clearly have ‘made sacrifices’; or, rather, have been sacrificed. And one of these groups is young people.

We have seen emigration rates rise substantially, high levels of unemployment, substantial cuts in social protection payments and even insults (the infamous ‘unemployment as a life-style choice’).  Let’s look at another grim metric – Eurostat’s severe material deprivation rate

As stated before, this benchmark is particularly dire.  Severe material deprivation is defined as enforced inability to pay for at least four of the following items:

To pay their rent, mortgage or utility bills * to keep their home adequately warm * to face unexpected expenses * to eat meat or proteins regularly * to go on holiday * a television set * washing machine * a car * telephone

Eurostat looks at the plight of young people throughout Europe, aged 15 and 29 years.  For 2012 this is the percentage of young people suffering severe material deprivation.

Youth Deprivation 1

Unsurprisingly, Greece leads the league.  But there’s Ireland right there at the top.  More than 13 percent – or more than one-in-eight young people live in severe material deprivation conditions.  This is more than double the average of other non-Mediterranean countries (a particular comparison given that our Ministers continually claim that we are not Greece or Italy, etc.).

The growth in severe material deprivation among young people over the course of the crisis has been alarming to say the least.

Youth Deprivation 2

The numbers accelerated after 2010 with the cumulative effects of the crisis and the cuts in social protection payments.

In percentage terms, the rise in severe material deprivation among young people here has been the highest in the EU-15 – even higher than Greece (though Greece started out at a very high rate prior to the crisis).  In Ireland, the rise has been 133 percent; for other EU-15 countries it has been 45 percent.

Another interesting stat is the distinction between young people living with parents and those not living with parents.  In this measurement, Eurostat uses 16 to 29 years.  We find that:

  • 11.9 percent of young people living with their parents suffer severe material deprivation
  • For young people not living with their parents, the figure rises to 15.4 percent

There are two points to note in all this.

First, our high levels of emigration have kept Irish severe material deprivation levels lower than what they would have been otherwise.  The following adds up the number of young people (15 -29) emigrating in the years 2010 – 2012 as a percentage of the population of young people in 2012.

Youth Deprivation 3

In 2012, there were approximately 900,000 young people aged 15 – 29.  In the three years 2010 – 2012, 165,000 emigrated – or 18 percent.  This far exceeds any other EU-15 country.  This is intended as a snapshot (more detailed analysis would look at net migration, etc.).  The point here is to imagine if our emigration rate was half of what it actually was, with 80,000 staying here.  It is reasonable to assume that deprivation rates and unemployment would be even higher.  And this doesn’t count the high levels of Irish emigration in 2013 and 2014.

The second point is that severe deprivation levels are likely to have increased in 2013.  While Eurostat hasn’t posted the Irish numbers yet, the CSO – using a different deprivation measure – shows deprivation to have increased among the general population, children and students.  So watch out for that deprivation bar to extend further.

While none of the above is too surprising given what we know about general deprivation rates, it should still shock us.  Becoming numb to high levels of deprivation merely feeds into the ‘new normal’ that is being prepared for us -  a new normal where high levels of poverty, debt, emigration and low-pay are somehow an unfortunate but unavoidable part of the post-recession landscape.

We shouldn’t’ accept this – even if some Minister comes along claiming that, like unemployment, youth deprivation is a ‘life-style’ choice.

2 responses to “Sacrificing Our Young”

  1. Trevor Quinn Avatar
    Trevor Quinn

    Nice piece Michael, it is one I have been monitoring.
    The youth deprivation can also be used as you will be aware in the bigger picture in relation to a living wage campaign with high levels of youth in exploitative employment and again a gender or equality issue as a good percentage in low paid incomes are female.
    It can also assist with positioning debate in relation to state pensions and private pension schemes. With the canabalising of the national pension reserve fund, the aging population, the exodus of young workers and the policy if creating low pay low security employments.
    All lead us to state PRSI employer policies and the FIS policies that plant the seeds of a very unequal work force , which directly impacts in society as a whole. Ability to become a homeowner, ability to fund third level education , ability to meet weekly household costs, ability to access Childcare , ability to have a productive and inclusive role in society.

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  2. Niall Avatar

    Michael
    There are a number of statistical issues with your post.
    Firstly, you are not comparing like with like, there is a massive variance in birth rates not just between countries but also over time.
    Secondly, some countries have also seen substantial levels of migration of children. For example Ireland saw substantial migration of children into the State in the 1990s.
    Thirdly, many European countries have more people retiring than entering the workforce. Germany is one example of this (Births in 1950 1.16M against 770,000 in 1994), but there are many others. Hungary for example had 195,567 births in 1950 and just 115,598 in 1994. As such, younger workers are at a premium.
    However, your Table does correctly identify the real under achievers such as Greece & Italy.
    I would suggest that there is a relationship between deprivation and migration, particularly those who have not progressed through the educational system. Many migrants do not have the social networks of the native inhabitants and without educational qualifications are at a double disadvantage.
    If you adjusted for long-term demographic trends, I would suggest that the Tables would look very different, in particular the Irish position. The exceptional birth rate and historical trends in migration, both out of and more recently into the country, make it very hard to compare Ireland without making the necessary recalculations,
    Niall

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Commentary on Irish Political Economy by Michael Taft, researcher for SIPTU