Youth and Inequality - The University of Auckland

Youth and Mobility
ALAN FRANCE
The Exam
Section A: Compulsory Question - worth 20 per cent of the marks
Compare and contrast the way that social policy for 16 to 24 year olds in two
countries have developed since the late 1990s. Give special attention to policies and
practices that aim to increase social mobility and help young people move into
adulthood. As a part of this discussion you may wish to explore the different types of
welfare regimes, the different approaches to social policy that have been influential at
particular time periods and the impact of neoliberalist approaches. Some
consideration of the impacts of GFC (Great Financial Crisis) on youth policy in these
countries would also be appropriate.

Spend no more than an hour on this….
The Exam
Section B: Answer only 4 questions. Each question is worth 5 marks – total
score for this section is 20 marks

4 questions – 15 minutes each on maximum

Select from critical concepts – 12 options

Will be looking for examples – from New Zealand or other countries

No restriction (i.e. if you wrote an essay about it/ or its was one of your critical concepts
that is OK)

Includes one on the impact of social policy on Maori young people (not on Whanau
Ora)

Does not include one on international mobility
The Exam
Section B: Answer only 4 questions. Each question is worth 5 marks – total score for this
section is 20 marks

4 questions – 15 minutes each on maximum

Strong focus on seminar titles

Most will be looking for examples – from New Zealand

No restriction (i.e. if you wrote an essay about it/ or its was one of your critical concepts that is OK)

Includes one on the impact of social policy on Maori young people (not on Whanau Ora)
The Budget: What’s in it for the Young

Income tax: The $14,000 tax threshold is raised to $22,000 and the $48,000 threshold
to $52,000. The government estimates this will mean $11 a week more for people in the
lower threshold and up to $20 a week more for those in the higher band. No change to
minimum wage levels though…

The 1% increase across-the-board tuition subsidy increase announced today is below
the expected Consumer Price Index of 2.2%. So university funding is not keeping up
with cost increases. Who will fund the shortfall….

The accommodation benefit paid to students will also increase, by up to $20 per week.

The Ministry of Social Development will get $4.1m to trial integrated employment and
mental health services….could provide new services for the young?
Overview
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Youth and Mobility across boarders

Youth and international student movement
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Youth and mobility – leaving home
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Youth and generational inequality
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Youth and social mobility
Youth and Mobility – the movement across
boarders

In contemporary times movement of populations across national boarders has increased
substantially

immigration/ emigration

Refugees and impact of wars

education

But not new – historically always been movement i.e. Romans invading UK/ Colonialism and
discovery of new lands/ many of your grandparents/ parents moved here in search of new life/
work opportunities

But what makes it more unique is the amount of movement and the ease – new technology/
lower prices accessibility – pace increased massively over last 40 years
The growth of youth migration

Definitional problem – inclusion of irregular migrants/ refugees and Asylum seekers plus international students

Migration been increasing over 30 years – 154 million in 1990 to 175 million in 2000 221 million in 2010 and 232
Million in 2013

Young people more likely to migrate than older people – peak age tends to be in middle to late twenties

Although those aged between 15 – 24 account for on average 1 in 4 of all migrants (over 28 million in 2013)

Young men more likely to migrate than young women

59% of all these migrated to developed countries (usually from less developed countries) – although a growing
body of evidence shows more young people moving between developed nations i.e. Poland to UK

There is also a lot of regional migration i.e. China and South Korea to Japan and New Zealand to Australia

GFC – initially a tightening up of migration but by 2010 many countries relaxing legislation and created a
international temporary ‘reserve army of labour’ - flexible and easily available

UK saw large influx from Spain, Portugal and Italy – employed in low paid occupations – and increased risk of
unemployment
So why are the young migrating ?

Push and pull factors?

The importance of understanding within a life course analysis ‘Migration is
a process involving various family members and other acquaintances
which create a broader form of community which stretches beyond
boarders (Geisen, 2010p12)’

But also strongly connects to life planning/ biography building – not taken
lightly (massive life changing impact) – for the young tend to be about
making a new future
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Comparison to the life they are leading in their own country
Often, the main driving force behind youth migration
(particularly international migration) is the magnitude of
perceived inequalities in labour market opportunities, income,
human rights and living standards between the countries of
origin and destination (Cortina et al, (2014) Migration and
youth: Challenges and Opportunities, Paris UNICEF)
Who are migrants?

Not just the poor…..

Growth of affluent middle class – with high skills and wealth to invest
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Also National policies are increasingly encouraging such groups..
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Countries make special provision i.e. NZ and Christchurch but Australia around mining –
these are highly educated/ or with skills that are in short supply
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But also there are preferential channels for those with money and offering to invest in NZ

China is a major target group – 10 million people migrated in 2013 over 60% of them had
over $1.5 million in assets

Increasing entrepreneurial categories – Australia Business Innovative Stream – migrants
need $800,000 – others too if you have $5 million to invest access is almost guaranteed

NZ, UK and Canada all have similar schemes….money can open a lot of doors….
International student (IS) migration
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Largest group of migrants are students (Australia 37% of all migrants are students)

Part of economic strategy of universities – UK income of £3.5 billion in 2012

Is also a part of skill building strategy of national economies – over 25% of international
students stay in the country they are educated

Countries receiving most international students – Europe has over 40% of all students
studying abroad (all within Europe movement high) North America had 21% of IS again
though Canadians likely to study in US (57% of all Canadians study in US) In Australia and
NZ – over 15% of student body
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Where do they come from – Asian students (55% of all IS – highest in Japan – 93% and
Australia – 81% New Zealand 68% of IS cohort from China)

Who are they?
Sourced from OECD (2014: 344) Education at a glance
Sourced from OECD (2014: 349) Education at a glance
A changing direction….
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More recently we are seeing a growing unease with this and a number of
countries who are aiming to limit / control
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USA and Trump

UK and Brexit and changing immigration rules…

Australia and its new immigration rules
https://www.theguardian.com/uk-news/2017/may/25/surge-in-poles-leaving-uk-since-brexitvote-fuels-net-migration-drop
http://www.bbc.com/news/world-australia-39626389
Recognising the historical, social and cultural context
of leaving home….
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Historical – children in the UK use to leave home early – Victorian times girls went into service/
boys into live in apprentiships – by 16 or 17 most young people had left home
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This changed as schooling became compulsory and new pathways into work emerged – school
to work transitions at 16 – 18 increased age leaving home – and continued to grow
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But cultural variations
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UK going to university as a pathway to independent living (less so in Australia/ New Zealand)

Norway substantial investment early in a young persons life by family to support young person leaving
home
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In Southern European States – Spain/ Italy and Greece – strong social family ties mean they stay at
home longer

Also level of state support critical – in Spain little financial support for young people leaving home before
they are 30 assumed that family will support them – over last 20 years erosion of state support in
countries such as Australia/ UK and New Zealand

Eastern Europe – lack of housing opportunities and poor wages (i.e. In Poland) make it difficult –
although recent migration trends are seeing young people take alternative steps
Recent developments
Leaving home trends
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Leaving home has over the last 30 years been getting later…
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In Europe it is not unusual that young women leave the family home two to three years earlier than young men

Similar in Japan where 90% of young women would be married between 21 and 29 (unlike Spain – 75% married by
age 30)
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Strong class differences – that those from lower manual groups/ low SES tend to leave home later – less resources
and difficulty of parents helping them leave home – although some evidence that shows being unemployed and living
in house with parents on benefit sees young people leave home earlier…
Recent developments

In 2011, more that 50 percent of the 25- to 34-year-olds in Greece, Bulgaria, Slovakia and Malta still lived in their
parents' homes
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In Portugal, Italy, Hungary and Romania more than 40 percent of those in this age group remain at home

most northerly member nations, where less than 5 percent of 24- to 34-year-olds in Finland, Sweden and Denmark
continue to live at home. In Germany, the level is 14.7 percent.

The New Zealand 2013 Census showed that just under 150,000 20 to 34-year-olds are living in the family home, up
from 131,289 in 2006 and 116,067 in 2001
Young Adults aged 20 -34 living with parents in the
UK, 1996 -2013
Trends in the US
Australia Aged 18 – 34 years old (2014)
SELECTED LIVING ARRANGEMENTS OF YOUNG ADULTS(a)
(a) Aged 18-34 years.
(b) And not living with a partner or child.
(c) Includes registered marriages and de-facto relationships.
Source: ABS 1976 and 2011 Censuses of Population and Housing
UK Housing Tenure report 2015
The ‘boomerang generation’ - ‘the yo- yo’
generation– or a generation of ‘nesters’
Marketing term to describe the activities of the millenniums….
The Boomerangers….
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A place to relaunch yourself, to have a way of managing risk and insecurity

Able to rebuild resources and finances while working towards a career
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Those with a degree or from middle class families are using this more often
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Suggested that some graduates would leave home 5 – 8 times before they found permanent
accommodation
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‘double boomeranging’
The Nesters
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Those who become comfortable in the family home – refuse to leave
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Japan it has focused on the ‘freeters’ – claimed over 2 million young people are ‘stay-athome – and ‘parasite singles’ (young women who are delaying marriage –and enjoying
benefits of parents
‘Policy’ towards housing mobility

The expansion of parental responsibility beyond 18….lack of support from the
state
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The housing market – the focus on ‘fixing’ the problem of availability of ‘cheap’
homes
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The deregulation of the rental market – ‘buy to rent’ and (lack of) regulation of
landlords
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Reduction in social housing opportunities….
Youth and inequality; Between
generations
Baby boomers – stealing our future?
Youth incomes

2006 – 62% of adult rate

Been dropping and fell on average 1% across OECD countries

Variability between nations Spain -5% and UK -2%
Disposable incomes

Increased in real terms for early throughout the crisis across most OECD Countries

In New Zealand increased 4% for elderly and -1% for young people

Even when flat for young people (0) – elderly saw disposable income grow by between
2.5% and 3%
Income poverty increase for young people
(the ‘new’ poor)

OCED report (2014) showed that over the last 25 years youth replaced the
elderly as the group most likely to run the risk of income poverty – this was
increased throughout the GFC

Again differences between countries vary - Norway 28% chance of young
people being poor compared to 4% for the elderly Spain 17% compared to
7%

Risk of income poverty is also increased for the unemployed 18 – 25 year
olds – four times more likely than the elderly

Also 50% more chance of income poor for 18 – 25 year olds who live in a
single household
Generational divide?

http://www.bbc.com/news/business-36826166
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http://www.bbc.com/news/business-37508968
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http://www.bbc.com/news/election-2015-wales-35303678
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http://www.bbc.com/news/business-34858997
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http://www.nzherald.co.nz/nz/news/article.cfm?c_id=1&objectid=11731352
Intergenerational support and use of
resources

Important to recognise that inequalities exist within generations – it is not the case that
all baby boomers benefited or are benefiting…

That significant investment is being made by parents and families towards their
children – that the resources they have are being used to support their children

Grand parenting and child care is a massive growth area

The importance of ‘gifting’ can be as little as $20 to pay for petrol to helping them get
into the rental market – or even buying a house

But significant inequalities in this process…those with the resources able to make
more of an investment/ support – same pattern as helping them live at home

In fact what we see is that by the age of 38 existing inequalities have been maintained
and established – the transfer of wealth between generations does not happen at the
end of life but now happening earlier…
New Zealand and social mobility

‘Social mobility’, usually refers to an individual’s categorical movement up or down the
scale of socioeconomic classes

Education (and especially Higher Education) is seen as core to this process…it has a
transformative and life changing aspect that can help young people move from one class
to another – ‘third way’ politics supported massification to tackle the need for knowledge
workers in the new knowledge society – but it also claimed a social justice component

Measuring social mobility is a complex and contentious process – for example in New
Zealand:
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Do we have a class based society in New Zealand?
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How do we measure it - the use of SES indicators….(Social Economic Status)

When to measure it?
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Do we even measure people’s movement between SES groupings in New Zealand?
Class and inequality

Class is it relevant?

Growing inequality across the western world

60% of national income increase in the US between 1997 went to top 1% with those in the
top .01 done best

Wealth gap has also widened – with top 10% gaining significantly (with those in top 1% doing
best)

Inequality increases over the GFC – the pain of the crisis not shared equally incomes of
lowest 10% hit the hardest/ poverty increased and disposable incomes especially of the poor
were eroded

The rich are buffed and see their incomes either increase (top 10%) or flat-line and remain
stable
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http://www.bbc.com/news/education37554334?ns_mchannel=social&ns_campaign=bbc_politics&ns_source=twitter&ns_lin
kname=news_central
Class inequality

For young people we have seen throughout this course that those in the bottom three
quintiles or the lowest three SES groupings have done worse than others especially in
countries such as the UK, New Zealand and Australia

Increased participation in HE is dominated by the middle class (while vocational
training by the bottom three SES groups

Unemployment hits the poorest hardest

Zero contracts are the preserve of the poor and the best internships tend to be
accessed by the rich

Precarious work – while effecting the middle classes they are buffered by the
resources and cultural and social capital

Even in countries such as Norway those from the middle classes are four times more
likely to be in Higher Education than others
Gender and inequality

Evidence suggests young women have benefited from the changes – but
as we have seen how different are things?

Higher Education expansion built on growing participation of young
women but major gender segregation remains in terms of what courses
they do

They are more likely to be NEETs

More likely to be working in temporary, part time and insecure work

More likely to be paid less than young me for the same work
Indigenous groups and inequality

Again throughout the course we have seen the indigenous populations suffer far
worse that those groups connected to the colonial history

Young Maori and Aboriginals and Torres Strait more like to be unemployed, to be in
bottom three SES groups, to have the worst jobs and job futures, to be under
represented in HE

A Class question? Historically New Zealand Māori have been far behind European
New Zealanders in terms of wealth ownership and income levels, but since the 1980s
they have fallen even further behind.

Maori consistently shows households with a Māori adult as disproportionately
represented amongst the first three quintiles, and significantly under-represented
amongst those on high incomes

This is significant because at the same time real incomes of the bottom 60%
throughout this period declined while those in the top 20% increased