Income Support Policies for the Working Poor

Arbeitspapier

This paper asks what governments in the EU Member States and some US states are doing to support workers on low wages. Using model family simulations, we assess the policy measures currently in place to guarantee an adequate disposable income to working families, taking into account minimum wages, social security contributions, taxes and cash benefits. We show that despite increased efforts over the past decade, disposable incomes of certain types of minimum wage workers still fall well below the EU at-risk-of-poverty thresholds in many countries. Single earners with dependent children are especially at risk of poverty. We discuss the options for making progress.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: IZA Discussion Papers ; No. 10665

Classification and Topics

• Classification: Wirtschaft ; Welfare, Well-Being, and Poverty: Government Programs; Provision and Effects of Welfare Programs ; Labor Standards: Public Policy ; State and Local Government: Health; Education; Welfare; Public Pensions
• Subject: direct income support ; minimum wages ; in-work benefits ; in-work poverty

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Marchal, Sarah ; Marx, Ive ; Verbist, Gerlinde
• Event: Veröffentlichung
• (who): Institute of Labor Economics (IZA)
• (where): Bonn
• (when): 2017

Further information

• Handle: http://hdl.handle.net/10419/161288
• Last update: 10.03.2025, 11:42 AM CET