Nearly 360,000 people in work – 8.8% of the working population – do not earn enough to meet regular household needs, according to the NGO Caritas.
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Despite having a job, around 360,000 people in Switzerland struggle to make ends meet. The NGO Caritas warns that the extent of working poverty is being underestimated and is being worsened by rising living costs.
Caritas believes that Switzerland is not doing enough to tackle poverty. Ahead of the announcement of higher health insurance premiums, the organisation called on Monday for better support for people who work but are unable to meet household needs.
According to an example presented by Caritas on Monday, the salary of a full-time driver is barely enough to support his family of six in canton Zurich. The contribution towards his youngest son’s nursery fees exceeds their budget.
The organisation is calling for targeted measures to tackle in-work poverty, as the rise in health insurance premiums threatens to place an even greater burden on low-income households.
+ Poverty misunderstood in wealthy Switzerland
Nearly 360,000 people in work – 8.8% of the working population – do not earn enough to meet regular household needs, Caritas told journalists at a press event on Monday. If you take into account those living with them, this rises to over 820,000 people affected. The number of people in work at risk of poverty has never been higher since the current measurement method was introduced in 2014, according to the NGO.
Families with no financial buffer
Nearly half of the working-age people at risk of poverty – some 180,000 people – live with children. Caritas adds that people whose income is just above the poverty line are often not entitled to social assistance.
Households on the lowest incomes spend almost all their resources on fixed expenses and essential needs, said Aline Masé, head of the research and policy department at Caritas Switzerland. They therefore have little leeway to absorb new costs.
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Barriers to education
A lack of post-compulsory education increases the risk of in-work poverty, said Pierre-Alain Praz, director of Caritas Vaud. Those affected often hold low-paid jobs with irregular hours, leaving them with little means to fund retraining.
On-call work and hourly contracts also exacerbate precariousness. Some employees must remain on standby without knowing how many hours they will be allocated. Single parents are particularly vulnerable. They must balance work and childcare without being able to rely on a second income within the household.
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Caritas is calling for the introduction of a statutory minimum wage, as well as more predictable working hours and workloads. It also advocates expanding supplementary benefits for families and grants to enable working people to undertake further training.
Caritas points out that supplementary family benefits already exist in five cantons. The proposed grants would cover training costs, as well as any loss of income and childcare costs.
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Translated from French, reviewed by an English Department journalist.
