Lowest paid workers least able to WFH, new RSA Future Work Centre analysis finds

The government should consider a French-style “key worker bonus” as part of its lockdown exit strategy, a thinktank suggests, as many key workers are among the lowest paid and least able to work from home.

Fresh figures from the RSA’s Future Work Centre find a strong link between pay and the ability to work from home, the results of which are to be published in a blog. Further data is available on request.

Data drawn from new ONS figures on homeworking and the Labour Force Survey shows that cleaners, retail sales assistants and low-skilled manufacturing or warehousing roles face a ‘double whammy’ of low wages and inflexibility. An inability to work from home puts these workers at greater risk of furlough, redundancy or catching the disease.

While many have suspected that low paid workers are likely to struggle to work from home, this data is the first to show a clear link.

 

Link to interactive graph with details of occupational categories. Full data tables available for data viz.

Retail workers, who have been key in maintaining supplies of food and essentials during the pandemic, have been particularly hard-hit. Just 3% report having ever worked from home, and the job market is contracting - 127,000 retail jobs were lost over the past decade (Table 1). These workers are among the lowest paid, with average wages of just £8.40.

Key occupations for keeping the country moving and healthy during the pandemic are among the least well remunerated - road transport workers and care workers are paid just £11 and £9.40 an hour respectively.

Other low-paid workers are also suffering. The least likely occupation to have worked from home, at just 2%, are ‘other elementary service occupations’, a group which includes waiters and bar staff.

Table 1: The 20 occupations least likely to ever have worked from home

	Average hourly earnings (£)	Percent ever worked from home	Total net change in jobs (2011-19)
Other Elementary Services Occupations	7.7	2%	67,493
Metal Forming, Welding and Related Trades	12.7	2%	-21,579
Elementary Process Plant Occupations	8.4	3%	-17,016
Mobile Machine Drivers and Operatives	11.3	3%	13,039
Sales Assistants and Retail Cashiers	8.4	3%	-126,526
Elementary Storage Occupations	10.3	3%	49,595
Plant and Machine Operatives	11	4%	18,725
Elementary Cleaning Occupations	8.5	5%	-57,483
Elementary Administration Occupations	11.1	5%	-22,766
Process Operatives	10.3	5%	-12,369
Elementary Sales Occupations	9.1	5%	-14,181
Elementary Security Occupations	9.6	5%	-14,398
Road Transport Drivers	11	7%	96,391
Construction Operatives	12.5	7%	18,246
Other Drivers and Transport Operatives	19.9	8%	16,475
Vehicle Trades	11.3	8%	32,538
Elementary Construction Occupations	10.8	8%	7,494
Sales Supervisors	10.8	9%	-24,298
Housekeeping and Related Services	10.1	9%	-10,560
Customer Service Occupations	11.1	9%	33,748
Caring Personal Services	9.4	10%	245,581

The analysis finds that those jobs most suited to working from home include jobs in IT, management and finance – jobs which come with healthy salaries, pensions and other workplace benefits.

The think-tank warns that while mobile, professional jobs have been expanding over the previous decade, certain ‘hi-touch’ roles have been too (Table 2), which cannot be carried out at home. Quarter of a million jobs (246,000) were added in ‘caring personal services’, along with 126,000 new nurses and midwives. The RSA warns workers in these jobs – which largely cannot be carried out from home – need adequate pay and worker protections.

Table 2: 20 fastest growing occupations by net change in total employment

	Average hourly earnings (£)	Percent ever worked from home	Total net change in jobs (2011-19)
Functional Managers and Directors	29.8	56%	476,268
IT and Telecommunications Professionals	24.7	55%	315,826
Caring Personal Services	9.4	10%	245,581
Business, Research and Administrative Professionals	23.6	55%	238,763
Teaching and Educational Professionals	19.3	58%	234,523
Business, Finance and Related Associate Professionals	21.5	40%	148,793
Production Managers and Directors	23.5	46%	145,458
Engineering Professionals	21.5	30%	144,536
Health Professionals	25.6	29%	135,061
Sales, Marketing and Related Associate Professionals	19.4	46%	130,341
Artistic, Literary and Media Occupations	14.9	58%	129,890
Nursing and Midwifery Professionals	17.2	11%	126,069
Other Administrative Occupations	11.5	18%	103,344
Road Transport Drivers	11	7%	96,391
Welfare and Housing Associate Professionals	13.3	28%	85,127
Therapy Professionals	16.7	31%	80,035
Public Services and Other Associate Professionals	16.7	40%	72,901
Customer Service Managers and Supervisors	13.7	36%	68,239
Other Elementary Services Occupations	7.7	2%	67,493
Animal Care and Control Services	9.1	25%	60,080

 

The RSA Future Work Centre argues that a raft of measures is needed for the most vulnerable workers, and that measures such as minimum wage increases should not be postponed during the pandemic. The government should be exploring policies such as the bonuses given to key health workers and grants for low income families in France.

In March the organisation called for a universal basic income in response to the economic fall-out. This would involve a one-off cash grant of £1500, followed by payments of £100 a week, alongside a doubling of statutory sick pay.

 

Fabian Wallace-Stephens, senior researcher at the RSA Future Work Centre, said:

“This crisis has brought into sharp focus how reliant we are on workers we take for granted – drivers, retail assistants and care workers. This research suggests that these are exactly the workers who are most in need of greater economic security.

“Building an adequate safety net for the precariat should be high on the government’s agenda, not least by ensuring that planned minimum wage increases go ahead. A universal basic income should be considered, to get cash to people quickly during the pandemic and ensure that all workers are supported.

“In particular, the government should look to countries such as France who are providing key workers with a bonus given the essential services they are providing.

“This also has implications for the government’s exit strategy – how we will come out of lockdown – as it demonstrates how crucial it is for many of these workers to get back to work as soon as possible. The government should be paying close attention to who can and cannot work from home.”

 

Contact:

Will Grimond, Media and Communications Officer, Royal Society of Arts. 07972 470 135, [email protected]. Embargoed copy of blog & results available.

 

Notes:

The RSA (Royal Society for the encouragement of Arts, Manufactures and Commerce) is an independent charity which believes in a world where everyone is able to participate in creating a better future.

Through our ideas, research and a 30,000 strong Fellowship, we are a global community of proactive problem solvers, sharing powerful ideas, carrying out cutting-edge research and building networks. We create opportunities for people to collaborate, influence, and demonstrate practical solutions to realise change.

Our work covers a number of areas including the rise of the 'gig economy', robotics & automation; education & creative learning; and reforming public services to put communities in control.