Researchers call for more help for 'working poor'

One fifth of adults at risk of poverty are working, an influential research body revealed today.

The Conference of Religious in Ireland (Cori) Justice Commission found employment will not protect against the threat of poverty.

It found almost 31% households at risk of poverty were headed by someone with a job and 21% of adults at risk of poverty were in work.

According to Cori Justice the shocking statistics highlight the ’working poor’ issue.

“It is simply unacceptable that many of the working poor are the only people who do not benefit from changes in the annual Budget and that government does nothing to rectify this situation,” Cori Justice director Fr Sean Healy said.

In its policy briefing, entitled Budget Choices, Cori Justice said those on social welfare see increases in benefits and those on higher incomes enjoy increases in tax credits, but many working poor do not benefit from the Budget.

Fr Healy said many find their tax bill is already lower than their tax credit.

The working poor often pay no tax so when credits are increased they do not benefit while those who are better off do benefit.

Fr Healy said: “Budget 2008 should directly address this working poor issue by making tax credits refundable.

“This would ensure that all workers would benefit from the full value of the tax credits to which they are entitled, which is not the situation at the moment.

“Such a policy initiative would benefit the poorest working households, would make a real impact on the ongoing working poor issue and would incentivise employment. ”All of these objectives should be at the centre of Government’s decision-making as it prepares next year’s Budget.“

Cori, one of the social partners, used figures from the Central Statistics Office to compile the document.

The national agreement Towards 2016 contains a commitment to sustain an acceptable standard of living for all people of working age“.

“It is not acceptable that government continually refuses to address the low standard of living of the working poor while it has the means and the mechanism to do so,” Fr Healy said.

“The fact that the working poor issue is not being addressed adequately is totally unacceptable in a society which, for the first time in its history, has the resources to tackle these problems effectively and comprehensively.”