Latest news with #youngworkers
ABC News
4 days ago
- Health
- ABC News
Birth trauma connected to poor mental health outcomes
A new study by Birth Trauma Australia has found that women who struggled to get a diagnosis for their injuries were 2.4 times more likely to experience suicidal thoughts. In this edition of The Conversation Hour we look at how better to support women experiencing birth trauma. Also in this edition, we look at a new study that has revealed a third of young workers are exploited, plus after the accidental Federal Treasury document revelation, that the 1.2 million homes target would not be met, what will it mean for tackling housing affordability. A warning: This story contains discussion of suicide. Lifeline 131 114
SBS Australia
4 days ago
- Business
- SBS Australia
'Bullying, yelling, sexual harassment, underpaid': study finds one in three young workers are ripped off
Deshal Patel moved to Australia from India for higher education, and sought part-time work to get through her studies. Her first job at a jewellery store paid well below the minimum wage. "I was getting paid $13 an hour. I was getting paid in cash, obviously there was no superannuation or penalty rates when I worked over the weekends. My other co-workers were also getting paid the same rate and we didn't have any formal contract or anything like that." In total, Ms Patel says she worked seven jobs where she was underpaid, and in some cases, mistreated. "Bullying, harassment or your employers yelling at you. I also experienced sexual harassment at some of the workplaces, and my experience is not an isolated incident. I know a lot of my friends, peers and co-workers have experienced something very similar. I hear the story again and again, so I would say this is a widespread problem and not an isolated experience." Ms Patel is among the one in three young workers who have been ripped off by employers, according to a new study. Its co-author is Professor John Howe from Melbourne University's Law School. He says young migrants are among the most vulnerable to workplace exploitation. "So if you're on a visa, then you might be worried, whether rightly or not, about losing that visa if you make a complaint. In the case of people from a non-English speaking background, if their English is not great, they may not understand their rights or may not feel confident enough to raise an issue let alone make a complaint." In a survey of more than 2,800 workers under 30, the study found a third of respondents were paid $15 per hour or less. 36 per cent weren't allowed to take breaks they were entitled to, while a similar number, 34 per cent, weren't paid for trial shift work. As many as 60 per cent had to pay for work-related uniforms, equipment and training. "The report's damning but certainly not surprising." Yolanda Robson is director of the Melbourne-based Young Workers Centre, which has spoken to more than 65,000 young people during outreach programs. "If you are a person who identifies as young or queer or coming from a migrant background, then we know you're inherently more at risk of workplace exploitation. That is just fact, that you are over-represented and more likely to be injured at work, taken advantage of, bullied, discriminated on the job. We see it all the time at the Young Workers Centre." And for young people who have recently entered the workforce, she has this message: "Getting taken advantage of doesn't build resilience. What builds resilience is knowing what your rights are and actually going about asserting them with your fellow co-workers. That's what builds resilience, not being exploited." Desha Patel says migrants like her are particularly vulnerable, and she's calling for greater action to stop workplace exploitation. "I really hope to see some systemic changes where these employers are held accountable and we can actually prevent wage theft and harassment in the first place. The onus shouldn't be on workers to hold these employers accountable. We already have these laws. I wish the government and other agencies work together to better implement these laws." In a statement to SBS, a spokesperson for the Fair Work Ombudsman says it proactively checks employers are doing the right thing, and prioritises education and assistance for vulnerable young workers.
Daily Mail
27-06-2025
- Business
- Daily Mail
How putting off starting a pension for just five years in your 20s can cost you tens of thousands
Putting off starting a pension for five years in your 20s can create a £40,000 hole in your savings, new research reveals. A young worker aged 22 on £25,000 a year, who is auto-enrolled into a pension and sticks to saving through their working life could expect to have £210,000 by age 68. But the same fund would reach only £170,000 if you opted out until you were 27, and £135,000 if you waited until you were 32. That is based on minimum saving levels under auto enrolment - although if you put in more, many employers will increase their contributions too. The figures take into account pay rises, investment growth, charges and inflation over the years. Those who join a pension later miss out on the power of compound growth, which is hugely beneficial if you start young because it has more time to work, says pension firm Standard Life which did the calculations. Compound growth means because any investment return stays in your pot, you then make a return on that higher amount, and then a return on that even larger sum, and so on over and again. You might start with a small contribution to a pension, but making returns on your returns will still have an exponential effect in the longer run. If you are older and have already enjoyed the benefits of compound growth, it is worth showing young adults in your life the table from Standard Life below. (You can also tell them the story of Prudence and Extravaganza - scroll down for more.) Standard Life says young people have to strike a balance between putting money away for the long term, and meeting costs and goals in the nearer term. It admits pensions might not be on the priority list at that age - but stresses that if you do start early, your future self is likely to thank you for it. Dean Butler, managing director for retail direct at Standard Life, says: 'If your finances permit and your circumstances allow, the sooner you engage with and begin to contribute to your pension, the better your ultimate retirement outcome could be.' 'While delaying entry into the workforce, for instance to pursue further education, can offer long-term benefits, both financially and personally, it's important to be mindful that this might require you to contribute more later on to meet your retirement goals. 'Similarly, if you choose self-employment in your twenties, it's worth opening a personal pension, as you won't benefit from automatic enrolment via a workplace and could miss out on important early-career contributions.' Under auto enrolment people are signed up for a pension whenever they start a job, unless they actively opt out. The minimum contribution is 8 per cent of your earnings that fall between £6,240 and £50,270. But this is split three ways, with you putting in 4 per cent, your employer contributing 3 per cent, and the Government adding 1 per cent in tax relief. The wonder of compound growth: Prudence and Extravaganza 'Albert Einstein called compounding the eighth wonder of the world,' says Fidelity International investment director Tom Stevenson. To illustrate its power, Stevenson tells the tale of sisters Prudence and Extravaganza in his guide to compound growth for This is Money. Prudence starts saving £20 a week when she is 18 which gives her £1,000 a year. A combination of capital growth and dividend income gives her 10 per cent a year, plus she adds in a new £1,000 each year too. 'By the time Prudence is 38 she has accumulated £63,000 and now the extra £1,000 a year of saving starts to become irrelevant. By the time she is 60, she has accumulated a little over £500,000 even if she stops saving completely at the age of 38.' Extravaganza spends the years from 18 to 38 enjoying herself and not saving anything, but at 38 she sees her sister's success and starts saving £20 a week and earning the same 10 per cent. She never catches up. 'When they are both 60, Extravaganza has accumulated just £80,000 compared with her sister's half a million. And with every year that passes their fortunes diverge even further.' How to boost your pension pot at any age Dean Butler of Standard Life offers the following tips. 1. Make sure you're taking advantage of all the benefits of your pension plan and of the pension support offered by your employer. If your employer offers a matching scheme, for example, where if you pay additional contributions they will match them, consider paying in the maximum amount your employer will match to get the most out of it. 2. Getting a bonus this year, or receiving overtime pay? Deciding to pay some or all of your bonus into your pension plan could save you paying some big tax and National Insurance deductions, meaning you could keep more of it in the long run. Similarly, if you're working overtime and you're able to direct some of your overtime pay into your pension, even relatively small extra contributions can build up over time. If you're able to, think about paying a little more into your pension when you get a pay rise or have a little extra savings. 3. Keep an eye on your investments, the returns they're giving you and whether they match the level of risk you're comfortable with. Higher-risk investments potentially see more growth over the long term, but their value might go down and up more frequently and dramatically. Lower-risk investments, like particular types of bonds, are less likely to see drastic decreases in value, but you might not experience particularly significant growth with these. In your 20s, you might feel happier with some higher-risk investment, as your pension has more time to potentially recover from dips in the market – but this won't be right for everyone.
Daily Mail
23-06-2025
- Business
- Daily Mail
EXCLUSIVE Almost 40% of young workers mistakenly believe they are in a final salary pension
Britain's younger workers think their pensions are considerably better than they will turn out to be, a new report suggests. Nearly 40 per cent of people aged between 18 to 24 said they thought they were part of a final salary pension scheme, found research by campaign Get Britain Pension Ready. This is despite the fact most final salary pension schemes were phased out in almost all of the private sector long before the time that 18 to 24-year-olds entered the workplace. Final salary schemes are a type of defined benefit pension, where the employer is responsible for payments in retirement, based on an employee's years of service and their pay at their career's end. Even in the public sector, most have now been replaced by less generous career average defined benefit schemes, which pay out based on earnings smoothed over time. Over a quarter of people aged between 18 and 24 claimed they had a 'great deal' of understanding about pension terminology, data seen by This is Money from the campaign run by Annuity Ready reveals. However, the findings suggested the high levels of understanding about pension products and how they work appeared, in some cases, to be 'misplaced' when tested against knowledge of certain terms. Most workers in the private sector are now in defined contribution pension schemes, where both they and their employer contribute to a pot invested to provide a fund for retirement. Turning this into retirement income is the saver's responsibility. Defined contributuon schemes are less generous than defined benefit schemes, put the onus on the saver rather than the employer, and are less likely to provide a comfortable retirement. On the topic of retirement planning, 30 per cent of 18 to 24-year-olds said they would turn to social media for assistance, nearly four times the national average of 8 per cent. Across all age groups, 41 per cent said they believed their parents had an easier experience with pensions and retirement planning than they do, with 52 per cent of those aged 18 to 24 claiming their parents' generation had it easier. The belief in a good knowledge about pensions - misplaced or not - declined with age, the survey said. Annuity Ready found that more than a quarter of those in the Generation X age group - typically born between 1965 and 1980 - admitted to having 'no understanding at all' about pension terminology. This is despite older members of Gen X being 'next in line' to retire. Dr Eliza Filby, independent generational expert for Annuity Ready, said: 'What we're seeing here reflects broader societal shifts that have particularly impacted Generation X.' She added: 'This cohort entered the workforce during a period of significant pension reform, witnessing the decline of final salary schemes and the shift toward more complex, individual responsibility for retirement planning.' What is an annuity? An annuity is a financial product that provides an income for the rest of someone's life. Until relatively recently, this is how most people turned their defined contribution or personal pension pots into retirement income. Rock bottom annuity rates after the financial crisis led to an event called pension freedom, where the requirement to buy an annuity was removed from people - and they could choose to keep their pension invested and draw on it instead. Most savers moving into retirement now take this option, although a recovery in annuity rates has made them much more attractive again. On the topic of annuities, 35 per cent of over-65s said they knew about annuities and what they were. This is notably higher than the national average of 25 per cent, Annuity Ready said. Of those aged 55 to 64 years old surveyed, 27 per cent said they had a strong understanding of annuities. Annuity Ready said: 'With this group being made up of the older half of Generation X and young Baby Boomers likely still in employment, this may suggest the cohort's proximity to retirement has likely driven familiarity with specific pension products.' People aged 45 to 54 and those aged 35 to 44, showed the lowest levels of understanding of annuities, the research claimed. Over-65s generally appeared to take a self-reliant approach to retirement planning, as 27 per cent said they do not ask anyone for advice. This compared to 13 per cent across all age categories. Sarah Lloyd, commercial director at Annuity Ready, said: 'Education is such a fundamental part of pension preparedness, and the earlier we can help people get the information they need to start planning for retirement, the better. 'The misconceptions we're seeing - like 39 per cent of young adults believing they're enrolled in final salary pensions that were largely phased out before they entered the workforce - highlight just how important accessible, accurate information is.' Filby added: 'While Gen Z's over-confidence in their understanding may be concerning, Gen X's knowledge gaps represent a more immediate crisis, as this generation approaches retirement with limited time to plan for their future beyond work.' The research was was conducted by OnePoll on behalf of Annuity Ready and surveyed 2,000 adults living in Britain between 3 and 5 May 2025. Pension jargon and shifting policies Pensions can feel complicated and the jargon involved means it is no wonder people struggle to keep abreast. With terms like defined contribution, income drawdown and enhanced annuities, it is not difficult to see why some people's knowledge is lacking. Equally problematic are ever-shifting pension policy changes and rumours of further tinkering. The new full state pension went up by £472 a year from 6 April. Under an arrangement called the triple lock, the state pension goes up each year by the highest of 2.5 per cent, inflation, or earnings growth. This policy is regularly being debated as unaffordable, with talk of it being axed. In Rachel Reeves' Budget last year, the Chancellor announced plans to bring pensions into scope for inheritance tax from 2027. At present, only people who die aged 70 or under do not have their pensions In May, the government reportedly fleshed out its plans for reforming the pension industry, including the creation of £25billion 'megafunds' which will be instructed to make a portion of their investments locally to help fuel economic growth. Rachel Reeves said the overhaul, designed to follow the example of Australia and Canada's huge pension investment funds, would also help boost people's pension pots. How to sort out your pension if you fear it's falling short 1) If you are worried about whether you will have saved enough, investigate your existing pensions. Broadly speaking, you need to ask schemes the following questions. - The current fund value. - The current transfer value - because there might be a penalty to move. - Whether the pension is in a final salary or defined contribution scheme. Defined contribution pensions take contributions from both employer and employee and invest them to provide a pot of money at retirement. Unless you work in the public sector, they have now mostly replaced more generous gold-plated defined benefit - career average or final salary - pensions, which provide a guaranteed income after retirement until you die. Defined contribution pensions are stingier and savers bear the investment risk, rather than employers. - If there are any guarantees - for instance, a guaranteed annuity rate - and if you would lose them if you moved the fund. - The pension projection at retirement age. You can use a pension calculator to see if you will have enough - these are widely available online. Try This is Money's pension calculator here. 2) You should add the forecast figures to what you anticipate getting in state pension, which is currently £230.25 a week or around £12,000 a year if you qualify for the full new rate. Get a state pension forecast here. 3) If you are tempted to merge your old pensions, read our guide first to ensure you won't be penalised. 4) If you have lost track of old pots, the Government's free pension tracing service is here. Take care if you do an online search for the Pension Tracing Service as many companies using similar names will pop up in the results.
Daily Mail
16-06-2025
- Health
- Daily Mail
More than 1million UK workers likely to resign in the next year due to illness or poor mental health
More than 1million workers in the UK are likely to resign in the next year due to illness or poor mental health, a damning study suggests. The fragility of the workforce provides a 'direct challenge' to the Government's ambition to grow the economy and boost living standards, the Work Foundation warns. Researchers found the results are 'particularly concerning' among younger workers, where there is a risk a new generation will be 'scarred by unemployment and economic inactivity'. The Foundation's experts, based at Lancaster University, analysed polling data on 3,796 workers across the UK on their health and employment. They found one in 17 (6 per cent) believe they will leave their job in the next 12 months due to their health, with these employees seeking a role that is less stressful or quitting the workforce altogether. Overall, 20 per cent of UK workers say they are in poor health and these are twice as likely to expect they will not be in employment in three years' time. Young workers aged 16 to 24 are 1.5 times more likely to report poor mental health than any other age group, with a rate of 23 per cent. They are also the most likely to report that their job negatively impacts their mental health (34 per cent), with 43 per cent worried that their declining health could push them out of work in the future. The researchers say jobs should be 'redesigned', with firms expanding access to flexible working, occupational health services and more generous sick pay in order to keep employees in their roles. They also want stronger employments rights and protections and improved access to NHS mental health service, tailored support for those out of work and a 'guarantee' that all young people have the ability to take up 'good quality work'. The report will be launched at the Work and Health Summit in London today [TUE]. Ben Harrison, director of the Work Foundation, said: 'This new analysis suggests that without additional support, we could see a new generation scarred by unemployment and economic inactivity in the early years of their working lives. 'This could have major implications for communities, employers and local economies across the UK. 'Similar risks can also be observed for those on low incomes and those already in poor health. 'Without a national reset on health and work that expands access to flexible working, occupational health services and tailored employment support, many more workers could potentially leave work early due to ill health. 'This will provide a direct challenge to the Government's ambition to grow the economy and boost living standards.' Workers on low incomes are significantly less likely than those on high or middle incomes to have access to job conditions known to support good health, the report reveals. Just half (53 per cent) of low-income workers (earning less than £25,000) are given paid time off for medical appointments - and only 46 per cent feel confident taking sick leave when they need it Professor Stavroula Leka, of Lancaster University, said: 'The wave of workers leaving the labour market prematurely is not going to stop unless health is prioritised in the workplace. 'With younger workers and those on low incomes being particularly hard hit, action needs to be taken quickly to improve prospects and experiences before lasting damage is done.' It comes as separate research by Unison found NHS 999 staff are quitting and suffering burnout caused by the 'relentless pressure' of calls. Figures obtained from ambulance services by the union showed high turnover rates among call handlers, which staff say are often over a lack of support and the non-stop, often distressing, calls that force many to take sick leave. A report to be launched at the union's annual conference in Liverpool today [TUE] will reveal the toll taken on the workforce, with more than a quarter of NHS ambulance control room staff quitting their jobs over the past three years. According to the research, more than half a million days were lost to call handler illness in the three years from April 2021. The figure for 2023/24 alone was 166,940 – the equivalent of more than a month of sick leave for each 999 call handler. One in ten people of working age - around 4million adults - receive health-related benefits in England and Wales. This is up 38 per cent from 2.8million people in just four years, according to previous research by the Institute for Fiscal Studies. Over this period, real-terms spending on incapacity or disability handouts has increased by a third, from £36billion to £48billion and is expected to hit £63billion by 2028. Ministers are preparing to slash disability benefits for 800,000 claimants by an average of £4,500 a year, saying it is necessary to make cuts to rein in sickness spending.
