Directorate for Employment, Labour and Social Affairs
In It Together: Why Less Inequality Benefits All
The gap between rich and poor keeps widening. Growth, if any, has disproportionally
benefited higher income groups while lower income households have been left behind.
This long-run increase in income inequality not only raises social and political concerns,
but also economic ones. It tends to drag down GDP growth, due to the rising distance
of the lower 40% from the rest of society. Lower income people have been prevented
from realising their human capital potential, which is bad for the economy as a whole.
This book highlights the key areas where inequalities are created and where new policies
are required, including: the consequences of current consolidation policies; structural
labour market changes with rising non-standard work and job polarization; persisting
gender gaps; the challenge of high wealth concentration, and the role for redistribution
Published on May 21, 2015Also available in: French