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Economic hardship forcing thousands into second jobs

IFAonline
Written By:
Posted:
June 9, 2011
Updated:
June 9, 2011

Almost 100,000 people have had to take second jobs in the past year to make ends meet, research has found.

The numbers recorded as having second jobs rose to 1.1m for the first quarter of this year – up 9%, or 94,000, in 12 months, according to a study by The Independent. It is the highest total since 2002.

Much of the rise has come since the turn of the year as tax rises, inflation and minimal pay settlements have hit household budgets.

Since the start of 2011, the numbers taking on extra work has risen by 53,000. The hours worked in second jobs are also up, to an average of just under 10 a week.

Although the second jobs trend predates the recession, there has been a sharp spike in the past year, which seems closely correlated to the rise in inflation and pressure on living standards that began in 2007/8.

Howard Archer, chief economist at IHS Global Insight, told The Independent: “The most likely cause behind this rise in second jobs is that there are many people struggling to get by given the squeeze on their finances coming from falls in real-term incomes resulting from muted pay and high inflation.

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“It is also likely that several companies are happy to take on people working relatively short hours to help meet their business needs, rather than having to take someone on full-time or even in a major part-time job.

“Typically, people with second jobs work just under ten hours, which is less than many part-time workers do.”