Income Distribution

An open and transparent policy evaluation process, with meaningful engagement from all stakeholders, would ensure that we learn from our successes and from our mistakes. Such a process would ensure that we evaluate both and offer a framework to take our policy successes and replicate them across Government.  Social Justice Ireland believes strongly in the importance of developing a rights-based approach to social, economic, and cultural policy.  A key policy measure to deliver an open and transparent policy evaluation process is to measure the socio-economic impact of each budget.  This should be a statutory responsibility for Government.

Government should strive to create a new economic model based on fairness.   This would ensure that the benefits accruing from a vibrant economy would be distributed in a more equal manner.  Addressing poverty and social exclusion will play a key role in this regard.  The new Government should set an ambitious national poverty reduction target and make persistent poverty the primary indicator of poverty measurement.

As we navigate through the global crisis caused by COVID-19, it is clear that rural areas will bear a significant social and economic impact over the long-term.  The challenges that faced rural Ireland prior to the current pandemic such as higher poverty rates, lower incomes, fewer public services remain, and new challenges have emerged, not least the impact of a potentially prolonged period of unemployment on areas that were already struggling.

Life on a low income is the norm for a large proportion of our society. Prior to the current public health crisis, one in every seven people in Ireland lived with an income below the poverty line; about 680,000 people. Looking ahead, these numbers look set to rise as the very uneven impact of the Covid-19 crisis unfolds. 

The Central Statistics Office recently published the Household Finance and Consumption Survey 2018.  This is the only household survey that collects combined information on asset, income and debt levels of Irish households.  It provides us with a valuable data and insight into where wealth and assets are concentrated (both in terms of location and income deciles), and the levels of debt of Irish households. 

Ireland has one of the most unequal distributions of market income in the European Union. We rely heavily on our tax and social welfare systems to produce a more equal society. High rates of poverty and income inequality have been the norm in Irish society for some time. Read Social Justice Ireland's Election Briefing on Income for an outline of a number of key challenges facing Ireland and some policy proposals that should be in the next Programme for Government.

A recent publication from the Central Statistics Office, Post-Primary Outcomes – Academic Years Ending 2012 & 2013, analyses outcomes in 2012 – 2017 for two post-primary academic cohorts; 2011/2012 and 2012/2013. It examines outcomes in terms of education and training, substantial employment, and earnings over time.