One Society works with policy-makers from all political parties at both a national and a local level. Large divides in income at the top and bottom of society – beyond ‘proportional rewards’ – are damaging to our economy and society.
Through tackling inequality, governments worldwide can reduce health and social problems, and consequently lessen the state expenditure required to deal with such problems. Even small increases in equality have the potential to yield significant benefits for society.
Below we address some of the recent evidence and trends of UK inequality and propose potential policy solutions. Our policy proposals have relevance to several government departments (including BIS, HMT, CAB, CLG, DWP), but also local government.
Top pay has lost its link to employee pay, performance, the concept of proportional reward and the requirements of recruitment and retention.
We argue that there is more than enough room for the monetary recognition of due desert, and the requirements of competitive markets, while still reducing the UK’s overall rate of income inequality.
Government can act by using its regulatory and financial power to encourage employers in both the public and private sector to adopt policies of pay transparency and other best practice codes. In doing so, government can give a greater say to those who have an interest in the long-term financial sustainability of the company and the economy. >>>>>>>>
Improving the chances of social mobility is a stated aim of politicians from all parties, and one of the key objectives of the Coalition Government.
We believe that the evidence linking lower social mobility to higher income inequality is strong. We therefore argue that unless there is a strategic recognition of the role of income inequality in any strategy to improve social mobility (and its interrelationship with other factors including addiction, debt, educational failure, family breakdown or welfare dependency), then the efficacy of various policy initiatives will be significantly undermined. >>>>>>>>
Why the growing gulf between rich and poor is a problem for all political parties, and how each party can address the issue with regards to their traditional outlooks. >>>>>>>>