The Needs of Women and the Universal Basic Income as a solution?
Nicola Stanley-Clarke
Manawatu Working Party on Universal Basic Income
1996
An Overview:
Universal Basic Income (UBI) has many names including state bonus or social credit, social wage and social dividend, guaranteed income and citizens wage, citizenship income and demogrant, existing income and universal grants.
The concept is fairly simple; it involves an income being unconditionally granted to everyone, on an individual basis, without means testing or work requirements. This system would replace the majority of existing social welfare benefits such as the unemployment benefit, while still providing some additional supplementary benefits for special needs situations. The ideal system would also involve a major role for the state in the provision of services such as health care, education and housing.
This system is seen as an alternative to our present limited, highly targeted system of welfare which is being developed in response to a move towards a more user pays, reduced government economy. It recognises that all citizens need to be guaranteed a basic level of economic security to ensure a healthy and cohesive society, which recognises the inadequacies of using paid employment as the basis for this. It is also seen as a means to provide an independent income to women who chose to be homemakers and for those who undertake voluntary community work. This is said to ensure women with an independent income, thereby providing them with greater financial security in their own right.
The additional benefits which the UBI can offer women are not automatically visible until a discussion has been made of women's citizenship and economic rights within our present environment. The purpose of this article is to discuss these factors, highlighting the inefficiencies that the present system holds for women, the feminisation of poverty and the advantages which UBI would offer. A discussion of the dependency role of women will be addressed with relation to the recognition of unpaid work both in the household and the community. In addition to this the disparity between men's and women's incomes will be mentioned as well as the role in which the present market based economic philosophies and government policies play in discriminating against women.
The article is primarily an overview of current literature, however the incorporation of the UBI concept and discussion of this is an area which needs further attention as women begin to see the benefits of this for attaining citizenship and participation rights within a male-philosophy dominated society
This article is written from a Pakeha, liberal feminist perspective incorporating some socialist feminist principles. Liberal feminism is founded on the belief in the importance and independence of the individual and that within this, individuals are eligible to have certain rights which must be protected both by and from the government. Freedom and equality of rights and opportunities are important principles within this (Tuttle, 1987). Socialist feminism on the other hand sees sexuality, marriage and family as fundamental in the oppression of women. They also acknowledge that other forms of oppression exist. This article is written from the perspective that the importance and independence of the individual is the key to attaining equal rights for women, yet acknowledging that within this, some degree of separation is required to develop a society in which women and men have equal rights while still catering for the specific needs of each gender.
Women and Citizenship:
One of the fundamental principles of UBI is that it is an income provided to every individual on the basis of citizenship. Citizenship, when taken at face value, means the right of people in New Zealand to call themselves citizens i.e. they have permanent residency, have been residing in New Zealand for more than three years and intend to make New Zealand their home.
However, when one looks at citizenship in greater detail one can see how women have traditionally been excluded from this position and even today can be seen as lacking access to full citizenship rights. Before addressing how UBI would assist women in attaining full citizenship, it is important to provide some information as to how women have been and are denied full citizenship rights.
Definitions of citizenship have altered little over time and are usually associated with community membership and loyalty (Watts, 1995). The definition is taken primarily from a middle class male perspective and is closely linked with employment, which is seen as being a vital part of community membership. Citizenship is also largely based on economic independence and this is seen as being necessary to attain full citizenship rights (Briar, 1997). Thus the true source of citizenship is considered to lie within participation in the market (Easting, 1991).
These definitions of citizenship in themselves exclude many from full citizenship rights, particularly women. According to Pateman (as cited in Briar, 1997) women attained citizenship when the right for women to vote was won, however because of the structure of society, full citizenship rights for women have been unattainable.
Easting provides a good description of citizenship rights as attained by women, stating that citizenship for women is a sense of belonging which is located within women's association with men, rather than an equal share of the rights and responsibilities in setting up civil society. She furthers this by saying "they are relegated to the special world of home and family, where their existence creates and enhances opportunities for men to pursue their own citizenship" (Easting, 1991). If we add to this description women's reliance upon state benefits as single mothers, we fully encompass the true position of most women citizens.
To demonstrate this we need to return to the initial definition of citizenship based on economic independence, employment and participation in the market. Within society traditionally men work for wages, and many women during some point in their lives choose to carry out tasks traditionally seen as women's domestic and caring work. This role which women undertake within the household is clearly deemed to be important. However when viewed within the context of work these activities when performed either within the household or the labour market are unpaid or low paid (Easting 1991). The structure of the labour market defining women's work as unproductive or only of minimal value serves to reinforce the low citizenship status of women. Through this; low pay, lack of pay equity and sex segregated occupational groupings are all features of a labour market developed on the assumption that women are really dependants, not individuals and that individuals are male (Easting, 1991)
This definition in itself totally ignores women's unpaid work in the home. Under the United Nations Statement of National Accounts (UNSNA) which New Zealand has adopted, this form of "employment" is not seen as productive as it does not provide a service to the market (Waring). In addition to the UNSNA definition of work and what is productive and non-productive the existing social security system, with rights predominantly based on work status has continued to encourage the ethic of work which excludes the unpaid work of women (Parker, 1993).
It is impossible through these confines for women to become fully autonomous individuals as to be an individual according to society's definitions is to conform to masculine standards which for women become contradictory (Easting, 1991).
Through women's decision to remain within the home, raise children, provide for their husbands and undertake unpaid community work women have been denied full citizenship (Briar, 1997). Also through undertaking this role women have continued to remain in a dependent position relying on their male partner or a state provided benefit to provide economically for themselves and their children. Dependence in this manner helps to cancel out full citizenship rights as not only is women's work within the home not seen as productive, but through reliance on men and/or a benefit rights of economic independence are also given up (Briar, 1997, Parker, 1993).
Women's dependence on both men and state benefits for an income has traditionally been regarded as the main stumbling blocks to women attaining full citizenship rights (Bunkle and Lynch, 1992). The reasons for this dependence will be discussed in greater detail with relation to the overall economic position of women in society. However it is crucial to understand that through the disrupted work participation patterns of most women who have children a reliance on the state or a male partner becomes a necessity during this time.
For most women it is important to note that their decision about whether or not to undertake paid work is affected by the presence of children within the household (Horsfield, 1988). In addition to this if a women is undertaking part-time or a low paid job which compromises the amount her partner receives on the unemployment benefit she may choose to give up her job so as to attain a higher family income for her children, in this allowing herself to become dependent on her male partner (Horsfield, 1988). In this it is not that women are choosing to adopt a position of lower citizenship, but through the demands of a family choose to stay home to provide a healthier, better provided for environment for their children, they automatically write themselves out of full citizenship rights.
Economic Position:
Reinforcing the citizenship position of women are the structures which help to maintain a low economic position for most women in society. More recently the term 'feminisation of poverty' is being used with greater frequency highlighting the fact that women suffer disproportionately from poverty (Beaglehorn, 1993). The reasons for this vary from low pay, to little state provision for solo mothers and employers not providing adequate facilities for child care.
The first fact to consider when paying notice to the economic position of women within society is their dependence on a male partner, state benefits or lower paying jobs. The role of dependence has been discussed in relation to citizenship, however the consequences of this are further reaching than has previously been outlined. The power relations which are evident in a relationship where one partner has greater control over the financial position than another, impact on women greatly. In this type of relationship the contribution of the unpaid work women contribute to the household and family is not recognised. It is clearly evident that she requires the contribution of his financial support, however there is no recognition of her partner's need for her support in running the household. It is deemed that "a hierarchy of power and status is established with the earner at the top" (McKinlay, 1992).
It has been noted that in some relationships where the man has control in this manner that the female partner has very little spending money and have only a limited control over how the money that comes into the household is spent (Horsfield, 1988). In a study conducted in 1987 it was noted that some women were required to ask their partners for money each time some family shopping needed to be done and in some instances the women experienced major difficulties getting the money they needed to care for themselves and their children (Horsfield, 1988, Briar, 1992).
This reliance not only creates dependency economically but within the personal confines of the relationship. Where the male partner through his stronger economic position is placed in a position of power over his female spouse this can act to entrap women within abusive or violent relationships due to the lack of economic independence they face if they choose to leave. It may also prove difficult for her if she chooses to leave to find suitable, affordable accommodation for herself and her children,(Pahl, 1985, as cited in Briar, 1992) especially since the introduction of market rate rentals for state owned houses.
Those women with children, who choose to enter the paid workforce, usually do so with a cost incurred for themselves. Women have traditionally and still are in many cases the person responsible for staying home to look after ageing relatives or young children, if they choose to enter the paid workforce they are expected to still be responsible for the functioning of the household (Duncan et al, 1996). This position in most cases leaves women with limited hours in which to undertake paid employment and usually the best option is to take on shift work, part-time work or work with casual rates of pay, diminished prospects of promotion and less job security (Duncan et al, 1996).
It is a well known fact that women are paid less than men and that the majority of women are usually found within lower status jobs than men. In 1991 76% of women received incomes of less than $20 000 compared with 52% of men (Department of Statistics, 1993). Jobs that have been traditionally labelled female occupations, are lower paid and mean that proportionally women earn less than men (Horsfield, 1988).The differences in working conditions between the work women traditionally undertake and the full-time work men traditionally undertake and the differences in ranking between men and women within these occupations also serve to exacerbate for the differences of income between men and women (Horsfield, 1988).
Some of the key reasons for women commanding lower paid jobs relate to the unpaid work which is undertaken from the home. As this work is not recognised within the labour market the experience women gain while bringing up children and undertaking unpaid community work mean that those who chose to leave the workforce to bring up children lose their opportunity to be eligible for promotions based on years of experience and length of service (Hyman, 1994).
In addition to this, if women are qualified in an area which is constantly changing both technologically and environmentally then the time that they opt not to participate in the labour market actually de-skills them and means that additional training is required to re-enter the market at the position they left (Horsfield, 1988). What this means is that many women when they decide to re-enter the labour market are essentially unemployable in the fields of their choice and have to look to other lower paid opportunities to gain employment (Bunkle & Lynch, 1992).
It can be said that to explain the low status economic position which women occupy within our society we need to look beyond the traditional structure and include occupations which enable women to find employment and or education which enables them to be both good parents, employees and students (Duncan et al, 1996). At present to fulfil this role women occupy those lower paid casual, part-time or shift work jobs which are lower paid than a full-time job.
It is not doubted that women's unpaid work is valuable, however the invisibility of this and the failure to reward it in a tangible way, underestimates the contribution women make to society and in a sense denies them the same opportunities that men have to take part in and receive the rewards of the market (Bunkle and Lynch, 1992). This means that the structures of society through their economic definitions of work serve to discriminate against women. It has been said that even women within full-time employment do not necessarily earn enough to support themselves and their children with dignity (report of the second New Zealand Sweating Commission, 1990, as cited in Briar, 1992).
The State and Social Policy:
The state has been discriminating against women for generations, formulating the economic policies which create pay disparities, cutting the benefits which single mothers need to live on and through the libertarian ideals which promote the market ignoring the unpaid capacity of women in the home and community (Bunkle and Lynch, 1992; Duncan et al, 1996).
In fact it can be said in an era of political correctness that the free-market policies which our government chooses to run this country by, disadvantages women to a greater extent than most other economic models through the emphasis and definitions of work based on monetised transactions and through not paying attention to non-commercial work because the system is here "based on materialistic values" (Bunkle and Lynch, 1992).
As the state sheds responsibilities there is a basic assumption that community agencies and families will take over the role the state has previously played. This position on behalf of the state is somewhat ironic as the state does not recognise the work of most of those who have to take over responsibility as being productive. The assumption that these organisations, mainly staffed by women volunteers, can cope with the additional burdens of the state, emphasis the patriarchal assumptions on which a large amount of social policy is based (Craig, Briar et al, 1992 ;Easting, 1991). In addition to this the assumption that women will maintain the caring role of the state in a sense confines women to a role where they are unable to participate in society as "productive, independent individuals" (Easting, 1991).
Even the language used in social policy makes it very difficult for everyone, including women to understand and the role income support plays in perpetuating this confusion is clear. Many women find it difficult to obtain and understand information about benefits and the benefit system and in some cases because of the stigma and harassment which they are given when seeking further assistance from the Income Support Service some women aren't even receiving their full entitlement (Duncan et al, 1996).
The state has played a fairly obvious role in creating a stigma for receiving the benefit and through the criteria which is it is necessary to comply with to be eligible for a benefit maintaining women's economic dependence on men (Briar, 1992). The Unemployment benefit is a case in point; many women who are unemployed are not eligible because their partner is earning. This creates further dependency for women on their partner and helps to promote the unequal balance of power within the relationship. In addition to this if a woman's partner is also unemployed, then the couple receive a benefit at the married rate, based on his unemployment, not hers (Easting, 1991). It seems that there is an assumption or requirement in government policy that women are economically dependent on men and that they live most of their lives as wives and mothers within their families and the community (Craig, 1992).
The 1991 benefit cuts and rise to market rate rentals for state houses have hit women particularly hard as they have to maintain an adequate level of caring for themselves and their dependants on a reduced budget. This has meant that women have to compromise their own health and food intake to ensure that the rest of the family can be adequately fed. In addition to this, these changes in government policy have further added to the number of women staying in abusive relationships as many women now just don't have the financial resources to survive on the reduced benefit (Craig, Briar et al, 1992).
It had seemed that in 1990 the government was finally moving to act on the pay disparity between men and women with the Pay Equity Act, however, the in-coming National Government showed its blatant disregard for improving women's ability to be economically self-sufficient through repealing the Act only a few months after it had been passed (Briar, 1992). As a result of this it can be said that through the employment policies of today which are largely based on the "adult male life-cycle, there is an under-utilisation of the potential of the majority of the population" (Bunkle & Lynch, 1992).
It is really important to see the discriminating factors within social policy, however within this it can be noted that economic policy is projected as gender neutral. In the formulation of policy, government ignores the specific needs, issues and unequal position of women. Treating all New Zealanders as one "male" unit reinforces the sexual inequalities in our society and can be seen clearly in health, education, benefit cuts, employment contracts and many other recent changes to social policy (Craig, Briar et al, 1992).
Maori and Pacific Island Women:
The significance of social policy and male Pakeha structures in society are particularly felt by Maori and Pacific Island women within society. The statistics show that proportionally more Maori women are in the lowest income bracket than any other group and that reduced employment opportunities have affected the Maori and Pacific Island communities greatly (Department of Statistics, 1993). The reasons for this vary from the effect of colonisation and the changes brought with immigration, to the free market principles which our work force is now based on.
The most clearly evident reason for Maori and Pacific Island women being more disadvantaged than any other group in society is evident in the structures which discriminate against women. However further than that the uni-cultural European approach to government, economics and policy making further serves to discriminate against minority cultures thereby hitting Maori and Pacific Island women two-fold.
The whole structure of the free market is in contradiction with Maori beliefs in the collectivity and Whanau responsibility. The individual desires which are stressed in free market policy serve to undermine the structures of Maori society, with principles such as competition, user pays, consumerism, the definition of the family as nuclear and labour market flexibility all being based on Pakeha values (Bunkle & Lynch, 1992). Further than this, these principles of Pakeha society do not take into account the beliefs and practices of Maori society serving to dismiss them without consideration. Bunkle and Lynch went so far as to say that the "promotion of an economic model based on white male values, destroys the identity, social structure and value of a culture" (1992).
It is for these reasons that Maori and Pacific Island women can be seen to be greater discriminated against than Pakeha women. For Pakeha women, at least the culture of the economic system is of their culture. For Maori and Pacific Island women this system is far removed from the beliefs and underpinnings of their cultures. Maori people lay the responsibility for the increase in discrimination against Maori women on the colonisation process (Kupenga, Rata and Rene, 1989, as cited in Briar, 1992) and that only a return to the principles of the Treaty of Waitangi will bring about true recognition of Maori culture and society. For Pacific Island women the answer is not so clearly identifiable as they are not an indigenous peoples and have only come to New Zealand in the latter half of this century. What is evident is that our present system fails women of all cultures and that some changes need to be made to facilitate a fairer society.
The solutions of UBI:
The Universal Basic Income can not be seen as a solution to all the inequities which women face within society. However it does go part way to establishing independence and recognition of the unpaid work of women within the community and the home. As highlighted at the beginning, the Universal Basic Income (UBI) is an income paid to everyone irrespective of sex, race, marital or employment status.
Women, especially mothers are in the position where a reliable and adequate income would greatly benefit them (Briar, 1996). A "Wages for Housework" scheme would only serve to trap women in unpaid work, however with a UBI this gender stereotyping of domestic and unpaid work would gradually begin to unwind. It would create an environment where this sort of work would be an option for both men and women and create a situation where women would no longer be forced to take on low paid menial labour in order to bring in an income for their families.
The level of UBI would need to be decided by the government upon time of implementation and depends largely on the method of funding, suggestions for this include increased taxes, a tax on land, energy usage or through our present level of Gross Domestic Product. Among researchers who promote the idea in New Zealand the common belief is that the UBI would be funded through an increase on taxes for those who can afford, and the amount would be sufficient to cover the existing payments of the DBP and unemployment benefit at a level which would be enough to meet all basic needs. The figure which UBI is set at is crucial to the benefits which it will bring to society. If it is set at a very basic minimum then these will not be so evident. This figure needs to be assessed in accordance with the level a country can economically provide with relation to the basic needs of low income earners in society.
It is essential that UBI is seen as one part of an entire package for women which could act as a platform for pay equity campaigns, greater numbers of affordable child care facilities and an increase in equal opportunities within society. It would elevate women from being partial citizens to full as their ability to participate within society would gradually increase. In this the whole concept of citizenship would need to be addressed and definitions which aligned citizenship with paid employment altered to include unpaid community and domestic work.
Many supporters see a move to unimpeded access to health care, education and affordable housing as part of the UBI package. The greater revenue required for a UBI could also be used to provide greater state funding for these services, allowing more equitable access to them. The economics of the calculation make it seem quite complicated. However basically all it would entail would be retaining any additional funds and using these to upgrade and provide services accessible to everyone irrespective of wealth and employment status. This has the additional benefit of meaning that women will no longer have to compromise the health of themselves or their children because of the cost of doctors visits, and will also give many low income families the opportunity to gain tertiary qualifications which otherwise they would not be able to afford. It would mean that women would be in a better position to return to complete qualifications as the UBI would act as a general student allowance and would provide that additional income to the household which has traditionally been lost if one partner returns to school.
The definitions of UBI speak of it as an income paid unconditionally on the basis of citizenship. As has already been mentioned women have traditionally been denied full citizenship rights, so would that mean that under UBI they would be excluded. The answer to this is quite the contrary as UBI would address many of the problems which women have traditionally experienced with relation to citizenship.
The most important effect which a UBI would have in our society for women would be through the recognition of the unpaid work of women in the home and the community. While this may not mean getting the UNSNA to recognise this in GDP what it would mean is that women would receive an independent income irrespective of whether or not they stayed home to look after children. This would have a far reaching effect. Not only would it enable women to have some measure of financial independence within the family but it would also address the discriminatory nature of benefits which are assessed on marital status.
The UBI would make it easier for women to choose between staying home and undertaking paid work as financially they would be better off with a UBI. The additional income would enable women to stay home if they so wished without placing additional strain on the financial resources of the household. What a UBI would mean would be a shift in the balance between paid and unpaid work, giving tangible recognition to the value of the unpaid work undertaken by women (Parker, 1993) In addition to this a UBI would also enable women to turn down low paid menial work as the UBI would provide an income until work which more suited their needs could be located.
Children would also receive payment of the UBI, paid to their parents up until an age when they were deemed to be independent. This would also add additional income to the family and in this manner the standard of living for low income families and single families would increase. Some supporters suggest that this money not be paid to families but rather be used to fund child based programmes, child care and children's institutions. This would remove this income from the household and in some cases discriminate against families who do not wish to make use of these services, however the plus side would mean free services provided for children by children.
Through the traditional assessments of benefits many women have been hidden within the ranks of the invisible unemployed not considered eligible for the unemployment benefit due to the income status of their husband. However UBI would address this discriminatory factor through paying everyone an independent income irrespective of work or marital status. In addition to this through the basic unit of entitlement being individual legal residence a greater symmetry is created between men and women (Parker, 1993).
The individualisation of benefits is one of the main attractions of UBI for European women, the financial independence gained through receiving a UBI would address many of the inequities of the family monetary situation (Briar, 1996). In relationships where women were not provided with money from their partner to cater for themselves and their children women would, with a UBI always have some residual financial support to fall back on for both themselves and their children. It would also enable women in violent or abusive relationships to leave easier as they would automatically have financial independence. In saying this the payment methods of UBI need to be thought through quite carefully and individual accounts be set up for partners of married couples so that the male partner if he is abusive does not automatically gain control over this money leaving women no better off than before.
The positive aspects of the UBI for Maori and Pacific Island women would be the same as for Pakeha, however as with any state policy there is the simple fact that it is from a Pakeha institution based on traditional Pakeha ideals. Careful consideration will need to be made to ensure that the principles of UBI are in line with those of the Treaty of Waitangi. Principles such as partnership will need to be developed so that there is adequate consultation prior to the implementation of the UBI to ensure these issues are addressed.
The UBI is clearly a very individualistic concept based on a European notion and in this seems to contradict the Maori and Pacific Island notions of collectivity and community. However it is clear that the present system of social welfare and its benefit system are not working for these peoples and hopefully many of these issues can be addressed in the same manner as for European women who suffer under our present system. Just as the UBI gives women the choice of staying home or not, so UBI would give Maori and Pacific Island women the opportunity to devote their energy to the whanau or other collective activities.
The potential benefits of UBI, as have already been listed, are great yet little research has been undertaken as to how this will impact on these minority cultures. What this does signal is an opportunity for change and development of these ideals so as to provide a basic standard of living for all irrespective of culture or gender.
Summary:
Women's position within society has always been in a state of marginal citizenship. Through the male structures and policies of our society women have been viewed as not having or requiring the same economic rights as men and through the nature of the market do not have the unpaid work they undertake recognised. The interrupted participation of women in the work force acts to de-skill women and disadvantages chances of promotion based on longevity of service. It is clearly evident that women are paid less and are given less opportunity to enter higher paid occupations. The term, 'the feminisation of poverty' is being used more and more frequently as women are forced to take low paid part-time or casual work so as to balance the needs of themself or their family with those of their children. Social policy only serves to reinforce this position and the careless disregard paid to women's policies is evident in the repeal of pay equity legislation.
Through the feminist campaigns of the seventies and the increasing awareness about the needs of women within the home and the workplace steps have been made to rectify the problems of the past. However the steps have not been adequate to meet the needs of all women. A Universal Basic Income while not providing the total solution to women's inequities would address many of these issues. It would at least ensure that every individual in society has a minimum amount to live on and would provide a independent income to all women. This would part way address the inequity of women's citizenship.
A partial Basic Income could be seen as an initial step towards a UBI, alternatively altering the unemployment benefit to give universal entitlement for all those currently deemed as unemployed irrespective of their partners income. These initial steps to rectify women's position in our society could be insufficient, however if there was also, unrestricted access to health services and education, and state support for accommodation for the lower paid the benefits for women are seemingly endless.
A UBI however is just part of the solution, it does not offer answers to all problems faced by women and should not in anyway overtake or halt the campaign for greater equality and equity within society. It is essential that the campaigns for better child care facilities and rights within the home are continued to be fought for. However in considering policy direction within the women's movement I do believe the concept of UBI should not be overlooked. The benefits for women and other low income groups in society are great and research into the impact for minority cultures and all groups of women needs to be encouraged.
Conclusion:
In conclusion the position of women as marginal citizens within our society is clear. The discriminatory policies which maintain women's position as low income earners who fail to have their unpaid work recognised have not been greatly undermined by the feminist movement. What is required is a change of direction. Through the investigation and possible implementation of a Universal Basic Income women would be able to advance their position within these arenas. It would provide a platform to achieve better access to other services within society and would enable the citizenship and economic status of women to be developed independently from men. It is essential that a UBI is considered as part of a larger picture while continuing the fight for better resources and services for women. Today many women of different cultures within our society are denied the same rights as their male counterparts and in many instances are forced to live within the realms of fear and poverty. The present system of state provided benefits does not work for everyone and fails to address even some minimal necessities of many. A Universal Basic Income would address a lot of these issues and would ensure that everyone in society would at least have the income to meet their basic needs irrespective of gender, race, employment or marital status.
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ã 1996 Nicola Stanley-Clarke