Work and employment Flashcards
What is the welfare state?
A system where the state looks after the wellbeing of its citizens, especially those in financial and social need.
What does inflation mean?
A rise in prices over time. For shoppers it means that money buys less.
What does labour relations mean?
How managers and workers negotiate with each other about things like wages and hours of work.
What was the state of the British economy in the 1950s?
Fifties often been describe as the age of affluence (wealth), Harold Macmillan, the people of Britain have ‘never had it so good.’
People had more of a comfortable life in comparison to before and during the war: ‘post-war economic boom.’
Britain enjoyed full employment in the 50s and wages rose faster than prices.
Slum house clearances tried to improve housing.
What were the main changes in types of jobs?
Majority of the population had worked in ‘blue-collar’ jobs - industry and mining - this changed to more white collar jobs - in offices and service sector.
Explain why the type of job change in the late 50s and 60?
Content: % of people in services (white collar) rose 8%, blue collar jobs fell 8%.
Decline in blue:
1. Loss of British empire meant more foreign competition
2. Large and strong trade unions - higher wages meant products priced too high
3. Britain only shared 10% of world’s global manufacturing trade, had been 25% in 1950.
Increase in white:
1. More money spend in health and education
2. More disposable income
Explain the problems with the economy in the 1960s?
- Other countries were investing in their industries and using more modern technologies to produce goods cheaply.
- Having full employment was damaging British industries as they were struggling to meet wage costs.
- There was a trade gap! Britain imported (brought in) more than it exported (tried to sell abroad) - this is because British people preferred the cheaper imports! This trade gap was 6000m by 1967!
- Trade unions - in conflict over pay
- NHS costing 5 bn a year by 1975.
Explain how the economy was, in some ways, doing well in the 1960s?
- Standard of living continued to rise - more disposable income.
- Inflation was usually under 5%
- Unemployment was very low - only 2%!
Explain what the government did in this time to try and tackle wage/price spirals?
They called for PAY RESTRAINT.
This meant they asked businesses to cap (put a limit on) wage rises.
1971 - the government capped wage rises at 8%.
This didn’t work as the government could never tell businesses what to do.
