Unemployment trap
Indicator name | Unemployment trap |
Code | C-9a |
Detailed definition | The percentage of gross earnings which is taxed away through higher tax and social security contributions and the withdrawal of unemployment and other benefits when an unemployed person returns to employment. Available only for single persons without children earning 67% of the average worker when in work. |
Source | Source: EC-OECD tax-benefit model |
SPC portfolio section | Overarching - context |