Employment, Social Affairs & Inclusion

inactivity trap

Indicator name inactivity trap
Code SI-C9b
Detailed definition Total increase in effective tax burden resulting from a transition from labour market inactivity to a full time low-wage job with and without childcare costs as % of gross earnings in new job.
Breakdowns Household type (single without children, couple without children, lone parent with two children, two-earner couple with two children); by wage level
Source EC/OECD tax-benefit model
SPC portfolio section Social inclusion – context

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