Is underemployment a problem or not?

Len Shackleton is featured on the BBC News website

There is a growing number of people who are working part-time when they would prefer to be working full-time.

The number of people in this situation - known as involuntary part-timers - has doubled in the past four years to 1.4 million, because of the two recessions the UK has gone through since the onset of the international banking and financial crisis.

"Underemployment normally rises in recessions because part-time work is second best for people who want full-time work," says Len Shackleton, a professor of labour market economics, and fellow at the Institute of Economic Affairs (IEA).

"From the point of view of employers, it enables them to get work done without the commitment to full-time employment."

Read the full article here.

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