April 30, 2017
A universal basic income (UBI) can help European states, with a prevailing economic crisis because it promises payment to a European citizen by the state and there are no conditions attached to the payment. It does not matter what a citizen’s living condition or employment situation is like – a UBI aims to act as state support for Europeans.
In Europe, an almost-definitive gap exists between the rich and the poor: whilst unemployment has been a major concern in France, Belgium and Austria, employment figures are on the mend, by stark contrast in Portugal and Spain. Additionally, low economic growth has been observed in southern Europe in the face of much of eastern Europe experiencing high economic growth.
In Europe, as such, workers in low-paid jobs can depend on the UBI because it is a form of benefit independent from bureaucracy. To have a welfare state structure in countries where citizens could fall back on an unconditional basic income – a UBI, because they are unable to acquire an income in the midst of a ballooning economic disaster is a sound idea.
A UBI should be afforded by a European state within the parameters of regular taxation rates, so that there is no rising concern over a spike in taxes from too many state payouts to benefit citizens. Furthermore, there is no need for any minimum wage structure here on top of a basic income, and yet it could push people to go for jobs instead of being entirely dependent on the state as a benefit claimant because a basic job, with no intense workload in sight, could top their already basic income.
In Germany, the idea of a UBI is being floated in exchange for social insurance payments for various needs, such as unemployment. As an EU state, Germany could target poverty if UBI is introduced and this is whilst permitting people to enjoy the very basic things in life, such as freedom from any financial burden of unemployment which could dictate how they lead their lives.
Finland is another EU state toying with idea of a UBI for unemployed citizens and its plans reveal the continuation of the basic income, regardless of if claimants are able to secure a job. Meanwhile, a better income environment could propagate equality levels in Germany: unemployed Germans would have earnings, workers would no longer feel confined to the labour market even if the job isn’t good, and workers with a good employment outlook will not have welfare benefits tied to wage – this is similar to people with a higher degree of education not being in want of and thus not needing additional welfare benefits because they are more employable than those less qualified.Osmi Anannya