Italian families are in difficulty
The latest Istat report of 2023 painted an alarming picture of poverty in Italy. Although the country has seen an increase in employment, this has not translated into a significant improvement in living conditions for the most vulnerable segments of the population. Let us take a detailed look at the numbers, causes and possible solutions to counter a phenomenon that, unfortunately, seems to be entrenched.
Absolute poverty on the rise among Italian families
According to Istat data, in 2023 about 2.2 million Italian families, or 8.4% of the total, were in absolute poverty. This means that almost 5.7 million people (9.7% of the population) live below the subsistence threshold, a condition that limits access to essential goods such as food, education, and housing. Despite the 2.1% employment recovery and the general increase in jobs, this figure remained unchanged from 2022
Working poor: when having a job is not enough
One of the most worrying data in the report concerns the phenomenon of the ‘working poor’, i.e. those who, despite having a job, still live in poverty. In 2023, the incidence of absolute poverty among households with at least one employee rose to 10.7 per cent, reaching 16.5 per cent among households with a worker, the highest figure recorded since 2014. This figure indicates that work, especially for those in precarious or low-paid positions, is no longer a sufficient guarantee to maintain a decent life
Inflation and loss of purchasing power for poorer households
One of the main factors keeping poverty high in 2023 was the rise in inflation. Istat data show that inflation reached 5.9% this year, but for the poorest households the cost of living increased by 6.5%. Despite a nominal increase in spending, poor households have seen their purchasing power eroded, with increasing pressure on basic necessities. This context has increased the difficulty of access to essential services and further worsened the living conditions of millions of people .
Root causes: unemployment and social inequalities
Although the economic recovery has increased employment, precariousness and low wages continue to be common realities for many Italian families. Although welfare policies have been implemented, they have failed to adequately cover the needs of those most at risk. Moreover, the lack of adequate social protection systems for those in the most fragile positions in the labour market exacerbates the problem. The wealth gap in Italy continues to grow, with lower incomes remaining unchanged while higher incomes increase, exacerbating inequalities
Possible Solutions: Minimum Wage and Enhanced Social Support
Experts are unanimous in recognising that a multi-factor approach is needed to reduce poverty. Among possible solutions, there is often talk of introducing a guaranteed minimum wage, enabling all workers to earn enough income to maintain a decent standard of living. In addition, extending and making subsidies for low-income families more accessible could reduce daily economic hardship for many people.
In this sense, some targeted programmes, such as the citizenship income, have had a positive impact for some families, but experts suggest a review of such measures to make them more effective and sustainable in the long run .
Conclusion: the future of poverty in Italy
Despite the challenges, Italy has the opportunity to intervene on several fronts to fight poverty. Improving access to quality jobs, increasing wages and reforming the welfare system could provide Italian households with the necessary resources to lift themselves out of poverty. However, as the ISTAT report shows, this will require constant commitment and a willingness to innovate in the country’s social and economic policies.