MONET 2030: Risk of poverty by migration status

SDG 10: Reduce inequality within and among countries

Goal description

"[…] inequality still persists and large disparities remain in access to health and education services and other assets. Additionally, while income inequality between countries may have been reduced, inequality within countries has risen. […]"

Swiss target 10.7: Immigration is safe, orderly and in keeping with Switzerland's economic prosperity and social cohesion. Refugees and vulnerable persons are afforded protection that takes gender and age-specific needs and vulnerabilities into account. The causes of flight and irregular migration to Europe are tackled and the integration of refugees and migrants is encouraged and demanded.

Significance of the indicator
The indicator shows the percentage of people living below the at-risk-of-poverty threshold according to their migration status. It measures the risk of social exclusion and the level of income inequality between population sub-groups with a migration background and those without. A higher at-risk-of-poverty rate in a population sub-group denotes inequality of opportunity in this sub-group’s participation in various areas of life and society compared with others. From a sustainable development perspective, the proportion of the population living below the at-risk-of-poverty threshold, and the gap between the rates observed for people with a migration background and those without, needs to be reduced.

Help for interpretation
The at-risk-of-poverty threshold corresponds to 60% of the national median equivalised disposable income. In Switzerland, this threshold is just below CHF 2,500 per month for a single-person household and CHF 5,300 per month for a household with two adults and two children under 14.

International comparability
This indicator is comparable with Eurostat’s migrant integration indicators.

Synthesis

Comments: Calculation of the variation in % on the difference between the population with and without a migration background.

By sex

According to the social justice and equality of opportunity principles, gender equality is a key component of sustainable development. For this reason this indicator is also presented with a distinction made between men and women.

This indicator shows the percentage of people living below the at-risk-of-poverty threshold in the permanent resident population aged 16 or over, according to migration status.

The population without a migration background comprises all persons born Swiss in Switzerland or abroad to at least one parent born in Switzerland, and persons born in Switzerland or naturalised Swiss whose parents were both born in Switzerland. This includes persons from subsequent generations.

The population with a migration background includes all foreign nationals (irrespective of their generational status), first or second- generation naturalised Swiss (born abroad or born in Switzerland to a least one parent born abroad), and persons born Swiss to parents who were both born abroad.

At-risk-of-poverty threshold
The European Union has set the at-risk-of-poverty threshold at 60% of the median equivalised disposable income. Being at risk of poverty, therefore, means having an income that is significantly lower than that of the population as a whole, a situation that can lead to social exclusion. In Switzerland, the at-risk-of-poverty threshold is just below CHF 2500 per month for a single person household and CHF 5300 per month for a household with two adults and two children aged under 14. It varies from one year to the next according to the median equivalised disposable income.

Equivalent income (primary, gross or disposable)
The equivalent (primary, gross or disposable) income is calculated from the (primary, gross or disposable) income of each household divided by the number of persons it consists of by means of the household equivalence scale. In order to take into ac-count economies of scale (a family of four persons does not have to spend four times more than a single person to ensure the same standard of living), a weight of 1.0 is assigned to the oldest person in the household, a weight of 0.5 to all other per-sons aged 14 and above and a weight of 0.3 to each child aged under 14 (these val-ues correspond to the OECD's new equivalence scale); the «equivalence size» of the household is equal to the total values assigned to the people in that household.

Disposable income
The disposable income is calculated by deducting the compulsory expenditure from the gross income. This includes mandatory expenses, such as social security contributions (contributions to retirement and survivors' pensions and disability benefits, company pension schemes etc.) and taxes, health insurance premiums (basic insurance), regular payments to other households (e.g. alimony).

Swiss target 10.7: Immigration is safe, orderly and in keeping with Switzerland's economic prosperity and social cohesion. Refugees and vulnerable persons are afforded protection that takes gender and age-specific needs and vulnerabilities into account. The causes of flight and irregular migration to Europe are tackled and the integration of refugees and migrants is encouraged and demanded.

International target 10.7: Facilitate orderly, safe, regular and responsible migration and mobility of people, including through the implementation of planned and well-managed migration policies.