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Despite the economic recovery and the minor improvement in the labor market, social distress in Italy continues to be at alarming levels and affects approximately 15% of the population. The total number of Italians at risk of poverty, deprivation, or social exclusion - unemployed, precarious workers, underemployed, or with inadequate contracts - has stayed largely unchanged: 8 million and 550 thousand people, just 2,000 more than the previous year. Despite the decrease in unemployment, the area of social hardship has remained stable, and it is being fueled by the growth of poor labor. This is according to a report by the Unimpresa Study Center, which shows that the number of unemployed individuals saw a significant improvement: the total dropped from 1 million and 947 thousand in 2023 to 1 million and 664 thousand in 2024, a reduction of 283,000 units (-17%). Particularly notable was the drop in former workers (-21.5%) and those seeking their first job (-9.8%). Despite this decrease in unemployment, the proportion of employed people in precarious working conditions is increasing. This is the so-called “working poor”: those who have a job but still live in precarious economic conditions. In 2024, there were 6 million and 886 thousand Italians in this situation, a 285 thousand increase over the previous year (+4.1%). This growth is mostly driven by full-time fixed-term contracts, which increased from 2 million and 21 thousand to 2 million and 554 thousand (+20.9%). In contrast, part-time fixed-term contracts declined (-20.1%), as did involuntary part-time permanent contracts (-4.9%). A signal that "fixed-term" employment is on the rise, but also that a pervasive phenomenon of underemployment persists, particularly among women. There is also a slight increase in collaborations (+10.8%) and substantial stability among part-time self-employed workers, both categories often excluded from protections and with fluctuating incomes. The most concerning statistic, however, is that the "social hardship area" continues to exceed 8.5 million, despite the ongoing internal dynamics. An area that represents a big and transversal portion of the population, caught between employment and poverty, and exemplifies the structural instability of the Italian labor market.
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