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Austerity measures are exacerbating the gap between the ‘haves’ and the ‘have nots’
by UN Special Rapporteur on extreme poverty
1:42am 20th Oct, 2011
 
October 2011
  
The Special Rapporteur on extreme poverty and human rights, Magdalena Sepúlveda, called on States to address without delay the growing inequalities between the ‘haves’ and the ‘have nots.’
  
“In several countries,” she warned, “disparities created by the crisis have been exacerbated by austerity measures put in place to facilitate recovery.”
  
“These rising inequalities have diminished social cohesion and increased insecurity and exclusion throughout the world,” the Special Rapporteur said on the International Day for the Eradication of Poverty. “Should these inequalities persevere, the result could be increasing social unrest and conflict, such as that seen over recent months.”
  
“While States are going ‘back to business’ on the presumption of a ‘post crisis’ recovery, the financial and economic crises are still very much in full swing for those living in poverty,” Ms. Sepúlveda said. “At the current rate, it will take more than 800 years for the bottom billion of the world population to achieve 10 per cent of global income.”
  
According to the UN expert, it is now clear that the poorest and most excluded bore the brunt of the crises, while the incomes of the richest segments of society continue to soar in many of the countries most affected by the crises.
  
For example, in the US, the poor continue to grow in number, with six million people falling into poverty since 2008 and one in seven Americans now living below the poverty line, more than at any time in the past 50 years.
  
“The twisted irony is that those who have benefited most from past economic growth and development have been those who were already better off, and those who have suffered the harshest effects of the cumulative crises have been the poorest and the marginalized in all societies, including single-parent families, older persons, ethnic minorities, persons with disabilities and migrants,” the poverty expert noted.
  
“Recovery measures must look beyond growth. The September 2010 Millennium Development Goals Summit outcome gave renewed emphasis to the goal of sustainable, inclusive and equitable growth,” stressed Ms. Sepúlveda.
  
“What is required are recovery measures that are equitable, accompanied by human rights safeguards and designed from the ground up, taking into consideration the specific needs of vulnerable populations.”
  
States may benefit from the experience of the few countries that have narrowed the gap between the incomes of the poorest and wealthiest groups over the last decade. “Progressive taxation, social protection programmes and minimum wage legislation have all been proven effective in alleviating poverty while tackling inequalities,” the Special Rapporteur recalled on the International Day for the Eradication of Poverty.
  
July 2011
  
Unjustified cuts in aid to the poor during a financial crisis could violate human rights standards, and economic recovery must start with the most vulnerable, according to a United Nations human rights expert.
  
Magdalena Sepúlveda, the UN Independent Expert on human rights and extreme poverty, told a Human Rights Council meeting in Geneva that “unjustified reductions in expenditures devoted to implementing public services that are critical to the realization of economic, social and cultural rights will be in violation of human rights standards.
  
“There is no space in human rights for a trickle-down approach,” she said on Monday. “From a human rights perspective, recovery must start with the most vulnerable and disadvantaged.”
  
“Human rights are not expendable during times of crises and recovery. Even when resources are limited, States are legally bound to respect, protect and fulfil international human rights obligations,” Ms. Sepúlveda said. “The challenge of recovering from the global economic and financial crises is an opportunity to embrace a vision for the future aimed at the full realization of human rights.”
  
The independent expert said that several recovery measures adopted by States in the aftermath of the crises seriously jeopardize the enjoyment of economic, social and cultural rights by the poorest and most vulnerable groups.
  
“Austerity measures such as cuts to social protection systems, regressive taxation measures, and elimination of food subsidies are proving detrimental to the poorest of the poor, exacerbating their already precarious situation,” Ms. Sepúlveda said.
  
Increasing inequalities and food insecurity, the declining availability of natural resources and unpredictable changes to climate patterns are likely to increase the potential for social unrest throughout the world, she said.
  
“Any recovery plan must anticipate these challenges and assume that there will be many more crises to recover from,” she said. “Only human rights-based change can directly address the long-term structural barriers to equality and set the foundations for a sustainable, socially inclusive society.”
  
Ms. Sepúlveda urged States to view the challenge of recovery as a unique opportunity to aim towards the full realization of all economic, social and cultural rights for all individuals.
  
“Through a human rights-based recovery, States have the chance to embrace new and ambitious approaches to reducing inequality, eliminating poverty and creating stable societies that will withstand future shocks.”
  
The expert’s report outlines a number of measures to which States should lend serious consideration when formulating their economic recovery, including implementing a comprehensive social protection floor, adopting socially responsible taxation policies, and enhancing regulation that protects individuals from abuse.

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