• 7.1 Economic and Employment Status of the Disabled
• 7.2 Economic and Employment Status of the Blind and Vision impaired
• 7.3 Barriers to Employment
• 7.4 Financial Costs of Employment
• 7.5 Opportunity Costs Related to Employment
• 7.6 Individual Costs
• 7.7 Society Costs - Employment Related Subsidies, Services and Benefits

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This section discusses the economic and employment status of blind and vision impaired persons, as well as the individual and social costs associated with employment, under-employment and unemployment.

7.1 Economic and Employment Status of the Disabled

Findings from the 2001 New Zealand Disability Survey show the lower economic and employment status experienced by all adults with a disability (Statistics NZ, 2003). In all age groups, adults with disability are more likely than adults without disability to not be in the labour force. In all age groups under 65 years, unemployment rates are also higher for adults with disability than for adults without disability. In a review of overseas literature, La Grow (2003) reports an employment rate of 32% in Britain and 50% in America for persons identifying as having any type of disability.

People with disability in the 25-64 age group are more likely than non-disabled people to obtain income from ACC or from a government benefit. In the 65 plus age group and similar to most people without disability, most people with disability derive their income from NZ Superannuation. However, people with disability were less likely than non-disabled people to derive income from wages, salary, commissions, bonuses and other payments made by employers, or from self-employment (Statistics NZ, 2003).

In all adult age groups, people with disability are also more likely than people without disability to live in low-income households. Adults with disability in the 25-44, 45-64 and 65 plus age groups are also more likely than their non-disabled counterparts to have low personal incomes (Statistics NZ, 2003).

7.2 Economic and Employment Status of the Blind and Vision impaired

The impact of blindness and vision impairment on employment and economic status has been widely examined. La Grow (2003) in a review of overseas studies notes that employment rates for this group are typically low worldwide, estimating only 25-30% of working age blind and vision impaired persons in developed countries to be meaningfully employed. Curtis et al (1986) identifies the lack of suitable work as a significant issue facing the disabled generally. Participants in this study express a desire not only to be financially independent but also to have the experience and regular social contact which employment provides. Newbold (1987) concludes employment and income issues to be the greatest contributor to the difficulties faced by a blind or vision impaired person as well as being central to their ability to achieve independence. Hanley (1992) concludes that the majority of people with a visual impairment, including a majority of those of working age, are not in the paid labour force. His analysis of Newbold's 1987 study showed that the majority of respondents relied on some form of government benefit for their income.

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A study by the European Blind Union (EBU, 2001) reports an average of 60% unemployment amongst blind and vision impaired people in European countries. Particularly high rates of unemployment are reported for Poland (87%), Hungary (77%), Germany (72%), Denmark (69%) and Norway (98%). A recent American study showed that persons 'blind in both eyes' had lower economic status than those with less severe vision impairment and those with hearing impairments. Economic status was, however, similar to those reporting other serious impairments such as paraplegia, hemiplegia, quadriplegia and mental retardation (Houtenville, 2003).

Findings from the 2001 New Zealand Disability Survey show a relatively higher level of economic and employment disadvantage experienced by those blind and vision impaired compared to other disability types. Compared to other disabilities, the survey shows those with a seeing disability to have the lowest level of employment and greatest likelihood of not being in the labour force (refer to Table 12).

Table 12: Disability type by Labour Force status, 2001

(Source: Statistics New Zealand, 2001 Household Disability Survey)

In a recent study of RNZFB members 39% of participants were employed while 61% were not in employment (La Grow, 2003). However, of those unemployed, only 40% were actively seeking employment and the unemployment rate was concluded to be 14-24%. The higher figure included 'discouraged workers', that is, those blind and vision impaired who said they were not seeking work, but would be interested in work if it was made available. The lower calculation of 14% was identified as three times the national unemployment rate of 5.3% at the same time.

Studies have also found that in addition to low incidence of employment, blind and vision impaired persons are less likely to be employed at levels that reflect their skill and educational levels (Leonard, D'Allura & Horowitz, 1999). La Grow (2003) presents similar findings in New Zealand, with 24% of employed participants in his study believing they worked too few hours and 30% feeling their current position was below their skill and

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educational levels. Thirty-six percent of working respondents felt that due to their blindness or vision impairment their chances for promotion were limited when compared to others and 40% felt that their wages or salary did not reflect their level of employment (La Grow 2003).

When the results of the study were analysed by degree of vision and gender, it was found that males with greater vision were more likely to be in paid employment than females and those with little or no usable vision (La Grow, 2003). Those with the least education and those with the most education were also found least likely to be in employment.

Of employed respondents in the RNZFB study, 34% worked a maximum of 1,200 minutes (20 hours) per week, 24% worked between 1,860-2,400 minutes (31 to 40 hours) per week and 29% worked more than 2400 minutes (40 hours) per week. Two thirds (67%) felt that the number of hours they currently worked were about right (La Grow, 2003).

7.3 Barriers to Employment

A number of studies have examined the disadvantages and barriers blind and vision people face in gaining employment. Securing employment can be difficult due to practical difficulties such as going to employment agencies and accessing job vacancies (RNIB, 2000) and because of stigma and discrimination (Beatson, 1981). Beatson (1981) also notes reduced job opportunities due to an inability to perform some types of jobs as a significant barrier to some types of employment. Newbold (1987) also comments that it can be difficult for blind and vision impaired persons securing work that is not of low status and not lowly paid.

La Grow (2003) reports that 80% of respondents in the RNZFB 2002 employment study report barriers to employment. These include discrimination, employer attitude or ignorance and functional limitations related to blindness or vision impairment.

The EBU (2001) also notes the range of employment obstacles faced by the blind or vision impaired person. These include practical limitations associated with being vision impaired, high rates of general unemployment, low job qualifications and experience, employers' prejudice and a less than supportive legislative and policy environment.

In addition, while blind and vision impaired workers may have academic skills, ability and qualifications, they may lack the practical and life skills to be employable. The changing labour market, including an overall reduction in the volume of low skilled jobs available, may also mean relatively fewer opportunities for the lower skilled and educated blind or vision impaired person compared to those without vision impairment.

7.4 Financial Costs of Employment

When a blind or vision impaired person is in employment, direct financial costs can be incurred by the individual, the employer or society in general. These can include: required

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office modifications and technology (RNIB, 2000); the need for time off work and lost earnings due to medical appointments and treatment (Newbold, 1987); and the additional administration costs faced by those self-employed (Newbold, 1987). A number of studies suggest that blind and vision impaired employees may bear some of the additional costs of employment themselves in order to improve their employment prospects (Hanley, 1992; RNIB, 2000).

A recent study by the RNZFB (Fitzgerald & Associates, 2003) examines the substantive costs of supporting vision impaired staff within the RNZFB. Five main areas of extra cost are identified: personal equipment and communication needs; the cost of converting written materials to Braille; the need for extra administrative support; travel costs; and training and adaptive technology needs to maintain equal access to information.

7.5 Opportunity Costs Related to Employment

Previous research has discussed the range of opportunity costs faced by blind or vision impaired workers. A central theme is unrealised earnings and lost income potential typically experienced by the blind or vision impaired individual (Newbold, 1987).

Beatson (1981) has noted how the difficulties of finding employment can lead to a self-perpetuating cycle of failure, self-doubt and lack of confidence, leading to a lack of motivation to seek employment. He also observes there can be financial disincentives to seek employment because of the impact on benefits and subsequent income.

Hanley (1992) identified that 54% of respondents in Newbold's 1987 study felt that their visual impairment had resulted in a loss of earnings or job. Almost half (48%) reported difficulty obtaining employment and 84% said they would like to do jobs that they couldn't because of their vision impairment. Three quarters of those 20-39 years and 86% of those 40-59 reported that their vision impairment had negatively affected the amount of money they earned.

If work is secured, blind and vision impaired employees can face limited upward mobility because of the type of work that is typically found (Newbold, 1987; Beatson, 1981). Newbold (1987) also notes that employers and colleagues can have lower expectations of blind and vision impaired workers. Such perceptions can further limit the scope for personal development and promotion. The RNIB (2000) also discusses barriers to career building, promotion and limited access to further training.

Chou et al (2003) note the loss of labour and talent to society as a result of blind and vision impaired persons being unable to find work, or, having lost their job. The potential lost production of partners, family, friends and carers who support the blind or vision impaired individual is also recognised as a loss to society in the same way. The authors calculate the average cost of lost production of carers to the Australian society to be AUS$181.43 per month.

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La Grow's 2003 study of employment among RNZFB members also examines a range of opportunity costs related to employment. Based on respondents' own perspectives of their employment situation, findings are mixed. Just over two thirds of respondents (67%) felt that the number of hours they currently work was about right and just over half (56%) felt their rate of pay was about right. Forty percent felt their rate of pay was "a bit too low" or "way too low". When compared to the average take home pay, 79% felt that their pay was a bit or way below this amount (La Grow, 2003).

Seventy percent of respondents felt that their present position was about right, while 30% felt their position was "a bit too low" or "way too low" for their ability and qualifications. Only 39% of employed respondents felt that their opportunity for advancement in their workplace was about the same as their peers'. Over a third (36%) felt their opportunities were "a bit worse" or "way worse" than their peers', while 26% felt them to be "a bit better" or "a lot better" (La Grow, 2003).

7.6 Individual Costs

Twenty percent (n=40) of all survey respondents in the current research were employed. Of these, 38% were in full time employment, 35% were in part-time employment and 28% were self-employed.

Because of the relatively small numbers, survey findings in relation to employment are provided as actual, un-weighted numbers of respondents.

7.6.1 Financial Costs

Travel to and from Work

Eleven respondents report that they walk to work. Other forms of transport used include travelling in someone else's car (n=7), public transport (n=6), taxi (n=4) and own car (n=3). Taxi users report an average weekly spend of $104.50 on taxis ($130 for those who are blind, $79 for those who are vision impaired). Accounting for the Total Mobility subsidy, the average personal weekly cost to all users travelling to and from work is $60.25. Taxi users in the prime working age group of 18-65 years have an average personal weekly spend of $72.00 while those under 18 years have an average weekly spend of $25.00. Users who are blind spend on average approximately $10 more a week than those who are vision impaired.

Travel within Work

Of all employed respondents, 15 are required to travel as part of their employment. Travel within someone else's car (n=5) or by taxi (n=4) is most common. For those travelling by taxi, an average weekly spend of $38.33 is reported.

Of respondents using transport other than taxis, seven report receiving driver assistance. Identified drivers include partners, work colleagues and specifically provided drivers. An average of 623 minutes of travel assistance is received each week (125 minutes each

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working day). Four of these respondents report that the travel assistance provided is specifically allocated to meet their requirements. In two cases, the cost of this assistance is provided by the employer, in one case by a government agency and in another by the individual, who is self-employed.

Total Annual Employment Travel to Work Financial Costs, 2004

Total annual work related travel costs for the Foundation membership is estimated at $498,000. This includes the cost of taxi travel not funded by subsidies (such as Total Mobility) and the cost of any employment related travel borne by the individual. The survey recorded no taxi costs incurred by society; the level of funding from the Total Mobility Scheme is discussed in a later section of the report.

Table 13: Annual Work Related Travel costs to the individual and society

7.6.2 Time Costs

Travel to and from Work

Employed respondents report an average of 38 minutes travelling to and from work each day. Blind workers (49 minutes) spend more time on average each day travelling compared to vision impaired workers (30 minutes).

Respondents travelling to work by car are most commonly driven by family members, typically husbands, wives or partners. Where these drivers make a special trip to take workers to work, family drivers spend on average 287 minutes per week driving while society drivers spend an average 160 minutes per week.

Total Annual Employment Travel to Work Time Costs, 2004

Total annual travel to work time costs for the Foundation membership is estimated at $110,000. This includes time spent by individuals and society assisting blind and vision impaired people to travel to their place of work.

Approximately 57% of total time costs can be attributed to Blind members, with the cost to either blind or vision impaired individuals being the largest component of the total cost experienced, at 81% ($190,000).

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Table 14: Annual time cost of Travel to and from Work to the individual and society

Time Working

While the time is not quantifiable, employed participants commonly report spending more time fulfilling the requirements of their jobs compared to fully sighted equivalents doing similar jobs. Reasons discussed for this include: specific activities take longer to complete, additional breaks may be required throughout a working day and a more consistent work pattern may be required. Employed participants also report feeling the need to work extra hours to ensure they are fulfilling their role as well as a sighted person does, or would be expected to. One employed female focus group participant comments:

"I work far more hours into the evening just to make sure that things are done....[you have to] work better and harder and more effectively to be as effective, or productive." (Employed Female)

The need to undertake work-related adaptive technology training can also result in time and indirect financial costs. For one self-employed male participant, the need to attend training meant forgoing income for three months. For another, it meant falling behind in his paid work.

7.6.3 Opportunity Costs

Employment related opportunity costs identified by participants in the research include reduced employment and career potential (refer also: La Grow, 2003; RNIB, 2000; Newbold, 1987; Beatson, 1981), under-employment, and forgone or lost income (refer also: Hanley, 1992).

Reduced Employment and Career Potential

Participants identify a range of factors contributing to reduced employment and career potential. These include certain careers not being available to them (refer also: Beatson, 1981), having to modify or limit career expectations, accepting less than appropriate employment, and limited prospects for career progression (refer also: RNIB, 2000; Newbold 1987; Beatson, 1981). Older participants in particular report encountering active discouragement to go on to higher learning when they were young and, in the absence of current technology, an extremely restricted range of employment options.

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A young male participant notes the difficulty of building up work experience to enhance future employment potential:

"When you are a teenager, going for a job as a Foodtown person or something... most people find easy, [but] it is quite difficult for people who can't see properly, and when you don't get those jobs it leads on to getting older and having no job history and that makes it harder getting a job in the future." (Male Youth)

Under-Employment

Once employed, participants recognise that blind or vision impaired workers are more likely to remain in work for which they are overqualified or which does not fully extend them (refer also: La Grow, 2003). A range of factors are identified through the research as likely contributing to this situation: the difficulty of job searching and finding employment in the first place; the desire to fulfil the expectations of those who assisted in securing employment; a perception of limited opportunities and a subsequent lack of confidence in considering an alternative; and, a sense of security in knowing that the current employment at least accommodates the person's vision impairment. Further, in order to move beyond their current employment, a qualified and skilled blind person may require a level of support and mentoring not necessarily available to them.

One employed female participant observes:

"The job I have been doing for the last 9 months I have loved it, but compared to what I could have been earning it is probably a lot less. I have a [university] degree, I have spent five years training to come out with a qualification, but I have been doing a job that someone that just came from school, or didn't have any training, could have done." (Employed Female)

Participants accept that they are likely to experience discrimination in the job market. Consequently, some report feeling pressure to demonstrate their ability to perform as well if not better than a sighted person. This can include feeling the need to acquire more or higher academic qualifications or being prepared to work for a period of time without pay in order to demonstrate capacity and capability. Comments include:

"You kind of feel like you have to have more than the regular person to get the same kind of job. It's all equal opportunities, but at the end of the day for an employer to take on someone with a visual impairment is a lot of work for them. It's like you have to somehow make yourself better than the average person to be employable." (Female Youth)

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"... You do have to study harder and longer and try to be better qualified and prove you can be an effective and productive employee in order to get a job." (Employed Female)

Loss of Income

The loss of income, both real and potential, is also commonly reported. Participants report having to pursue alternative, lower paid career paths, being less able to follow potentially higher paying employment opportunities and having to give up previous employment and income because of developed vision impairment. For example, an older female participant was unable to continue working as a self-employed seamstress and subsequently experienced a loss of income. A male participant with a business degree was unable to accept higher paid work overseas because necessary support networks would not be available for him in another country.

Self-employed participants report further examples of lost income or additional cost. In order to be competitive, a male participant working in manufacturing is required to price his goods equivalent to those produced by sighted equivalents. This is despite the additional equipment and time costs he incurs during the manufacturing process. The participant comments:

"... it takes me longer, but you cannot charge that extra time for the job you a doing. You can only put the cost on the item you are making, equal to the cost as if a sighted person made it. So if it takes for example four hours to make, I have to think, 'now what would I reckon a sighted person would do it at..." (Self-employed Male)

Self-employed participants also note the need to be highly organised with high levels of forward planning, and report being more susceptible to making small errors. Another self-employed participant reports that if he runs out of materials he requires for his business, he has to wait until someone can transport him to the shop to purchase what he needs. This can mean delays in completing work, which in turn can impact on income earned.

Parents of vision impaired children also report a loss of income and employment opportunities, usually because employment is forfeited in order to provide the level of support their children require (refer also: Chou et al, 2003; Lukemeyer, & Smeeding, 1998; Newbold, 1987; Meyers, Curtis et al, 1986). This can include the need to provide full time care for the child, being restricted to part time as opposed to full time employment, and the requirement to take time off work or use holiday entitlements to fulfil care and assistance needs. Comments include:

"No one has any idea what to do with a blind child, and until they hit kindergarten age, there is not really any support out there for us. I have

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not worked since [my daughter was born], it has just been a full-time job." (Mother of Vision impaired Child)

"I had a part-time job that I had to give up to help [my daughter]. They need so much more input; you can't be a part-time parent with them. You have to be more than a full-time parent. So you can't do anything else." (Mother of Vision impaired Child)

"My mum generally had to go for jobs that she knew she would get time off for and when I was really young at primary school she would pick me up from school and stuff. She had to do part-time work, she didn't feel safe letting me walk home from school." (Male Youth)

7.7 Society Costs - Employment Related Subsidies, Services and Benefits

7.7.1 Support and Assistance

Sixty-four percent of employed respondents (n=25) report requiring assistance from others to complete the requirements of their job (refer also: Fitzgerald & Associates, 2003). Blind respondents (72%) are more likely to require assistance compared to those vision impaired (57%), as are those employed full time (72%) compared to those employed part time (50%).

Additional administration or secretarial support (n=16) is most commonly required followed by assistance with reading (n=8) and in fulfilling travel requirements (n=2).

Assistance is most commonly required on a daily basis (n=9), with daily assistance most typically required for administration and secretarial support. Seven respondents require assistance at least twice a week, five once a week and six less than once a week.

On average, respondents receive an average of 253 minutes of assistance each week. Blind workers (265 minutes) receive slightly more assistance each week on average compared to those vision impaired (241 minutes).

Four respondents report that the time spent providing them with assistance is specifically paid for rather than being provided through an existing job or activity. Three respondents report this time being paid for by society Footnote 8 Defined to include employer; ACC; other government agency; other private agencies. End of Footnote 8 at an average of ten hours paid per week. One respondent who is self-employed reports the time being paid by themselves and/or their family at an average of 14 hours per week.

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Total Annual Time Cost of Workplace Assistance

The application of the Foundation membership population figures provides an estimated total annual time value for workplace assistance of $321,000.

Table 15: Annual cost of Workplace Assistance to the individual and society

7.7.2 Workplace Modifications

Twenty-one percent (n=8) of employed respondents report that modifications had been made to their workplace to accommodate their blindness or vision impairment. These include changes in the layout of work areas (n=4) and additional or special lighting (n=2). Others mentioned include improved access ways to the place of employment and the installation of air conditioning.

In all cases, modifications to the layout of the work area were paid for by the employer while additional or special lighting was paid for by the respondent and/or their family.

Personal cost to the individual for workplace modification estimated at an average of $72.86 for each modification.

Other supportive changes identified as being made in the workplace include modified or different duties (n=4), modified hours or days of work (n=2), and modifications to job responsibilities (n=2).

Total Annual Financial Cost of Workplace Modifications, 2004

The total annual financial cost of workplace modifications for the Foundation membership is estimated at $9,900.

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Table 16: Annual financial cost of Workplace Modifications to the individual and society

Total Annual Time Cost of Workplace Modifications, 2004

The application of the Foundation membership population figures provides an estimated total annual time for workplace modifications of $480,000.

The major component of the total time cost is the cost to society for workplace modifications undertaken for the vision impaired. This amounts to $420,000 or 88% of the total time costs.

Table 17: Annual time cost of Workplace Modifications to the individual and society

7.7.3 Workbridge

Workbridge is a not-for-profit organisation contracted by government to enable people with disabilities to participate and experience equal opportunities in the labour market. Workbridge has been delivering work-focused services for the last twelve years and has twenty centres nationwide. On average, Workbridge has made 3,500 job placements annually (Workbridge Website, 2004). Services are free to both job seekers and employers. As part of its service, Workbridge administers Support Funds, a government initiative aimed at leveling the playing field to enable a client with a disability to "gain or maintain employment". Within the support funds there are three groups: Job support yearly (for employment), Training support (for training) and Self Start (for self- employment). To be eligible various criteria must be fulfilled, but the overall aim of the funds is to address those extra costs faced in the workplace that are unavoidable because of disability.

Between 1 June 2003 and 30 May 2004, 75 blind and 167 vision impaired persons received financial assistance through these support funds. On average these blind clients

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received $5,965 each and vision impaired clients $4, 606, providing a total support cost of $1.2m for the period.

7.7.4 State Services Commission

Mainstream Supported Employment Programme (Mainstream) is an initiative facilitated by the State Services Commission to enable people with disabilities to participate in mainstream employment and 'on the job' training in the public sector. Mainstream was established in 1976 and since this time over 1,000 people have participated in it. Mainstream provides a subsidised salary for two years (100% in the first year and 50% in the second year), an advice and referral service for employers and programme participants, follow-up support and access to funding for external training (State Services Commission website, 2004). The programme is reported to have a success rate of between 55 and 65%, measured by those programme participants who go on to maintain or find meaningful long term employment (State Services Commission website, 2004).

7.7.5 Summary of Employment Costs

Costs of Blindness experienced in relation to employment as covered in the RNZFB Costs of Blindness survey are summarised in Table 16 below. With regards to the costs experienced and covered in the RNZFB Costs of Blindness survey, society costs make up the majority of all costs accounting for 74% of all work related costs. Employment costs, overall, are greater for vision impaired respondents than compared to blind respondents; however, the blind population reports a higher cost in relation to work related travel.

Summary Table 18: Annual Employment related costs to the individual and society

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