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The homeless are among the most marginalized and socially excluded groups in society. Not having a safe and secure physical space places them at a severe disadvantage in terms of being able to compete for and maintain employment. Although beliefs persist that homeless people choose this lifestyle, and that certain segments of the population refuse to work and would rather collect public assistance, research indicates that such beliefs are false. Indeed, few homeless people are on welfare, and there is also little evidence of the avoidance of work by the homeless; many hours are spent toiling for, in many cases, limited dollars. Recent research on homeless youth in Canada, for instance, suggests that an overwhelming majority express a preference for a regular job over their current money-making activities, such as panhandling, squeegee cleaning, sex work, or selling drugs (Gaetz and O'Grady 2002). Such work is considered to be a short-term economic strategy. Similar findings have been made in Britain, where homeless youth were shown to hold conventional beliefs about work, home, and the family (Jones 1997). The problem is therefore not about motivation, a rejection of the world of work, or the attractiveness of government benefits (in many jurisdictions the homeless are not eligible for welfare). That so few homeless people are employed at regular jobs in the formal economy raises questions regarding the social and economic exclusion of the homeless, and the barriers they face in getting work.

A useful way of thinking about this is to consider the range of resources that most people draw on to support their own employment. Most people do not have to worry about whether they will eat and do not need to be concerned about where they will sleep. A home provides shelter, safety from strangers (the homeless are among the most criminally victimized segments of the population), warmth and refuge, and the ability to keep oneself and one's clothing relatively clean. Having an address, telephone, and money for transportation means that conducting job searches are easier, and that at a minimal level, one is more attractive to employers. Having an alarm clock and regular daily routines (e.g., for eating and sleeping) allows one to adjust to the rigors of scheduled work. Of course, home is more than merely a physical space. Most people can also count on a broad and diverse range of social supports to provide emotional support and encouragement, nurturing and mentoring, and in some cases, the connections needed to get work. It goes without saying, then, that proper nutrition , rest, good hygiene, and personal safety, as well as structure to one's day and social supports, all play a key role in supporting a person's ability to find a job and keep it.

The homeless compete in a labor market where they are at a severe disadvantage, even when competing for the most basic minimum wage jobs. It is not just that many lack basic educational qualifications; the compromised physical and mental health of many people who are homeless also affects their ability to work. There is bountiful evidence that as a whole, the homeless are poorly nourished and tend to be susceptible to illness, injury, and trauma. Those with diagnosed mental illnesses are likely to face unique barriers to employment, and for them the future presents special challenges. In addition the fact that a number of people who are homeless are dealing with substance abuse issues complicates their ability to work, just as alcoholism and other forms of drug addiction challenge those who are domiciled.

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