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Poor workers in advanced democracies: on the nature of in-work poverty and its relationship to labour market policies

In: Handbook of Labour Market Policy in Advanced Democracies

Author

Listed:
  • Rod Hick
  • Ive Marx

Abstract

In recent years in-work poverty has become widely acknowledged as a pervasive problem in affluent democracies, and not merely one that is only found in the USA and other “‘liberal” market economies. However, profound misunderstandings persist as to the nature and causes of this phenomenon and, therefore, also the most appropriate policy responses. This chapter explores the nature and extent of in-work poverty and its relationship to labour market trends and labour market policies. It emphasizes evidence on the contingent relationship between low pay and working poverty and the importance of aggregate labour market performance, second earnership in particular. The implications for the various policy levers through which governments can tackle in-work poverty are discussed.

Suggested Citation

  • Rod Hick & Ive Marx, 2023. "Poor workers in advanced democracies: on the nature of in-work poverty and its relationship to labour market policies," Chapters, in: Daniel Clegg & Niccolo Durazzi (ed.), Handbook of Labour Market Policy in Advanced Democracies, chapter 34, pages 495-507, Edward Elgar Publishing.
    • Handle: RePEc:elg:eechap:20451_34
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    File URL: https://www.elgaronline.com/doi/10.4337/9781800880887.00046
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