Who are the working poor? An analysis of in-work poverty in the EU

EESO quarterly reviews periodically provide an overview of recent social and labour market developments in the EU, accompanied by specific thematic analyses. It is complemented by the EESO quarterly dashboard, which provides always up-to-date data, additional indicators and charts, and national figures.

The thematic part of this review focuses on in-work poverty in the EU and underlying factors. This is relevant in the context of European Commission’s efforts to tackle poverty and improve job quality.  

The analysis shows that in-work poverty is linked to job quality, household composition and workers’ characteristics. Job quality and income support are particularly important for single-adult households. For multi-adult households, workers’ monthly wages remain important for mitigating poverty risks, alongside households’ composition. Even decent wages may not be enough to protect workers from poverty when they live with other dependent adults and children.

Overall, while quality jobs often can protect workers against poverty, additional income support policies may be needed for workers who live in households with dependents. These include minimum income, in-work benefits, child-related benefits, disability benefits, and adequate pensions.