to a household that experiences in-work poverty are labourers (+2.7 percentage points) and the
group encompassing community and personal service workers (+3 percentage points).
When we further break down the type of occupation (see Appendix Table A 3), we find that some
groups are rather homogeneous: for example, among the different types of machinery operators and
drivers, the in-poverty rate relative to the sample average ranges between -0.2 percentage points for
road and rail drivers and -1.3 percentage points for machine and stationary plant operators. However,
substantial heterogeneity can be found among most other groups: e.g., among labourers, households
with an adult working as a factory process worker experience an in-work poverty rate of
-0.4 percentage points lower than the sample average, while the respective statistic for households
with cleaner and laundry workers is +6.6 percentage points. These examples suggest that
understanding the relationship between occupation and in-work poverty prevalence requires
examination of occupational categories in disaggregated detail.
However, one drawback of this approach is that it is not clear whether the wage received from the
occupation stems from the main or (if present) the secondary earner in the household. We therefore
also identify for each household the individual with the highest monthly earnings from wages and
salaries and consider the relationship between their occupation and in-work poverty. The sample size
of households in this set-up (i.e., defined by occupation of main earner) is 698,628 observations, 25
and the average in-work poverty rate is 4.9 percent. The square markers in Figure 8 illustrates
respective distributional numbers relative to the sample average. At the upper end of the
occupational hierarchy, we find that the mean in-work poverty rate is lower when considering the
particular occupation of the main household earner, relative to considering that occupation for any
household earner. For example, this is the case for the categories of both professionals and
managers. However, at the other end of the occupational spectrum (i.e., sales workers, community
and personal service workers, and labourers), we find the opposite effect. The in-work poverty rate is
higher if these occupations are associated with the main earner, relative to any earner in the
household. For example, according to the first definition, community and personal service workers
have an in-work poverty rate of 3 percentage points higher compared to the mean – and when this
occupation was associated with the main earner in the household, the in-work poverty rate rose to
6.4 percentage points higher than the respective mean.
Note this sample is lower than the full sample of 725,313 working households due to missing information and/or the
identified main earner was working earlier in the year, but not during March 2013 when the Census was conducted, and
hence had no occupation to report.
25
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