FOREWORD
A household’s wellbeing, and specifically economic/material wellbeing, is at the crux of ensuring that
its members’ human rights are protected. Economic wellbeing typically has its foundation in
meaningful employment. Having decent work is a human right, and it affects many other human
rights such as health, housing, education, food, and safety. Some New Zealand households have one
or more working members, yet still are living in poverty (called ‘in-work poverty’). They are struggling
with these human rights challenges every day.
A household’s economic wellbeing is often assessed by its poverty status. New Zealand has a number
of measures to monitor poverty and material disadvantage. One measure of poverty, the 50% before
housing cost relative measure, shows that 10% of the whole population was in poverty in 2018. This
rate is nearly double for Māori and Pasifika households. 1 Disabled people are also overrepresented
among low income groups; in June 2019, their median weekly income was $392 (compared with $749
for non-disabled people). 2
Society has widely believed that employment provides protection from poverty. However, that may
not necessarily be the case: for example, from 2007 to 2018, about 40% of children in poverty were
living in working households.1 The Ministry of Social Development (MSD) published in-work poverty
rates ranging from 9%-12% for 2018 3.
If New Zealand is to meet its child poverty reduction targets or the United Nations’ Sustainable
Development Goals, it must do more to support working households that have been unable to escape
the poverty trap. Achievement of these domestic and international targets will drastically improve
New Zealanders’ realisation of their human rights.
The New Zealand Human Rights Commission (HRC) wanted to produce evidence around the
prevalence of in-work poverty and the characteristics of in-work poor households, which could help
inform the systemic changes needed to reduce poverty rates. The extent of in-work poverty had not
been comprehensively assessed in Aotearoa before. As a result, the following research questions
comprised a starting point into the investigation of in-work poverty in Aotearoa:
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How do we define and measure in-work poverty in the Aotearoa context?
How many employed households are in poverty?
Who has a higher risk of becoming in-work poor?
What can we learn about other human rights circumstances of employed poor households?
How has the rate of in-work poverty changed over time?
HRC sought to identify partners on this project and approached MSD and the Ministry of Business,
Innovation & Employment (MBIE), who agreed to co-fund this research with HRC. These and other
agencies (including Treasury and the Child Poverty Unit in the Department of the Prime Minister and
Cabinet) developed the research questions, project scope, and requirements for a research provider
and provided feedback on the method and draft reports. This cross-agency approach will hopefully
help to ensure that the research lends itself to consideration by end-users during discussions on
poverty-reduction policy strategies. The New Zealand Work Research Institute at the Auckland
1 Perry
(2019).
NZ (2019a).
3 Perry (2019).
2 Stats