The WeLaR webinar “In-Work Poverty in Europe” brought together 37 participants to investigate the key drivers of poverty among working Europeans and explore the role of social, fiscal and labour market policies in addressing the issue.
Hosted by Università degli Studi di Perugia on 21 February 2025, the event opened with a welcome and introduction by Cristiano Perugini (UNIPG) and featured five presentations, followed by a lively discussion and exchange of ideas.
Anne-Catherine Guio (LISER) presented preliminary findings on what drives in-work poverty and how European workers move in and out of it. Her research shows that countries with similar in-work poverty rates may experience different types of transitions. People with low education, those in low work-intensity households, and individuals facing major life changes are at a higher risk of falling into poverty.
Anna-Magdalena Schwarz (Central European University) examined the gendered nature of in-work poverty in Europe, revealing that traditional poverty indicators often fail to capture women’s financial vulnerability. While household income dynamics primarily shape men’s in-work poverty, women are more likely to experience individual poverty, which is often masked by household-level assessments.
Daria Popova (ISER, University of Essex) showed that the model of activating individuals into employment fails to reflect women’s reality – part-time work, unpaid care, and the gender pay gap. Her analysis finds that only 1 in 3 women fit this model. Inactive and unemployed women are especially vulnerable to poverty, and even those with the same jobs as men face higher risks due to the gender pay gap. Taxes and social insurance disproportionately impact women in atypical jobs, increasing their poverty risk. Social benefits provide some support but are often insufficient, especially for unemployed, inactive, and self-employed women.
Fabrizio Pompei (UNIPG) presented findings from the WeLaR paper on in-work poverty in Europe and the impact of labour market and social policy reforms. He argued that family policies should be prioritised to tackle in-work poverty, with the strongest effects linked to reforms of paternity leave and non-gender-specific leave policies.
Ive Marx (University of Antwerpen) emphasised that in-work poverty is primarily a household work intensity issue, meaning solutions should focus on increasing overall household employment. While raising minimum wages as high as the labour market can sustain without adverse employment effects is important, it must be complemented by other measures. Keeping taxes and social security contributions low can help ease financial strain on low-income workers, while (quasi-)universal child benefits provide a crucial layer of income support for both working and non-working families.
