America's lower-wage workforce: Employer and worker perspectives

Chicago, March 20, 2013—The Associated Press-NORC Center for Public Affairs Research announces the publication and availability of a major two-part study designed to better understand how lower-wage workers and those who employ them view such jobs and the opportunities for advancing the careers of lower wage workers. Funding for the surveys was provided to the AP-NORC Center by the Joyce Foundation, the Hitachi Foundation, and NORC at the University of Chicago.

"During the Great Recession that began in 2008, about one-half of the U.S. jobs lost were middle-class positions, but only about two percent of the jobs gained in the recovery pay middle-class wages," said Trevor Tompson, director of the AP-NORC Center, noting that 70 percent of job growth is taking place in lower wage industries.

Studies have shown that jobs that used to require a high school diploma are now being filled by better-trained workers, leaving lower-wage workers facing increased competition for jobs and fewer opportunities to advance through upward mobility.

"There is broad agreement that America needs a skilled workforce for 21st Century jobs," said Tompson. "There is widespread disagreement about the policies and programs needed to build that workforce. These surveys of lower-wage workers and the employers of lower-wage workers bring important new information to that debate."

Critical issues revealed by the surveys include:

  • Getting ahead is seen as a personal responsibility by both workers and employers, with the government seen as holding only a small share of responsibility for helping workers advance.
  • While employers are investing in training, only a slim majority are confident they can continue to provide such training and development opportunities.
  • Employers say current employees have needed skills, but did not when they were hired.
  • Employers are offering training and benefits for lower-wage workers' career advancement, but few offer benefits that lead to skills a worker can use to advance their career outside the company.
  • There is evidence of widespread underutilization of training programs by lower-wage workers, and only a small minority of employers is taking advantage of public funding opportunities to encourage training of lower-wage workers.
  • Lower-wage workers are less likely to be satisfied in their job or to feel valued for the work they do compared to the general population of employed adults.
  • Lower-wage workers perceive few opportunities for advancement.
  • Pessimism about job opportunity is especially acute among white and younger lower-wage workers.For purposes of the survey, a lower-wage worker was defined as a person earning $35,000 or less, full-time equivalent, per year.

Associated Press Stories

The Associated Press multi-format coverage of the study began on March 20, 2013 with a story titled "AP-NORC Center survey shows high pessimism among lower-wage workers despite sector's job gains."

About the Surveys

The Associated Press-NORC Center for Public Affairs Research survey of lower-wage workers was conducted between August 1 and September 6, 2013 with 1,606 adults between the ages of 18-74 who were currently employed full or part time or on a temporary lay-off of six months or less; not self-employed; and earning $35,000 or less, full-time equivalent, per year.

The employer survey was conducted with 1,487 employers between November 12, 2012 and January 31, 2013. A stratified sample was used to select businesses by size and industry. Only those businesses with at least one lower-wage worker were included in the study.

Survey results and The Associated Press stories related to the AP-NORC lower-wage worker and employer surveys are available at: http://www.apnorc.org.

Source: NORC at the University of Chicago