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Underemployed

AnalyticsTrade Team
AnalyticsTrade Team Last updated on 26 Apr 2023

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Underemployment

Underemployment is a term used to describe a situation in which an individual is employed, but not in a job that fully utilizes their skills, education, or experience. This can include working part-time when an individual would prefer to work full-time, or working in a job that does not require the same level of education or experience as the individual has. Underemployment can also refer to a situation in which an individual is working in a job that does not pay enough to cover their basic needs.

History of Underemployment

The term “underemployment” was first used in the early 20th century to describe the situation of workers who were employed in jobs that did not fully utilize their skills or experience. This was especially common during the Great Depression, when many people were forced to take jobs that did not require the same level of education or experience as their previous jobs. In the decades since, the term has been used to describe a variety of situations in which individuals are not able to find work that fully utilizes their skills or experience.

Comparison of Underemployment Rates

Year Underemployment Rate
2010 7.9%
2011 8.3%
2012 8.2%
2013 7.7%
2014 7.2%
2015 6.3%
2016 5.8%
2017 5.3%
2018 4.9%
2019 4.4%

Summary

Underemployment is a term used to describe a situation in which an individual is employed, but not in a job that fully utilizes their skills, education, or experience. This can include working part-time when an individual would prefer to work full-time, or working in a job that does not require the same level of education or experience as the individual has. Underemployment can also refer to a situation in which an individual is working in a job that does not pay enough to cover their basic needs. For more information about underemployment, visit the Bureau of Labor Statistics website or the U.S. Department of Labor website.

See Also

  • Unemployment
  • Part-Time Employment
  • Full-Time Employment
  • Job Search
  • Job Market
  • Labor Force
  • Labor Market
  • Employment Rate
  • Job Satisfaction
  • Job Security

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