PayScale Announces 2014 Underemployment Study

Share Article

Report Examines Underemployment Across Jobs, Demographics, College Majors; Nearly Half of All Surveyed U.S. Workers Feel They Are Underpaid With a Gender Gap Prevalent

PayScale, Inc. today announced its report Underemployment: Overeducated, Underpaid, and Underworked. Report also includes new findings about the Skills Gap, based upon employer responses.

“Underemployment is a real concern for today's job seekers as the economic recovery continues to be sluggish,” said Katie Bardaro, Lead Economist, PayScale. “Hiring in many industries remains below expectations and unless you are in certain high-demand fields like technology or health care, well-paying job opportunities are simply not plentiful.”

Some highlights from PayScale's Underemployment study include:

  •     Being underpaid is the most common reason (80 percent) that workers say they are underemployed.
  •     48 percent of female workers say they are underemployed, compared to only 39 percent of male workers.
  •     Generation Y, defined as workers born between 1982 and 2002, is the generation. with the most underemployed workers (45 percent). However, they are the least likely (77 percent) to say they are simplyunderpaid.
  •     12 out of 15 of the most underemployed majors have more female than male graduates.
  •     Liberal Arts, Psychology, and English Language & Literature are the three majors with the highest percentage of workers who claim to be underemployed because they are not using their education/training. These majors all have more than 70 percent female graduates.

Adds Bardaro: “PayScale has found that more than 40 percent of our surveyed users feel they are underemployed, and the overwhelming majority of them (80 percent) feel it is due to their pay not matching their level of education or training. Underemployment is clearly a broader issue than the strict definition by the Bureau of Labor Statistics which defines it as settling for part-time work when seeking full-time work.”

For more on Underemployment: Overeducated, Underpaid, and Underworked please go to:

About PayScale
Creator of the largest database of individual compensation profiles in the world containing more than 40 million salary profiles, PayScale, Inc. provides an immediate and precise snapshot of current market salaries to employees and employers through its online tools and software. PayScale’s products are powered by innovative algorithms that dynamically acquire, analyze and aggregate compensation information for millions of individuals in real-time. Publisher of the quarterly PayScale Index ™, PayScale’s subscription software products for employers include PayScale MarketRate™, PayScale Insight™, and PayScale Insight Expert™. PayScale’s cloud compensation software is used by more than 3,000 customers including Cummins, Warby Parker, Zendesk, Clemson University and Covenant Dove. For more information, please visit: or follow PayScale on Twitter or Facebook

Share article on social media or email:

View article via:

Pdf Print

Contact Author

Steven Gottlieb
+1 (206) 427-9591
Email >
Visit website