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Longitudinal Analysis of the Labor Market Performance of the Working Poor : Evidence from the 2004 Survey of Income and Program Participation Panel

This study uses ten waves of the 2004 Survey of Income and Program Participation (SIPP) to analyze the labor market performance of those who were employed at the bottom of the labor market during a period of economic expansion (2004-2006). Specifically, the study utilizes the proportional hazards model to examine whether those low income workers who were successful in improving their relative standing in the workforce during this time were also successful in maintaining their improved relative earnings, as well as whether experiences of these individuals differed by their socio-economic characteristics. The results suggest that some groups of individuals were better positioned to maintain their improved relative status, while others, such as the disabled and those who indicated that they typically had work hours that varied, were more likely to become working poor again. ∗This paper is released to inform interested parties of ongoing research and to encourage discussion of work in progress. All views expressed in this paper are those of the author and not necessarily those of the U.S. Census Bureau. Any errors or omissions are the sole responsibility of the author. E-mail: marina.s.vornovytskyy@census.gov