Dual Labour Market

The dual labour market theory holds that the American economy, and its labour market specifically, splits into two distinct sectors: Primary and Secondary.

Workers in the Primary Sector tend to have stable jobs, decent pay, clear paths for advancement, and reasonably safe working conditions. These are the positions with some degree of security and status.

The Secondary Sector is a different story. Jobs there typically pay at or near minimum wage, offer little stability, and come with poor working conditions and almost no room to move up.

The divide between the two hasn’t just been economic. For years, the dual labour market has tracked closely with segregation and poverty, with government assistance often filling the gaps for those stuck in secondary-sector work.