Refers to the division of the economy into two areas of employment: , a primary sector or upper tier, composed of higher-paid (usually dominant group) workers in more secure jobs, and a secondary sector or lower tier, comprised of lower-paid (often subordinate group) workers in jobs with little security and hazardous working conditions.

Split Labour Market

Explanation:

Proposed in the 1970s by Edna Bonacich, the Split labor market theory attempts to define the link between race or ethnicity and the segmentation of the labor market. The theory argues that the segmentation of the labor market is more a political and social structures than individual biases in employment.

For instance, depending on the type of job, an employer will determine what class of employees to target. In a job that requires cheap labor with poor health and insurance plans, an employer will favour lower tier workers who are less eager to complain than the upper tier workers who are more concerned about union requirements

The Split labour market theory used this explanation to divide the economy into the upper sector of higher paid workers in more secure jobs and the lower sector of lower-paid workers in less secure jobs.