White-Collar Worker

White-Collar Worker refers to the class of employees engaged in desk, managerial, or administration roles, earning higher than the average salaries, and not being expected to perform manual labor. They are usually seen in shirts and ties, the defined formal wear for most office jobs. Their jobs usually require them to operate the computer in an office setting.

The term “white-collar worker” was largely popularized by an American writer named Upton Sinclair in the 1930s when he used the word for representing administrative, clerical, and managerial jobs during that time. Some of the job paths for white-collar workers are related to consulting firms, management consulting, market research, operations research, government, accountancy, business, finance, marketing, human resources, customer support, and research & development.

• White-Collar Workers are desk, managerial, or administration employees. They earn more than the average salaries and are not expected to do manual labor.
• Upton Sinclair, an American author, popularised the phrase "white-collar worker" in the 1930s when he used it to describe managerial, administrative, and clerical positions.
• The white-collar profiles generally offer chances to rapidly progress into a higher management role. Applications Software Developers, Medical Services Managers, Market Research Analysts, Information Security Analysts, Management Analysts, and Financial Managers are examples of the White-Collar worker.

White collar worker refers to individuals working in an office doing administrative, clerical, or managerial jobs and earn an above average salary. Due to modernization and manufacturing jobs being outsourced, the volume of white-collar worker jobs have seen a significant rise in the modern times.

The white-collar profiles usually offer opportunities to advance into a higher management role faster. As such, these profiles generate higher salaries than other profiles with the potential to grow rapidly in the future. These jobs are usually office-based, while it might involve a few plant visits or fieldwork in some cases. Although white-collar work doesn’t require manual labor, the professionals need to work long hours, even during weekends. White-collar professionals can also expect calls during their vacation or outside normal business hours.

The range of industries that these jobs fetch is second to none as they can work in any industry from the medical sector to marketing, academia, research and development, accounting, and so on.

They act as a bridge between the top-level management and the low-level management by converting the data given by their juniors in a manner that can be used for the betterment of the business by their superiors. Additionally, they also communicate the information or instruction from the decision-making authorities to their juniors and sometimes even supervise if the instructions are being followed promptly.

Let us understand the white-collar worker salary and other related factors around the concept with the help of a few examples.

#1 - Applications Software Developer

Software Developers are engaged in designing applications, such as word processors, games, spreadsheets, and databases. The minimum educational requirement for this profile is a bachelor's degree in software engineering or computer science. In 2019, the annual median salary was ~$107,510 and employed around 1,469,200 people in this job profile.

 #2 - Medical Services Manager

They coordinate all the medical activities of a single department in a healthcare facility or the entire health care facility. The minimum educational requirement for this profile is a bachelor's degree in health management, health administration, nursing, or public health administration. In 2019, the annual median salary was ~$100,980 and employed around 422,300 people in this job profile.

#3 - Market Research Analyst

They study the market and then help companies build the best marketing strategy for their new and existing products. The minimum educational requirement for this job profile is a bachelor's degree in market research or other related disciplines like math, statistics, business administration, etc. In 2019, the annual median salary was ~$63,790, and employed around 738,100 people in this job profile.

#4 - Information Security Analyst

They are usually engaged in the development and implementation of processes to protect a company's computer systems and networks. The minimum educational requirement for this profile is a bachelor's degree in computer science, cybersecurity, information assurance, or other related disciplines. In 2019, the annual median salary was ~$99,730 and employed around 131,000 people in this job profile.

#5 - Management Analyst

They study the respective companies' operations and then help them find ways to improve their efficiency to increase profitability. The minimum educational requirement for this profile is a bachelor's degree in business, economics, management, accounting, finance, marketing, etc. In 2019, the annual median salary was ~$85,260 and employed around 876,300 people in this job profile.

#6 - Accountant/Auditors

They are responsible for preparing the financial statements, evaluating financial records to ensure accurate and legally compliant reporting. The minimum educational requirement for this profile is a bachelor's degree in accounting. In 2019, the annual median salary was ~$71,550, and employed around 1,436,100 people in this job profile.

#7 - Financial Manager

They are responsible for overseeing the overall financial health of an organization. In 2019, the annual median salary was ~$129,890, and employed around 697,900 people in this job profile. The minimum educational requirement for this profile is a bachelor's degree in finance, accounting, business administration, or economics.

While discussing classes of jobs, both white-collar workers jobs and blue-collar jobs are invariably part of the conversation. However, it is important to understand the differences in the concepts and their implications in detail. Let us understand the differences between the concept through the comparison below.

White-Collar Workers

• White-collar workers are the class of employees who work at an office setting with an above average salary and do not perform manual labor to earn a living.
• They are usually expected to perform administerial, clerical, or managerial jobs within the premises of the office.
• These jobs require some form of education. The level of education depends on the level of the position in the organization.
• They receive salaries on a monthly basis for the services they render.

Blue-Collar Workers

• Blue-collar workers are usually linked to individuals performing manual labor.
• There is usually no requirement to be educated formally.
• However, they are provided with on-the-job training or apprenticeship from a senior in the particular field.
• They usually work at warehouses, factories, offices, and other outdoor areas.
• They receive remuneration based on hourly wages.

This has been a guide to the White-Collar Worker and its meaning. Here we explain its examples and compared a White-Collar Worker with a blue-collar worker. You may learn more about financing from the following articles –

• Underemployment
• Salary vs Wages
• Different Types of Accountants