Despite the popular belief that those who work hard should not remain poor, there exists a vast reserve of labour who work hard but still remain impoverished. This phenomenon is prevalent in both middle income and low income countries, including Bangladesh. The incidence of poverty among the working poor results from low wages, lack of year-round employment, household structure, illiteracy, lack of access to resources, structural rigidities and the absence of pro-poor macroeconomic and labour policies. This research will investigate the phenomenon of the working poor and try to determine why the bulk of the economically active labour force remains poor despite their physical ability and desire to work round the year. It will attempt to provide a plain picture and necessary information on the overall situation of the working poor in order to assist policy makers in formulating pro-poor and pro-active development plans and policies for addressing poverty. The primary means of achieving this goal is through analysis of key issues related to working poverty, and will complement existing programs and policies directed towards development of the working poor who constitute the vast majority of the poor population in Bangladesh.