In the European Union, one out of six workers is earning a low wage. Behind this figure hides great disparities in different countries. The incidence of low-wage employment varies from 3% in Sweden to 28% in Latvia. This article aims to provide an overview of the low-wage employment in Europe, trying to answer the following questions. What is a low-wage worker? How do the labour market institutions shape the low-wage sector? Is there a link between the incidence of low-wage jobs and labour market performance? What is the link between low-wage employment, wage inequality and poverty at work?