My apologies for not being clearer earlier on; I think I take for granted the terminology I use at work, where everyone refers to their role as work/their job, including students. Surprisingly, some places have been okay about deferring references, some less so; maybe things have changed since my supervisor did her PhD?! Don't think I need be reminded about how awkward academia can be...!
Thanks for all the help and advice, guys!

I said I was in employment - not out of academia. I work in a research institute and hence why I think my current employers have over a year to observe my laboratory/interpersonal skills as opposed to my academic referees having only six-ish weeks (final year project supervisor) and virtually no interaction with me in a practical environment (so-called 'personal' tutor). My contract does not run out for quite some time so I don't see the point in making my bosses think I am leaving suddenly unless I really do have something solid to go to. It sounds as if neither you nor your partner have been in this situation, so perhaps that is why you "can't really get your head around" the slightly awkward situation I am in.

If I may hijack this thread I have a sort of similar position but I think I am even more stuck. I currently work and providing solely academic references is not only difficult since I am no longer in the same city as potential referees but also hardly seems terribly representative considering the amount of time I spent with and amount of work I did for them versus that spent with and done for my employers. I really don't want to rock the boat unnecessarily by asking my employers for references, especially if it doesn't amount to anything. I have tried explaining this on applications but it has nearly always caused problems. Is this really so unreasonable to ask that referees not be contacted until a later stage? It's always been an option I have been offered when applying for jobs and my current supervisor also thinks this a bit harsh. Is there any way round it?