A persistent question for those who pondered West Virginia’s fate is a simple: why, in a state rich in natural resources, are West Virginians so poor? For more than a century several explanations have been developed by natives and interested “outsiders.” Read the full report.
This report, the ninth annual investigation of The State of Working West Virginia, comes at one of those times when national attention has been drawn to the state in the wake of the 2016 elections. In an even more unusual twist, much national discussion has focused around the conditions of our working class, an example of which is the surprise success of J.D. Vance’s Hillbilly Elegy: A Memoir of a Family and Cu lture in Crisis. This analysis is an effort to cut through often overheated rhetoric and look at the available data and at historical trends.
Pundits and historians will wrestle with the meaning of the 2016 elections for years. But from Bernie Sanders supporters on the left to Donald Trump backers on the right, voters sent one common
message: They are frustrated with an economy that has left them behind and elected officials who seem indifferent to their plight. People feel anxious and insecure: With few opportunities to get ahead, ordinary middle-class goals such as sending a kid to college or retiring seem permanently out of reach. What resonated with voters were the candidates’ vows to take action on behalf of
the millions who felt ignored. Here in Vermont people face many of the same problems they did last year, the year before, and the decade before that. A few encouraging things happened in 2015: Incomes rose across all levels, and Vermont’s poverty rate dropped. But these signs come from just one year of U.S. Census data; it’s too soon to know if they represent the beginning of a trend.
Publication
Implementation of the Workforce Investment and Opportunity Act (WIOA) is well underway. This process creates unprecedented opportunity to adopt policies and practices that boost job quality. Connecting workers with the best quality job possible serves job seekers better. More stable work means higher income, longer job tenure, and better predictability for managing the tensions between work and life. But beyond that, WIOA policies for job quality help protect public investments in training by ensuring that those investments are not simply lost in a revolving door of turnover. Policies that focus on better quality jobs help make WIOA resources a reward for employers who are already treating their workers with greater care, rather than subsidizing low-road competitors who may waste the investment. A new report produced by COWS, the Keystone Research Center in Pennsylvania, and Policy Matters Ohio, identifies three WIOA quality standards that can target public training investment where it will have stronger returns.
Working full time, year round is not enough to guarantee a middle-class standard of living. Nearly one in five working Iowa families, in fact, does not earn enough to meet basic needs. There are a number of things that could be done to help such families move into the middle class. Policies are needed to improve both the demand-side and the supply-side of the labor market. On the demand side, we need more middle-class jobs with decent wages and benefits. On the supply side, we need more workers with the education and skills needed to qualify for most good-paying jobs.
What we focus on here, however, is a set of policies called work supports that help low-wage working families survive and keep their children out of poverty, and that provide a stepping stone to a better education and a better job. We lay out a set of policies to strengthen these pathways to the middle class:
• Reform Iowa’s Child Care Assistance program to eliminate a huge disincentive called the cliff and to make it more effective as a help to parents trying to improve their skills and raise their wage level.
• Expand the Earned Income Tax Credit to provide even stronger support to low-wage workers, encourage more work effort, and keep children out of poverty.
• Expand the Child and Dependent Care Credit to cushion the loss of Child Care Assistance.
These reforms should be combined with education policies that ensure future generations of Iowans receive a quality and affordable education, from preschool through post-secondary institutions. This will require expansion of the universal preschool program, support of K-12 education through adequate funding of state foundation aid, and continued efforts to make post-secondary education more affordable by restraining tuition growth.