Wages, Labor Standards, and Job Quality

Every American who wants to work should be able to get a good paying job. When stable employment is available to all, it improves the welfare of the country not only because more people are working, but because at full employment, employers have to compete for personnel, raising wages for workers more broadly. Moreover, workers of color and those without four-year college degrees—who have substantially higher unemployment—gain the most when the economy approaches genuine full employment. To make employers genuinely value their low- and middle-wage workers—no matter where they live or what credentials they hold—lawmakers must pursue policies that make more jobs available, and reduce barriers to employment.

EARN groups develop and advocate for policies that will create good jobs, such as investments in infrastructure and responsible economic development programs, tailoring programs target underserved communities and areas of high unemployment. They also work to reduce barriers to employment by supporting workforce development programs with good labor standards, sector partnerships, and policies such as ban-the-box that help formerly incarcerated individuals rejoin the workforce. Lastly, EARN groups’ work to strengthen state unemployment insurance programs, so that unemployed workers have support when looking for a new job.

The vast majority of American households’ income comes from what workers receive in their paychecks – which is why wages are so important. Unfortunately, wages for most workers grew exceptionally slowly between 1979 and 2012, despite productivity—which essentially measures the economy’s potential for providing rising living standards for all—rising 64 percent. In other words, most Americans, even those with college degrees, have only been treading water—despite working more productively (and being better educated) than ever.

EARN groups provide key research and policy analysis describing how these trends have played out at the state and local levels, and what policymakers can do about it.

Job Training and Apprenticeships

Meaningful training that leads to improved skills and higher pay costs money. Read More.

Enforcement

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Wage Theft

Wage theft, the practice of employers failing to pay workers the full wages to which they are legally entitled, is a widespread and deep-rooted problem that directly harms millions of U.S. workers each year. Read More.

Minimum Wage

The minimum wage is a critical labor standard meant to ensure a fair wage for even the lowest paid workers. EARN groups have provided research and policy guidance for minimum wage laws passed in of states, cities, and counties across the country. Read more.

Overtime

Overtime pay rules ensure that most workers who put in more than 40 hours a week get paid 1.5 times their regular pay for the extra hours they work. Almost all hourly workers are automatically eligible for overtime pay, but salaried workers are only automatically eligible for overtime pay if they make below a certain salary threshold, and that threshold has been so eroded by inflation that dramatically fewer workers qualify today than they did in 1975. Read More.

Worker Misclassification

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Paid Sick, Family, and Medical Leave

Paid family leave and paid sick leave enable workers to take time off for the arrival of a child, or a serious health condition affecting themselves or a relative, without forcing them to choose between work and family.

There is no federal law that ensures all workers are able to earn paid sick days in the United States. EARN groups are working to enact state and local laws to ensure workers can take time off when they are sick. Read more.

Unemployment Insurance

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Work Hours and Fair Scheduling

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Publications

Publication

At the Wage Floor: Covering Homecare and Early Care and Education Workers in the New Generation of Minimum Wage Laws

In November 2012, fast-food workers in New York went on strike and the Fight for $15 was born.
Over the last five years, the movement has lifted wages for more than 17 million workers across the
nation by fighting for and winning numerous minimum wage policies (National Employment Law
Project 2016). Substantial minimum wage increases are underway in California, New York, Oregon,
and more than 30 cities and counties around the country. In states and cities covered by them, these
new minimum wages will increase earnings for 25 to 40 percent of workers (Reich, Allegretto, and
Montialoux 2017; Reich et al. 2016). After four decades of wage stagnation and rising inequality, the
movement has delivered real, much needed, and meaningful progress in a remarkably short period of
time.

Clearing the Air Around the Texas Minimum Wage Act

  • May 7, 2018
  • Every Texan
  • Anna Crockett and Chandra Villanueva

Recognizing that the federal minimum wage falls short of what families need to make ends meet, other states and cities across the country have raised their minimum wages above the federal level of $7.25 an hour. No Texas cities have done this because Texas state law currently stops cities and counties from making most local decisions about the minimum wage. Local governments are only able to raise minimum wages for their own government employees and contract workers.  What cities can do, however, is to insure that other benefits like paid sick time are available to all workers in that city which is what the City of Austin has done.

But how did we get here on the dollar minimum wage?

Details Matter: Paid Family and Medical Leave that Works for Working Families

Paid family and medical leave has become a top-tier policy issue. Over the past several years, a number of high-profile corporations have announced new and expanded paid parental leave programs. However, access to paid family leave remains primarily available to the already privileged. In 2017, only 13 percent of private sector employees had access to paid family leave, including 24 percent of the most highly paid tenth, but only 4 percent of the lowest paid tenth. If left solely to private sector initiative, most U.S. workers will continue to lack access to extended paid leaves to care for a new child or deal with serious health conditions. Workers who already face obstacles to achieving and maintaining good health and economy security will largely be left behind, including those in smaller companies, lower-income employees, workers of color, and gig economy workers.

The policy that Washington adopted is a strong one, based on public health research, learnings from other state programs, and community input. But it is not perfect. The discussion below points to best current practices and options to consider in designing a new program.

Modernizing Overtime Rules in Colorado

Workers should be paid for the hours they work. However, many salaried workers who work overtime miss out on valuable compensation when those hours are unpaid. Changing current overtime rules in Colorado to ensure these workers are accurately paid for the hours they work over 40 a week would boost their earnings, address the financial squeeze Coloradans face today, and help create a better work-life balance for many workers.