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

Fast Facts: “Right-to-Work” Won’t Boost West Virginia’s Economy

“Right-to-Work” laws do not guarantee jobs for workers. Instead they prohibit unions and employers from including a provision in contracts that requires employees who benefit from union representation to pay for their fair share toward those costs. PDF of Fast Facts.

Some state lawmakers argue that if West Virginia adopted a so-called “right-to-work” (RTW) law it would boost job growth, workforce participation and manufacturing in the state. But that theory is built on relationships that do not exist and a misunderstanding of the evidence. The most rigorous analysis shows RTW laws have no significant impact on state economic growth but do lead to lower wages, less benefits, and a decrease in unionization.

Women and Economic Security in Mississippi: A Data Brief

  • May 27, 2015
  • Staff Report

Across the United States, many women face disparities in wages and employment while providing for their families and balancing child care and other family responsibilities. The growing number of families headed by single mothers exacerbates these issues. In Mississippi, the prevalence of poverty, births to unmarried parents, and the interaction between gender and race disparities makes these challenges particularly detrimental to the state’s families. Attention is being paid on a national level to the gender pay gap and paid family leave. This data brief focuses on the status of women and economic security in Mississippi to inform policy development that addresses the unique challenges of women and families in Mississippi.

So-Called Right to Work and the next generation

Many of us who fight for workers’ rights and good jobs know that So-Called Right-to-Work (SCRTW) is wrong for workers.

SCRTW laws allow workers in unionized businesses to benefit from a union contract without paying union dues. It’s like allowing someone to belong to a health club without paying membership fees – of course, some will take advantage of the offer. The problem for the health club is that, with less membership fees, it’s harder to keep up the equipment or pay the trainer.

It’s the same with a union, which won’t be able to maintain the staff needed to negotiate a good contract or provide other services to members.

These laws are designed to weaken unions and they do. A rigorous study, published in 2011, found that SCRTW reduced wages and cut health care and pensions for union and non-union workers. The study also shows so-called right-to-work laws have no impact on economic growth.

Unions are explaining why SCRTW is wrong, but we should say more about what SCRTW would mean for young people, from first-graders to recent college graduates.

Low wages, high turnover in Ohio’s home-care industry

Home-care aides — providers of hands-on care to older adults and people with disabilities — are one of Ohio’s fastest growing occupations, growing at more than five times the rate of overall jobs in the economy. Home-health and personal-care jobs continued to grow during the last two recessions, and the numbers of workers employed in the industry has nearly tripled since 2001. According to the Paraprofessional Healthcare Institute (PHI), Ohio now has approximately 86,000 home-care aides, including 66,000 home-health aides, and 20,000 personal-care aides.

Rapid growth of the home-care industry is largely good news. Given most people’s preference for in-home care and the fact that home-based services are less expensive than institutional care, growth of the home-care industry is largely a win-win.

However, the home care industry is riddled with high turnover rates, workforce vacancies and related quality-of-care issues. This is largely the result of low job satisfaction due to low wages, part-time and unpredictable hours, and a lack of benefits that come with the job. In order to serve the growing public demand for these services, while ensuring continuity and quality of care, policymakers must address the need for better wages and benefits in the industry.