Wages

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.

Publications

Publication

Why A $15 Federal Minimum Wage Will Help Colorado Workers

Highlights

  • Even though Colorado voters have approved a minimum wage in excess of the Federal wage, the current $15 per hour plan to gradually increase the federal minimum wage would increase wages for more than 550,000 Coloradans by 2025
  • The proposed federal changes in the wage level restore the purchasing power of the minimum wage to levels not seen since the late 1960s.
  • Workers who earn low incomes tend to spend—rather than save—a high percent of their income. This increase in wages can increase local economic activity.

The State of Working Connecticut: Advancing Economic Justice in the Labor Market

Connecticut Voices for Children released their annual State of Working Connecticut report entitled, “Advancing Economic Justice in the Labor Market.”  This year’s report examines the economic standing of Connecticut’s workers and calls for a sweeping, antiracist program to advance economic justice; additionally, it offers six recommendations to combat rising wage inequality and to address the substantial racial wage gaps in the U.S. and Connecticut.

The State of Working Vermont 2019

An economist looking at Vermont statistics can see that the state is benefiting from the U.S. economic expansion, which became
the longest on record last summer: There are more jobs, higher wages, fewer children in poverty.1

At the same time, many Vermonters can look at their paychecks and wonder when the recession is going to end. The state’s
economic growth continues to favor those who are well off, while low- and moderate-income families wait for things to pick up.

Both views are true.

Raising the Wage in Virginia Will Benefit Working Families

Everyone in Virginia working a full-time job should be paid enough to provide for their family. However, for many this is not the case. Nearly two-thirds of Virginia families with incomes below the federal poverty threshold have at least one adult who is working, yet they are paid too little to make ends meet. Virginia policymakers could raise the wages of working people in Virginia and help families across the commonwealth by raising Virginia’s minimum wage to $15 an hour by 2024, closing loopholes that currently exclude many Black and Latinx workers, and making sure Virginia’s wage laws are fairly enforced.

The federal minimum wage has eroded significantly since the late 1960s compared to the typical cost of living, median wages, and the economic productivity of working people. Virginia’s current minimum wage, set at $7.25 an hour to match the federal minimum, is the lowest in the country compared to the typical cost of living in the state, according to OxFam’s State of Working America report. The choice to maintain this inadequate minimum that leaves many families behind is a part of a pattern in Virginia of policymakers failing to act to protect working families and instead too often erecting barriers to success, particularly for working families of color. This erosion in the minimum wage has particularly harmed Black and Latinx working people. This is because working people of color in Virginia are more likely than white workers in Virginia to be stuck in low-wage occupations due to ongoing job discrimination, lack of educational opportunities, and other barriers that white people in Virginia are less likely to have faced.