New Research Reveals Major Disparities in Access to Living Wages in U.S. Workforce
MINNEAPOLIS and TORONTO, Aug. 12, 2024 (GLOBE NEWSWIRE) -- Dayforce, Inc. (NYSE:DAY, TSX:DAY), a global human capital management (HCM) leader that makes work life better, today launched its inaugural Dayforce Living Wage Index, conducted in partnership with the Living Wage Institute. The report reveals groundbreaking new insights on the percentage of full-time workers in the U.S. that make a family-sustaining living wage based on gender, race and ethnicity, industry, and geography.
The report's key findings include:
- Only 56% of all full-time workers in the U.S. earn a living wage.
- Men (62%) are significantly more likely than women (50%) to make a living wage.
- 60% of full-time Black and Latino workers do not earn a living wage compared to 32% of white workers.
- Only 31% of full-time workers in leisure and hospitality, 36% in retail, and 46% in health care make a living wage.
- 47% of full-time workers in three of the nation's ten largest metropolitan areas—including Miami, Phoenix, and Los Angeles—do not earn a living wage.
- The median hourly wage for full-time male workers is $29.40 compared to $25.20 for women.
- The median hourly wage for full-time white workers is $30.80 compared to $23.10 for Latino workers and $22.60 for Black workers.
"Tens of millions of workers are simply not making enough to provide for their families' most basic needs," said Dr. Amy Glasmeier, MIT Professor and co-founder of the Living Wage Institute. "Over the past few years, this problem has been made worse by cost of living increases outstripping gains in income for workers in lower-wage jobs. Women, Black and Latino workers, and those in some industries that are critical to our economy are disproportionately less likely to earn a living wage. Our hope is that this research brings both awareness and a sense of urgency to this critically important issue for employers of all types."
"At Dayforce, we believe that every worker deserves the opportunity to realize their potential and enjoy happy, healthy, and productive lives," says Jason Rahlan, Vice President for Corporate Responsibility and Sustainability at Dayforce, Inc. "Our mission is to make work life better, and we help employers achieve key business objectives while supporting their people as individuals, spouses, parents, and caretakers. Our hope is that these insights inform our national conversation and spur progress towards more workers earning a just wage that allows them to more than simply survive but thrive."
The Dayforce Living Wage Index was developed by analyzing deidentified records from nearly 600,000 full-time employees alongside data produced by the Living Wage Institute that is hosted publicly on the Living Wage Calculator. The full methodology is outlined in the Living Wage Index report.
The Living Wage Index is the first report in Dayforce's new WorkWell research series. It leverages internal Dayforce data analysis, expertise from leading third parties, and surveys of the American public to guide organizations and help them deliver meaningful solutions in four core aspects of human capital: pay, leave, retirement, and scheduling. This includes partnerships with the Living Wage Institute, the Financial Health Network, and JUST Capital.
As outlined in its ESG report, Dayforce believes technology can be a powerful force for good. Whether it's through modern ways to pay people, such as Dayforce Wallet, equipping employees with AI-assisted career pathing through Career Explorer or providing a unified view of workforce data to make informed decisions, technology can help improve the lives of people and to strengthen the relationship between them and their employers.
Additional Information
- Resources from the Living Wage Institute are available to help employers better benchmark and contextualize the living wage for their own workforce and develop long-term strategies around it. Learn more here.
- Read the blog.
About Dayforce
Dayforce makes work life better. Everything we do as a global leader in HCM technology is focused on improving work for thousands of customers and millions of employees around the world. Our single, global people platform for HR, payroll, talent, workforce management, and benefits, equips Dayforce customers to unlock their full workforce potential and operate with confidence. To learn how Dayforce helps create quantifiable value for organizations of all sizes and industries, visit dayforce.com.
About the Living Wage Institute
The Living Wage Institute is a benefit corporation helping U.S. employers make the living wage a standard part of their strategy — no matter where they are in their journey. Our data-driven approach catalyzes better business performance while also improving outcomes for workers and their families. To learn more visit www.livingwage.institute.
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