NorthIowaToday.com

Founded in 2010

News & Entertainment for Mason City, Clear Lake & the Entire North Iowa Region

Low wages force workers onto public assistance, study shows

Mason City Burger King
Mason City Burger King
CHICAGO – A study completed this month indicated that low wages paid to fast-food workers means taxpayers end up paying billions of dollars to cover workers’ basic needs.

A study by researchers at the University of California at Berkeley and University of Illinois at Urbana-Champaign found that nearly three-quarters (73 percent) of enrollments in America’s major public benefits programs are from working families. But many of them work in jobs that pay wages so low that their paychecks do not generate enough income to provide for life’s basic necessities. Low wages paid by employers in the fast-food industry create especially acute problems for the families of workers in this industry.

Researchers said that median pay for core front-line fast-food jobs is $8.69 an hour, with many jobs paying at or near the minimum wage. Benefits are also scarce for front-line fast-food workers; an estimated 87 percent do not receive health benefits through their employer. The combination of low wages and benefits, often coupled with part-time employment, means that many of the families of fast-food workers must rely on taxpayer-funded safety net programs to make ends meet.

This report estimates the public cost of low-wage jobs in the fast-food industry. Medicaid, the Earned Income Tax Credit and the other public benefits programs discussed in this report provide a vital support system for millions of Americans working in the United States’ service industries, including fast food. We analyze public program utilization by working families and estimate total average annual public benefit expenditures on the families of front-line fast-food workers for the years 2007–2011.1 For this analysis we focus on jobs held by core, front-line fast-food workers, defined as nonmanagerial workers who work at least 11 hours per week for 27 or more weeks per year.

Key findings in the report:

• Fast-food jobs pay so little that 52 percent of the families of front-line fast food workers need to rely on public assistance programs, costing taxpayers nearly $7 billion a year.

• Compared to the overall economy, fast-food jobs are twice as likely as other jobs to pay so little that workers are forced to rely on public assistance (52% versus 25%).

• Full-time jobs in the corporate fast-food industry do not pay enough for workers to get by. Even at 40 hours a week, more than half of front-line fast-food workers are forced to rely on public assistance to cover basic needs like food, rent and healthcare.

• In New York, the public cost of low-wage fast-food jobs is $708 million— the second highest in the country– with 60 percent of fast-food workers forced to rely on public assistance to cover basic needs. The states in which low-paying fast-food jobs cost taxpayers the most include California at $717 million; New York at $708 million; Texas at $556 million; Illinois at $368 million; and Florida at $348 million.

• 67% of core front-line fast-food workers are adults 20 and older, and 68% are the main earners in their families. More than one-quarter are raising children.

16 LEAVE A COMMENT2!
Inline Feedbacks
View all comments

Missing from this story is the fact wages paid are depressed by the large illegal alien population that take these jobs.
Enforcing existing laws would get them out of here making room for actual citizens. Maybe then the employers would pay more.

” if we’d stop making criminals out of pot users they’d be able to find better jobs.”

That is one of the most specious arguments I have heard.

What about rapists, wife beaters, and murderers? According to your line of thinking, we should stop making criminals out of them so they can get better jobs too.

Or is that the line NORML wants you to parrot?

Really??? You just compared murderers, wife beaters and rapists to a pot smoker. Really?? That’s like comparing a murderer to a guy that gets speeding ticket, yes they’re both against the law but come on! At least be a little realistic if you’re trying to make a point.

When anyone of you see a fast food worker anywhere, you should show them some courtesy and thank God someone is willing to work that hard for so little.

The 30 year “war on drugs” in this country has ruined so many lives that we have adults doing these jobs instead of high schoolers. What we did was evil and insane and history will bear that out. It was based in hate and hate always loses eventually.

WE NEED THE CITY TO GET MORE INVOLVED IN BRINGING THEM HIGH PAYING JOBS TO MASON CITY, AFTER A 8 MILLION DOLLAR RENOVAION ON THE PARK INN THIS IS THE KIND OF JOBS IT OFFERS::

Wage $8.00 Hourly Location MASON CITY, IA 50401
Historic Park Inn has openings for full or part-time Front Desk Agents. We are seeking an outgoing, responsible individual who has an eager-to-serve attitude and can provide over the top guest service. Must be able to work a flexible schedule including nights, weekends and holidays. A high school diploma or GED required; hotel experience is preferred.
WOW EIGHT BUCKS A HOUR, BETS THE HELL OUT OF MINIMUM WAGE

And work nights weekends and holidays too boot!

I want to clarify what Ive said, Good decent people can do things to our food in any resturant not just people with records or are on some kind of list, probation, ect its when I know that they are on them I tend not to eat in those places. My Rights. I pay my bill myself. No more comment on this glad they are working.

They hire a lot of people that are on a work release from BeeGee. They can get them cheap and they will always show up for work as it beats the hell out of sitting in jail. I would think the people who own the franchises would pay a little more for good help that do not turn the paying customer off. They make a lot of money off these places.

I done my time and proud of it. Its my choice to eat what I want , where I want and as for you mr rish I respect the people that work in these places I just dont like what I see at some of the resturants in MC. It has nothing to do with POT. I dont care if a dude smokes pot or drinks beer it the continuous frickin losers you see in the court system time after time making my food that pisses me off. Stick that in your pipe and smoke it DAN

The burger king in Mason city is being worked by very low income and people with lots od criminal history. I quit eating there in fear of this.

Have you been there recently? I live close by, so I find myself going a couple of times a month for a cup of coffee or sandwich. All the workers are very friendly. Why are you criticizing these people who are willing to do jobs no one else will take? You HAVE to be Republican.

Duh… I just realized you’re military. Of course you’re Republican! Silly me.

Well USMC. if we’d stop making criminals out of pot users they’d be able to find better jobs. What are you afraid of? Good thing your out of the service. We can’t have easily scared and frightened soldiers like you in the marines. The bad man making my fries scares me so…mommy help me…

There is 1 employee there that is a registered sex offender.

What are welfare complainers gonna do now, blame poor people for working?

Even more news:

Copyright 2024 – Internet Marketing Pros. of Iowa, Inc.
16
0
Would love your thoughts, please comment.x
()
x