Dayforce, Inc., a leader in human capital management (HCM), has released its first Dayforce Living Wage Index in collaboration with the Living Wage Institute. This landmark report provides comprehensive insights into the percentage of full-time workers in the U.S. earning a family-sustaining living wage, highlighting disparities based on gender, race, industry, and geography.
- Overall Living Wage Statistics
- 56% of Full-Time Workers: Only 56% of full-time workers in the U.S. earn a living wage.
- Gender Disparities
- Men vs. Women: Men are more likely (62%) than women (50%) to earn a living wage.
- Racial and Ethnic Disparities
- Black and Latino Workers: 60% of Black and Latino workers do not earn a living wage, compared to 32% of white workers.
- Industry-Specific Insights
- Leisure and Hospitality: Only 31% of workers in this industry make a living wage.
- Retail: 36% of retail workers earn a living wage.
- Health Care: 46% of health care workers receive a living wage.
- Geographical Disparities
- Major Metropolitan Areas: 47% of full-time workers in cities like Miami, Phoenix, and Los Angeles do not earn a living wage.
- Wage Comparisons
- Median Hourly Wages: Full-time male workers earn a median hourly wage of $29.40, while women earn $25.20. White workers have a median hourly wage of $30.80 compared to $23.10 for Latino workers and $22.60 for Black workers.
- Dr. Amy Glasmeier, MIT Professor and Co-founder of the Living Wage Institute: “The issue of inadequate wages has been exacerbated by rising living costs. Women, Black and Latino workers, and those in essential industries are disproportionately affected. This report aims to raise awareness and urgency on this critical issue.”
- Jason Rahlan, Vice President for Corporate Responsibility and Sustainability at Dayforce, Inc.: “We strive to make work life better and support employees in all aspects of their lives. We hope these insights will drive progress toward ensuring that more workers earn a fair wage and can thrive.”
Methodology
The Dayforce Living Wage Index is based on an analysis of deidentified records from nearly 600,000 full-time employees, combined with publicly available data from the Living Wage Calculator. Detailed methodology is outlined in the full report.
This report marks the beginning of Dayforce’s WorkWell research series, focusing on core human capital areas such as pay, leave, retirement, and scheduling. The series will leverage Dayforce data, third-party expertise, and public surveys to guide organizations in improving workforce solutions.
The Dayforce Living Wage Index underscores the significant disparities in wage distribution across various demographics and industries in the U.S. By highlighting these issues, Dayforce aims to foster discussions and drive initiatives toward achieving equitable compensation for all workers.
