Living Wage Is Falling For All Americans - Except Gen Z
A new report reveals that just over half of full-time U.S. workers earned a living wage in 2025, a decline from 2021, with most demographic groups experiencing reduced access. Generation Z is the only age group seeing an increase in living wage attainment, while others, especially Baby Boomers, have seen significant declines. Gender and racial disparities persist, with men and white workers far more likely to earn a living wage than women, Black, and Latino workers.
- ▪In 2025, 50.7 percent of full-time U.S. workers earned a living wage, down 5.1 percentage points from 2021.
- ▪Generation Z workers saw a 6.2 percentage point increase in living wage attainment, unlike all other age groups.
- ▪Women earn a living wage at a rate of 43.7 percent compared to 58.7 percent of men, and Black and Latino workers earn it at less than half the rate of white workers.
- ▪The living wage varies by location, with Hawaii requiring $31.01 per hour for a single adult, while West Virginia’s threshold is under $20.
- ▪Essential costs like housing, childcare, and food have risen faster than wages, contributing to financial strain for many workers.
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By Aliss HighamUS News ReporterShareNewsweek is a Trust Project memberSee more of our trusted coverage when you search.Prefer Newsweek on Googleto see more of our trusted coverage when you search.A growing share of full-time workers in the United States are struggling to earn enough to cover basic living costs, according to a new report, with disparities widening across gender and racial lines. While younger workers in Generation Z appear to be an exception, most other age groups have seen their access to a living wage decline in recent years.The analysis by Dayforce found that in 2025, just over half of full-time workers - 50.7 percent - earned what is considered a living wage for where they live. That marks a drop of 5.1 percentage points compared with 2021.
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