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Report: Almost one-fourth of Iowa workers don’t make ‘living wage’

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July 11th, 2024 by Ric Hanson

(Radio Iowa) – A new report finds nearly a quarter of Iowa workers make less than 17-dollars an hour, what’s considered a living wage. The non-profit Oxfam America says 24-point-2 percent of Iowa workers make less than that wage, which is slightly higher than the national average of 23 percent. Oxfam senior researcher Kaitlin Henderson says the report also found Iowans of color are significantly more likely to earn low wages as compared to national numbers. “The national average, 35% of black women earn low wages. In Iowa, that number jumps up to 47%,” Henderson says. “In national averages, nearly 40% of Latino women earn low wages. In Iowa, we see that number jump up to 45%.”

Henderson says 17-dollars an hour is the living wage needed to afford the basic costs of running a household. “If you’re making less than 17, it becomes increasingly difficult to afford basic costs of living,” she says, “ranging from, of course, childcare, but also things like food, transportation, housing.” Henderson says Iowa hasn’t raised its minimum wage in 15 years. It’s currently $7.25 an hour, which is the minimum wage requirement set by the federal government.

(story contributed by Natalie Krebs, Iowa Public Radio)