Wages: $15/hr: All workers should earn a living wage that allows them to meet their families' basic needs. 

Insights & Analyses

  • The share of full-time workers aged 25 to 64 earning at least $15/hour and living below 200 percent of the poverty level was lower in 2022 than in 1990. However, in states like Arizona, Oregon, and Rhode Island, this trend varied by race: people of color saw slight increases in their share, while white workers experienced slight decreases.
  • Overall, just 77 percent of people of color, aged 25 to 64, earn $15/hour or above compared to 87 percent of white people. Among full-time workers aged 25 to 64, just 80 percent of all US women earn at least $15/hour compared to 85 percent of all men. 
  • There are wide wage inequities by race among people with similar education levels: 68 percent of White people, aged 25 to 64, who did not graduate high school earn at least $15/hour, compared with 57 percent of people of color.
  • Among full-time workers, aged 25 to 64, 90 percent of Asian Americans born in the US earn at least $15/hour compared to 74 percent of Pacific Islander immigrants, and only 67 percent of Latinx immigrants.
     

Drivers of Inequity

Wages on the lower end of the wage distribution are stagnant, causing a rise in the number of people who are working yet still struggling economically. Shifts in the US economy, such as corporate outsourcing to countries with lower wages, employer consolidation, and declines in union membership, are driving this stagnation. Federal policy choices, such as fiscal austerity and a minimum wage that has not been raised since 2009, also contribute to the rise in the working poor population. These shifts disproportionately impact women and people of color because they are overrepresented in low-paying jobs as a result of historical factors, such as racial segregation and policies that banned women and people of color from accessing education and higher-paid professions. Ongoing factors, like discriminatory hiring practices, lack of affordable childcare, and disparities in generational wealth, also contribute to working poverty.

In the mid-2010s, advocates around the US used $15 an hour as a benchmark minimum wage for campaigns at the local, state, and federal level. As of 2025, fifteen states and Washington DC have set minimum hourly wages higher than $15. However, due to inflation and rising costs of living, $15/hour is no longer a livable wage in any part of the nation.

Strategies

Grow an equitable economy: Policies to ensure living wages for all

Strategy in Action

Seattle’s minimum wage keeps pace with rising costs. Seattle was the first major city in the nation to adopt a $15/hour minimum wage. The advocacy effort started in the small neighboring city of SeaTac, home to the Seattle-Tacoma International Airport. In 2005, Alaska Airlines fired hundreds of unionized airport employees and replaced them with nonunion contractors, reducing hourly wages from $13 to $9. Service Employees International Union (SEIU) Local 775 organized in response, leading a diverse community coalition in a successful years-long campaign to raise SeaTac’s minimum wage to $15. Their efforts culminated in Proposition 1, which voters passed in 2013. This victory built momentum to expand the campaign to Seattle, whose City Council approved a $15 minimum wage in mid-2014. Crucially, Seattle’s policy indexes the minimum wage to year-over-year inflation, increasing at the start of each year per the regional Consumer Price Index. As of 2025, Seattle's minimum wage is $20.76, compared to the statewide minimum wage of $16.66. Analyses of the policy’s initial impact suggest that these minimum wage increases did lead to net income gains for the region’s lowest earners, although income inequality in Seattle worsened during the 2010s as well. Learn more.

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