What is the difference between a “living wage” and the Self-Sufficiency Standard?
The Self-Sufficiency Standard calculates the amount of income a given family would need to cover all of their basic needs without public or private supports. Decent wages are essential to moving families to self-sufficiency incomes. Employers have a responsibility to pay their workers fairly, provide benefits, such as health care coverage, and make career ladders visible to entry-level workers. In some cases, however, wages alone may not be enough for families to reach self-sufficiency incomes. Work supports—like child care and transportation assistance—can play a critical role in helping families make ends meet while they gain experience and skills to move to better paying jobs. Living wage ordinances require private businesses that benefit from public money to pay their employees a “living wage.” Across the country, “living wages” have ranged anywhere from $6.25 to $12.00 an hour, with many requiring businesses to pay a higher wage if health insurance is not provided to the employee.
