Report: 33% of Butler County households earn below livable wage

July 22, 2023 Last Updated: July 21, 2023 10:01 PM Local News

United Way provides county helpline

At least 33% of households in Butler County earn less than a livable wage, according to a report by United Way of Southwestern Pennsylvania.

A recent MIT study found the livable wage in the county for a single adult was $16.24 per hour, more than twice the federal minimum wage of $7.25 per hour.

Using data from 2021, the United Way’s ALICE report — asset limited, income constrained, employed — determined a livable wage of at least $14.74 per hour.

Amy Franz, United Way regional vice president, said the report identifies ALICE households as being above the federal poverty level but below what is necessary to afford basic needs.

“What’s concerning to us is that the number of households in Butler County below that ALICE threshold increased by 4% between 2019 and 2021,” she said.

The report indicates that 10% of all households in the county are living below the federal poverty line — approximately 8,122 individuals and families.

“And then the ALICE households were about 23% of the households in Butler County,” Franz said. “So, combined, we’re looking at 33% of our households either not being able to meet minimum costs or are actually below the federal poverty level.”

And while recent legislation passed in the state House to increase the minimum wage to $15 an hour gradually by Jan. 1, 2026, the proposal is still awaiting approval by the state Senate and Gov. Josh Shapiro.

“We need to get all of our communities and their households to a point where they’re able to meet their basic needs,” Franz said. “Right now, wages are not keeping up with the cost of the basics.”

A costly system

Franz also emphasized the systemic disparity between individual households and families, concerning the report’s estimated $14.74 livable wage.

“So for an individual, a single adult, that’s a $14.74 an hour wage,” she said. “If you were looking at the data for the two adults and one infant and one preschooler, so a family of four, that goes up to $35.93.”

The family of four’s livable wage is the combined estimate for two working parents and is significantly more than double the estimate for a single adult, she said.

“If you have two parents, and there’s a four-person family, and each of them are making $15 an hour — combined, they’re not at that minimum hourly wage to keep up with their costs,” she said.

And those costs, she said, can be surprisingly circumstantial.

“So, for example, if you’re a shift worker and you need child care from 11 a.m. to 7 p.m., that’s coming at a premium,” Franz said. “Rather than if you’re looking at a child care center that’s open from 7 a.m. to 6 p.m.”

Transportation also remains a burdensome cost for many households in the county.

“Even if an employer is able to offer that wage, if they’re attracting an employee that doesn’t have access to reliable transportation, then that could exclude somebody from that position,” she said.

Additionally, Franz noted that ALICE households in the county are not evenly distributed among municipalities.

“We have some ZIP codes that have greater than 50% of their households in that area,” she said. “For example, if you look at Butler City: 61% of the households in Butler City fall below that ALICE threshold.”

By contrast, Seven Fields borough — the opposite extreme in the county — has only 11% of its households below that threshold.

“We need people to be able to live, and we need families to be able to make safe decisions for their well-being and their children’s well-being,” Franz said. “And, while an employer and a wage has a lot to do with this, there are other things in the system that need to be addressed as well.”

PA 211 helpline

For individuals and families earning below a livable wage, Franz recommended the organization’s PA 211 helpline.

“211 is the health and human services helpline,” she said. “It’s available 24/7, 365 days a year, so anybody can dial 211 from a phone and be connected to a resource navigator.”

The helpline maintains a “comprehensive database of community resources” for those struggling to make ends meet, Franz said.

“For example, if someone were to call in and say that they were experiencing food insecurity: OK, the navigator takes information about them, where they live, their household size — those types of things — and then can refer them back out to food resources in the community,” she said.

And the helpline serves a far broader purpose than just food insecurity. 211 provides resources for employment and expenses, health and mental health, transportation and crisis relief.

“We’re able to help people access resources and meet basic needs,” Franz said. “So a family or a household that may need to decide on whether or not to pay the electric bill or put gas in their car could reach out to 211 and learn about utility assistance programs.”

Each year, she said the helpline takes approximately a half-million calls for resources from the region.

“From what we know about this population, they may fall below that threshold for a little while and then they may get back above it,” Franz said.

Often, many households then fall below the ALICE threshold again though, according to Franz.

“So we want them be aware of 211 and to reach out to learn about resources so they don’t fall too far behind if they’re below that ALICE threshold,” she said.