Wage Inequality: A Persistent Challenge in Tioga County

By Galen Morehead and Mary Haupt —

While a $15 minimum wage may seem like a significant increase compared to wages from 20 years ago, the rising cost of living has eroded its purchasing power. The costs of housing, healthcare and education have skyrocketed, often outpacing wage growth.

According to the Bureau of Labor Statistics, the average price of a gallon of gasoline in Tioga County has increased by over 50 percent since 2010. Similarly, housing costs have risen significantly above inflation rates. Healthcare expenses have also continued to climb, with rising insurance premiums and out-of-pocket costs placing a strain on household budgets.

At Tioga County Rural Ministry we witness, firsthand, the challenges faced by people struggling to make ends meet. Many rely on our assistance despite working full time. In fact, last year 40 percent of the families we assisted through our financial assistance program had at least one member working full time.

Clearly, the widening gap between wages and the cost of living is making it difficult for people to achieve financial stability.

The gender wage gap also persists in Tioga County. Women earn an average of 76 cents for every $1 earned by men, the Bureau of Labor Statistics reports. This exacerbates the financial challenges faced by women, especially single mothers.

Recently I had a lively debate with a manager at a local company who was adamant that $15 per hour was enough for company employees to live on. While I acknowledged that it was an improvement over previous minimum wages, I emphasized the significant increase in living costs over the past decade and the general decline in purchasing power.

He seemed surprised by how much the cost of living had increased and admitted that he hadn’t fully considered the impact on their employees. 

Clearly we need to regularly evaluate whether the minimum wage is keeping pace with the cost of living. Wages, even for entry-level positions, need to be substantially higher to ensure that people can afford the necessities of life and achieve financial security.

A $15 minimum wage, while a step in the right direction, does not adequately address the growth of wage inequality in Tioga County. That inequality can have far-reaching consequences – from increased stress, anxiety and other health problems, to social instability and the community’s economic decline. 

We need policies that promote fair wages and equitable employment practices. This includes increasing the minimum wage, strengthening collective bargaining rights, and investing in education and training programs to equip workers with the skills needed to command higher wages.

Meanwhile, policymakers should consider implementing and bolstering programs that support low-income individuals and families. While Tioga County has an array of such programs, continued investment and expansion are needed, especially to address the lack of affordable childcare and affordable housing.