Even though they represent a majority of workers, women make less and get fewer benefits than their male counterparts.
Looking for a job is a dismal affair in today's economy, but one bright spot for hiring has been retail. Holiday employment was up 15 percent over last year, and the industry had a net gain of 718,500 workers in the last quarter of the year, close to the same time period in pre-recession 2007. Overall, retail salespersons and cashiers had the highest level of employment in 2010, making up almost 6 percent of total U.S. employment.
But the jobs themselves are not great news. According to a new report from Retail Action Project (RAP) that surveyed 436 retail workers in New York City, most make poverty wages and have few benefits, if any, to speak of. Over half of those who earn an hourly wage earn below $10 an hour, and 12 percent earn the minimum wage. Less than a third get health benefits from their job.
In a twist that Alanis Morissette would call ironic, while women dominate this field -- almost two-thirds of the respondents to the survey were women -- they fare worse than their male counterparts in these jobs. RAP had already reported that the average woman in retail makes $9.77 per hour, while men make $10.64. But it goes further: women are also less likely to receive health coverage, paid time off, or promotions. They make up far more of their share of low-wage workers at almost 70 percent. So while men are now grabbing far more retail jobs than women, it's not clear that they're simply lowering their standards. After all, they are more likely to be paid well and receive benefits.
On top of these difficulties, the RAP report makes it clear that one of the biggest challenges facing retail workers is scheduling. Only 17 percent had a set schedule; over half only find out their schedules within a week. A fifth only get their schedule with three days' notice. This presents many challenges to a worker -- being able to get to a second job to supplement income, being able to take courses in higher education -- but it greatly impacts mothers trying to find childcare so they can get to work. It's next to impossible to set up a decent childcare situation in three days.
That news comes on top of another report out today from the Human Services Council on where New York State budget cuts have taken their heaviest tolls, and it shows that states are pulling back on supports that these retail workers -- particularly women -- rely on. State funding for Temporary Aid to Needy Families (TANF), which provides support for childcare services, was cut by 71 percent for this year. That's after a 60 percent reduction last year. Cuts to child care support mean that women who are already struggling to find someone to watch their children will have fewer options.
This year's budget also cut $2.7 billion in state Medicaid funding. Over 70 percent of retail workers don't get health care from their jobs, yet the state is pulling back support for those who rely on the government for health care benefits. And since women are less likely than their male peers to get these benefits, they're hit harder.
The situation in New York is being replicated across the country -- both in terms of retail workers and government pullbacks. So while women rely on retail jobs -- and the economy as a whole seems to be relying on them -- they aren't getting nearly what they need. Wages and benefits need to catch up to the real needs of all retail workers.
Bryce Covert is Editor of New Deal 2.0.