Disproportionate Experience of Material Hardships Among Washington State Home Care Aides: A Case for Boosting Wages and Building Savings.

Abstract

Home care aides (HCAs) are a financially vulnerable workforce vital to the United States healthcare system. Using data from the 2023 Financial Health Survey of Washington State HCAs - collected by a nonprofit that administers benefits and training to over 50,000 unionized caregivers - this study examines the prevalence of material hardships (such as food and housing insecurity) among HCAs and compares it to rates of hardship in the general population (using data from the Census Bureau's Survey of Income and Program Participation, or SIPP). To establish a potential cause of hardship among HCAs, this study investigates the relationship between caregiving income volatility and material hardship. Results indicate 75% of HCAs experience at least one material hardship, a rate significantly higher than found among Washingtonians with similar incomes. Income volatility appears to exacerbate these hardships, underscoring the need for solutions that address both wage increases and financial stability. Policy recommendations include raising wages and implementing emergency savings programs. These interventions have the potential not only to improve the economic well-being and job satisfaction of HCAs but also to enhance workforce retention and the quality of care provided to vulnerable populations. Addressing these inequities is essential for sustaining a growing and effective home care workforce.