Large number of Virginians are affected by low wages

In the Winchester area, two paralegals spoke up at a VOP meeting this summer. (We have withheld their names because of client confidentiality.) They described increasing numbers of cases of low-income people stealing groceries, gasoline and personal products for their families, and ending up in jails. In 2005, according to the State Police, thefts of less than $200 totaled almost six million dollars in Virginia.

Of course, only a few Virginians turn to theft as they struggle to survive on low incomes. But, according to the National Center for Children in Poverty of Columbia University, there are 66,363 Virginia children whose families have incomes below the poverty line — and who have at least one parent who is employed full-time, year-round.

Many of them are turning to the shrinking government assistance resources in the Commonwealth, as detailed by the Virginia Department of Social Services (DSS) Annual Statistical Report:

  • 488,481 participated in Food Stamps and WIC in 2005, compared to 331,688 participants in 2001. This is a 47 percent increase.
  • 16,600 families (or 27,000 children) received childcare subsidies in 2004.
  • By the end of 2004, 58,800 children were enrolled in Children’s Health Insurance (FAMIS). This still covers only 57 percent of the children eligible.
  • In March 2005, there were 44,355 Section 8 housing vouchers authorized for Virginia. This is a decrease of 1,735 from 2004. In most communities, the waiting lists for Section 8 vouchers has been closed for some time.

Supports like these can make the difference between survival and collapse of a family. Dr. Diana Pearce, a consultant to DSS, prepared a report, “The 2006 Self-Sufficiency Standard for Virginia,” which shows in detail how much difference these supports make. As the table here shows, if a family receives the full range of work supports (housing, child care, food stamps, WIC and FAMIS), it can survive on a very low income.

Of course, many custodial parents don’t receive government aid, but do receive child support payments to help meet their family’s needs. However, the average monthly child support payment in Virginia is only $184, also according to DSS.

According to the Economic Policy Institute, if we had had a federal minimum wage increase this year, 172,000 Virginia workers would have been directly helped. Many more would have seen improvements as low-end wages increased — and as more money began to circulate in lower-income communities and to the businesses that serve them.

Wages vary a lot across Virginia. Very few workers are employed at or near the minimum wage in Fairfax and Arlington; but on the Eastern Shore, in the Danville area, and on the Northern Neck, the average weekly wage is under $360 — $9/hour for a 40 hour week. About one Virginia worker in 30 is paid $5.15 or less — and most of them are probably eligible for the support programs described above.

The Virginia Organizing Project and other organizations in the Virginia Fair Wage Alliance are gathering thousands of signatures on petitions supporting raising the minimum wage in Virginia. Petitions have been circulated at festivals, in congregations, and elsewhere in our communities, bringing awareness to many people that the minimum wage is still $5.15 in Virginia.

Here’s how one VOP member looks at the issue. “Our current minimum wage is $824.00 per month for a 40-hour work week. This is $9,888.00 a year, gross; that is, BEFORE taxes, insurance, retirement savings, and childcare costs are deducted. I challenge anyone to factor their mortgage/rent, insurance, childcare and savings costs against these totals,” said Annie Krochalis of Bent Mountain. “Then, tell me how can you not sign this petition?”

The petitions will be presented to state legislators prior to the 2007 General Assembly session, to ask that they follow in the footsteps of neighboring states. In July, North Carolina and Pennsylvania approved legislation to increase the minimum wage from $5.15.

To read the complete report and appendix, go to www.dss.virginia.gov/geninfo/vdss_stats.html and you can also review the calculations for Virginia counties and cities at this website.

For more information about minimum wage and the Virginia Fair Wage Alliance, go to www.vafairwage.org. This site has downloadable information and tools about the campaign.

If you would like to coordinate a petition drive, organize a presentation in your community, or to get talking points to meet with your state legislator, contact Cathy Woodson at cwood329@aol.com or (804) 261-7497.