More New Jersey Working Mothers are Low-Income

WASHINGTON, DC – Nationwide, there are now 4.1 million low-income families headed by working mothers, with almost 95,000 of those in New Jersey, according to the new report, “Low-Income Working Mothers and State Policy: Investing for a Better Economic Future.”
The report, which was released by the Working Poor Families Project and utilizes the latest data from the Census Bureau’s American Community Survey, finds that New Jersey ranks 32nd for the number of female-headed low-income working families. As of 2012, there were 219,776 low-income working families in the state, with 94,955 headed by working mothers.
The report found that 58% of women heading low-income working families in New Jersey have no post-secondary education. According to the report, improving access to and success within postsecondary education by providing need-based financial aid to part-time students along with affordable child care is among the most meaningful reform that can help low-income families. Other reforms states can take include improving the quality of low-wage jobs by raising the minimum wage and ensuring all workers have paid sick leave and paid family leave; and facilitating a strong network of work supports, such as a state-refundable Earned Income Tax Credit (EITC) and expanded Medicaid eligibility.
“In New Jersey, as the number of working low-income women who are both breadwinners and primary caregivers increases, having access to work supports such as family leave insurance and earned sick days is critical to their economic sustainability and to keeping them engaged in the workforce,” said Dana Britton, Director of Rutgers Center for Women and Work. “New Jersey is one of only three states in the U.S. that provides Family Leave Insurance program for workers. Research shows that Family Leave Insurance programs are good for workers, businesses, and the economy. For workers, having access to family leave contributes to improved newborn and child health, and allows workers to take needed time to care for their own illness or that of a sick family member.”
The report defines “low-income working families” as earning no more than twice the federal poverty income threshold; in 2012, the low-income threshold for a family of three with two children was $36,966.
“Too many female-headed working families have no pathway out of poverty,” said Deborah Povich, co-manager of the Working Poor Families Project and one of three authors of the report. “Public policy can and must play a critical role in increasing opportunities so families can achieve economic security. Addressing the needs of low-income working mothers will benefit their children and future generations.”
“Low-Income Working Mothers and State Policy: Investing for a Better Economic Future,” can be found on the WPFP website at http://www.workingpoorfamilies.org.