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Informal Employment and the Earnings of Home‐Based Home Care Workers in the United States

Journal Article Data Collection & Quality
July 7, 2020

This study examines the extent to which the earnings of the US home‐based home care workers are affected by informal employment arrangements and state labour policies designed to benefit low‐wage home care workers. It finds that informally employed home care workers have lower earnings than their formally employed counterparts.

Key Takeaways

Informally employed home‐based care workers had a 9% reduction in annual earnings.
Higher minimum wages and the Domestic Workers' Bill of Rights did not raise informally employed workers’ earnings.
Strong enforcement of labor standards for informally employed home care workers is essential.

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