“WASHINGTON (Reuters) – The number of U.S. families struggling with poverty despite parents being employed continued to grow in 2011 as more people returned to work but mostly at lower-paying service jobs, an analysis released on Tuesday shows.
More working parents have taken jobs as cashiers, maids, waiters and other low-wage jobs in fast growing sectors that offer fewer hours and benefits, according to The Working Poor Project, a privately funded effort aimed at improving economic security for low-income families.
The result is 200,000 more such working families – the so-called “working poor” – emerged in 2011 than in 2010, according to the report, based on analysis of the most recent U.S. Census Bureau data.
About 10.4 million such families – or 47.5 million Americans – now live near poverty, defined as earning less than 200 percent of the official poverty rate, which is $22,811 for a family of four.
Overall, nearly one-third of working families now struggle, up from 31 percent in 2010 and 28 percent in 2007, when the recession began, according to the analysis.
“Although many people are returning to work, they are often taking jobs with lower wages and less job security, compared with the middle-class jobs they held before the economic downturn,” the report said.
“This means that nearly a third of all working families … may not have enough money to meet basic needs.”
The findings come three years after the nation’s recession officially ended in the second half of 2009.
Brandon Roberts, co-author of the report, said the results were somewhat of a surprise after Census officials last year said the U.S. poverty rate had stabilized….”
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