JOBLESSNESS AMONG DOMESTIC WORKER RESPONDENTS WAS AT 16% IN MAY
REPORTED HOUSING INSECURITY AND AFFORDABILITY OF REGULAR EXPENSES WORSENED
Domestic Workers Economic Situation Report · May 2024
Source: La Alianza surveys, NDWA
Released: June 7, 2024
The most recent Bureau of Labor Statistics (BLS) Employment Situation Report shows nonfarm payroll job growth was well above market expectations, while the unemployment rate ticked up slightly. [1]
NDWA’s May data shows that joblessness increased minimally for surveyed domestic workers, from 15% in March and April to 16% in May. Joblessness remains higher than the rate of 9% who reported having no jobs before COVID-19. [2]
Domestic workers are the nannies, homecare workers, and house cleaners whose work is essential to our economy, yet they are some of the most vulnerable and marginalized workers. They work in private homes and often have multiple employers, meaning they may have to schedule several jobs to make ends meet. Domestic workers earn less than the average US worker and are three times as likely to be living in poverty. [3]
La Alianza survey data from Spanish-speaking domestic workers shows how respondents continue to face low wages and high levels of unemployment and underemployment.
May Jobs Report - Bureau of Labor Statistics
The BLS releases an Employment Situation Summary with employment and other labor market data each month. It’s an important report to keep track of how the economy is doing. However, domestic workers and other vulnerable workers are underrepresented in official data. [4] Here, we present an overview of the BLS Jobs report along with NDWA’s data, which shows the employment and economic situation of thousands of Spanish-speaking domestic workers.
On June 7, the BLS released new employment data for May 2024.
The number of jobs added in May was above market expectations.
The general unemployment rate ticked up.
The unemployment rate for Latina women decreased.
The unemployment rate for Black women increased.
The unemployment rates for Black and Latinx adults continue to be higher compared to the rates for white adults.
Average hourly earnings for employees in private nonfarm payrolls increased.
NDWA’s May data shows a slight increase in joblessness among surveyed Spanish-speaking domestic workers, a change in the opposite direction compared to the unemployment rate decrease among Latina women in the BLS data. While the share of joblessness for surveyed workers is not directly comparable to the unemployment rate nationwide,* looking at trends in the data for surveyed Spanish-speaking domestic workers in the context of national trends can support our understanding of the sector as it relates to the broader economy.
May Domestic Worker Economic Situation
Below are the main findings on the economic situation of surveyed Spanish-speaking domestic workers in May. Note that monthly numbers may be volatile, which is why we look at the findings as they relate to prior trends in the data and the economic situation of the overall economy. At the end of each quarter, we calculate quarterly averages for key economic indicators.
Jobs and Wages
Joblessness increased slightly compared to the prior two months, from 15% in March and April to 16% in May.
The past three months of data show a decrease from the average joblessness reported in the first quarter of 2024, 19%.
Underemployment worsened in May, increasing from 62% to 73%.
The main reason for underemployment reported was that workers could not find clients (60%), followed by having a health problem (17%), taking care of a family member (13%), and “other” (10%).
May underemployment is also higher than the average in the first quarter of 2024, 67%.
The wage distribution improved in May.
50% of working respondents earned less than $15 per hour, compared to 53% the prior month.
It is also an improvement from the average reported in the first quarter, 54%.
Economic Security
Food scarcity improved slightly in May from 85% to 84%.
Domestic worker respondents said their households faced food scarcity either often (14%) or sometimes (70%).
Surveyed domestic workers experienced the same level of food scarcity in May as they did on average in the first quarter, 84%.
Housing insecurity worsened in May, increasing to 53% from 51% in April.
Housing insecurity was lower on average in the first quarter of 2024, at 48%.
In May, 8% of respondents reported that the question regarding the ability to afford rent or mortgage does not apply to them. This does not necessarily mean they are housing secure. While some of these respondents may be debt-free homeowners, others may be temporarily staying with friends or family, staying in shelters, or facing homelessness.
A larger share of respondents reported difficulty affording regular household expenses in May, with 57% of respondents finding it very or somewhat difficult.
Domestic worker respondents experienced varying levels of difficulty affording regular household expenses, such as food, housing, car payments, and medical expenses: 5% reported no difficulty, 38% reported little difficulty, 30% reported some difficulty, and 27% reported large difficulty.
Difficulty affording regular household expenses was 55% on average in the first quarter of 2024.
About the surveys
NDWA surveys Spanish-speaking domestic workers via La Alianza, a Messenger chatbot. Starting in 2024, the survey has been sent every other week excluding office closures. At the end of each survey, La Alianza provides respondents with relevant news articles and resources in Spanish. To learn more about NDWA’s La Alianza survey of Spanish-speaking domestic workers, see the methodology section of this report.
In September 2023, the survey sample was expanded to increase the volume of responses and address survey fatigue. We learned that respondents newly added to the survey schedule reported lower joblessness on average compared to prior respondents. To reduce monthly volatility we updated the rotation groups in 2024 to more evenly distribute the newly added respondents across the survey schedule.
The numbers presented in this report include data from three biweekly surveys in May. The total number of fully completed surveys, which includes both new and repeated respondents, was 2,630.
Questions about hours worked and hourly wages are asked biweekly, and questions regarding underemployment, job search, and economic security are asked monthly.
For questions or feedback, please contact us here.
Notes
1 Alicia Wallace (2024), US economy added a whopping 272,000 jobs in May
2 NDWA Labs (2020), 6 Months in Crisis: The Impact of COVID-19 on Domestic Workers
3 Economic Policy Institute (2022), Domestic Workers Chartbook
4 Kopparam (2022), What federal statistical agencies can do to improve survey response rates among Hispanic communities in the United States
* Unlike unemployment rates, joblessness for domestic workers may include people who are not working but are currently unavailable to work, or not actively looking for jobs. Additionally, the NDWA’s joblessness rate for surveyed domestic workers is not seasonally adjusted, while BLS unemployment rates are adjusted.