JOBLESSNESS AMONG DOMESTIC WORKER RESPONDENTS REMAINED AT 18% IN SEPTEMBER
REPORTED HOUSING INSECURITY WORSENED IN THE THIRD QUARTER OF 2024
Domestic Workers Economic Situation Report · September 2024
With analysis from the third quarter of 2024
Source: La Alianza surveys, NDWA
Released: October 8, 2024
The most recent Bureau of Labor Statistics (BLS) Employment Situation Report shows job growth above market expectations in September, and the general unemployment rate ticked down. [1]
NDWA’s September data shows that joblessness remained at 18%. After fluctuating between 15% and 16% for five months, joblessness increased to 18% in August and remained the same in September. While this is still within the lower end of joblessness rates we’ve seen since the COVID-19 pandemic began, it remains twice the rate of 9% who reported having no jobs before the pandemic. [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.
September Jobs Report - Bureau of Labor Statistics
The BLS releases a monthly Employment Situation Summary with employment and other labor market data. 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 October 4, the BLS released new employment data for September 2024.
The number of jobs added was above market expectations.
The general unemployment rate ticked down.
The unemployment rate for Latina and Black women decreased.
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 September data shows joblessness remained the same compared to the prior month. 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.
September Domestic Worker Economic Situation
Below are the main findings on the economic situation of surveyed Spanish-speaking domestic workers in September. 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 from 15% to 17% on average in the third quarter of 2024.
However, this remains lower than the prior two quarterly averages of 18% and 19%.
Monthly joblessness remained the same, at 18% in August and September.
Underemployment increased slightly from 66% to 67% on average in the third quarter.
The main reason for underemployment that workers reported in the third quarter was that they could not find more clients (61%), followed by taking care of a family member (15%), and having a health problem (14%), while 10% chose some “other” reason.
After increasing from 60% to 67% in the first quarter of 2024, underemployment has remained, on average, between 66% and 67%.
Underemployment in September remained the same as in August.
The wage distribution improved slightly during the third quarter of 2024, with fewer respondents reporting earning less than $15 per hour.
50% of domestic worker respondents reported earning less than $15 per hour on average this quarter, compared to 51% during the prior quarter.
This follows a consistent improvement in the wage distribution since the first quarter of 2023.
In September, 50% of respondents reported earning less than $15 per hour on average, a decrease from 52% in August.
Economic Security
In the third quarter of 2024, food scarcity increased slightly to 85% from 84%
Respondents said they either often (17%) or sometimes (68%) faced food scarcity the week before being surveyed.
Food scarcity has worsened slightly each quarter since the first quarter of 2023.
In September, food scarcity increased from 83% to 87%.
Surveyed domestic workers’ housing insecurity increased in the third quarter of 2024 to 56% from 51%.
7% 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.
This follows a prior increase from 48% to 51% in the second quarter.
Housing insecurity increased in September from 55% to 57%
The quarterly share of domestic worker respondents who struggled to afford regular household expenses has remained steady over the past year.
On average this quarter, 55% of respondents reported it was very or somewhat difficult to afford regular household expenses - such as food, housing, car payments, and medical expenses.
In September, the difficulty to afford regular expenses increased from 53% to 58%.
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.
The numbers presented in this report include data from 5 biweekly surveys in the third quarter of 2024. The total number of fully completed surveys, which includes both new and repeated respondents, was 4,584. For greater detail on completions broken down by month, please see the table below. Due to technical difficulties with the survey tool, we were unable to administer our second scheduled survey in July, which included questions regarding economic security - food scarcity, housing insecurity, and ability to afford regular household expenses.
Month | Number of surveys sent | Number of surveys completed |
---|---|---|
September | 2 | 1,824 |
August | 2 | 1,603 |
July | 1 | 1,157 |
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 White House Council of Economic Advisers (2024), Strong job and wage gains continue in this historically unique expansion
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.