In a troubling trend, many hard-working Americans are finding themselves homeless, without a place to call home.
From plumbers and casino supervisors to pizzeria managers and factory workers, these individuals represent the new and unexpected face of homelessness. Despite holding decent-paying jobs, they simply can’t afford housing in today’s economy.
The homelessness crisis, which hit record highs last year, is worsening among employed individuals. Rising housing costs have made it increasingly difficult for low-wage earners to secure a place to live. Recent point-in-time counts—a one-night tally of people without homes—show significant increases in homelessness across various regions of the United States. For instance, Southeast Texas has seen a 61% rise, Rhode Island 35%, and northeast Tennessee 20%.
Although there is no federal data specifically on unhoused workers, shelter administrators and local organizations report a surge in first-time homeless individuals who are employed. In Tulsa, where homelessness has increased by 26% this year, the lack of affordable housing is cited as the top reason, surpassing mental health issues and job loss.
Aaron Reed, a 22-year-old Amazon warehouse worker in Nashville earning $21 an hour, shared his struggle. Despite working 50 hours a week, he sleeps in his mother’s Hyundai SUV with their black Labrador, Stella. His mom sleeps in the front seat. This situation underscores the dire state of housing affordability in America.
The combination of rapidly rising rents and a shortage of affordable housing has created a situation where even a strong labor market and increasing wages can’t counteract the financial strain caused by inflation. Margot Kushel, director of the Benioff Homelessness and Housing Initiative at the University of California, San Francisco, said, “We are pushing working people into homelessness because they just can’t afford the rent.” She pointed out that these individuals are less visible than those occupying public spaces and struggling with substance abuse or mental health issues, making the crisis harder for the general public to recognize.
High housing costs are a significant source of frustration for Americans, despite an otherwise strong economy. A recent CNN poll highlighted housing costs as a top economic problem, ranking just after food prices but ahead of gas, health care, student loans, and child care. This issue is becoming a pressing concern in cities and states nationwide. For instance, California Governor Gavin Newsom recently ordered the clearing of homeless encampments on state land, emphasizing the urgency of the situation.
Inflation plays a major role in the homelessness crisis. Interviews with 30 employed individuals across 17 states revealed that exorbitant rents not only pushed them into homelessness but also prevented them from securing new housing. Deborah Bower, a dog groomer in San Ramon, California, has been homeless since October after breast cancer treatments depleted her savings. She now alternates between sleeping in her SUV and staying in $95-a-night hotel rooms with her dog and others she watches for clients.
Many homeless workers find themselves in a precarious position, earning too much to qualify for government assistance but not enough to afford housing. They are trying to save for first and last month’s rent and a security deposit, but everyday living costs and poor credit scores from past evictions or unpaid bills create additional hurdles.
Reed, the Amazon warehouse worker, described how everything costs more when you’re homeless. He and his mother spend $50 a day on gas to keep the air conditioner running in their SUV during hot weather, rely on prepackaged foods and takeout, and spend $80 a month on bottled water. These expenses add up, making it difficult to catch up on bills and save for housing.
The rising cost of living has left a record 12.1 million Americans—about one in four renters—spending at least half their income on rent and utilities, increasing their risk of eviction and homelessness. The situation has worsened as government support during the early pandemic, such as rent moratoriums and stimulus checks, has dried up. Gregg Colburn, a professor at the University of Washington, noted that the ongoing rent increases are driving homelessness not just in big coastal cities but also in places like Phoenix, Denver, and Atlanta.
The Biden administration has taken steps to address homelessness by allocating billions for emergency housing vouchers, rental assistance, and increasing the supply of affordable housing. However, experts argue that these measures are insufficient to counteract decades of failed policies and under-building of homes. The recent influx of migrants and post-pandemic rental cost spikes have exacerbated the problem.
Homeless workers are often forced to keep up appearances to retain their jobs, stashing belongings in storage, showering at gyms, and washing clothes at truck stops. They strive to conceal their living situations to avoid discrimination and job loss. Jordan Godlesky, a former ice cream shop manager in San Leandro, California, who slept outdoors, emphasized that many homeless individuals do not fit the stereotypical image of homelessness.
As the country approaches the presidential election, housing affordability and homelessness remain contentious issues. Former President Donald Trump has proposed banning urban camping and creating tent cities for the homeless. However, advocates argue that these measures could backfire, making it harder for people to get back on their feet. Instead, they call for increased rental assistance, revamped zoning and land-use laws, and more low-income housing.
Jennifer Friedenbach, executive director of San Francisco’s Coalition on Homelessness, stressed the importance of addressing high rents to combat homelessness. She noted that providing subsidies to help people afford rent is more cost-effective and humane than dealing with the consequences of homelessness.
As America grapples with this growing crisis, the stories of homeless workers highlight the urgent need for comprehensive solutions to ensure that all citizens can afford a place to call home.