NYC’s Essential Workers Can’t Afford to Live Where They Work

by Ethan Shin

New York City has long been known as the most expensive city to live in America. Many of the city's essential workers, including doormen, teachers, police officers, and other hourly workers, struggle to afford to live in the city where they work. This situation has created strain in communities as people have to travel into the city to service those who can afford to live there.

The High Cost of Living in NYC

Living in NYC is expensive, with housing being the most significant expense. The doormen mentioned in their interviews that studio apartments start at $2400 per month. In addition to high rents, the cost of utilities, groceries, and transportation can add up to another $1,500 to $2,000 per month.

  • Housing: Rents in Manhattan are among the highest in the nation. The average rent for a one-bedroom apartment in Manhattan ranges from $3,000 to $4,500 per month.
  • Utilities: Monthly utilities, such as electricity, heating and air condition, water, and garbage, can cost between $250 to $600.
  • Groceries: The cost of groceries for a single person can cost $300 to $400 per month.
  • Transportation: A monthly MetroCard for unlimited subway and bus rides costs $127.

To understand the financial struggle of essential workers, let's look at their average annual salaries from the U.S. Bureau of Labor Statistics and compare them to the typical costs of living in New York City.

- Doormen

 - Mean Salary: $ 50,700

 - Percentage of Salary Toward Rent: 71% - 106%

 - Percentage of Salary Toward Expenses: 16% - 27%

- Teachers

 - Mean Salary: $94,600

 - Percentage of Salary Toward Rent: 38% - 57%

 - Percentage of Salary Toward Expenses: 9% - 14%

- Police Officers

 - Mean Salary: $89,400

 - Percentage of Salary Toward Rent: 40% - 60%

 - Percentage of Salary Toward Expenses: 9% - 15%

- Nurses

 - Mean Salary: $106,620

 - Percentage of Salary Toward Rent: 34% - 51%

 - Percentage of Salary Toward Expenses: 8% - 13%

- Firefighters

- Mean Salary: $80,950

- Percentage of Salary Toward Rent: 44% - 67%

- Percentage of Salary Toward Expenses: 10% - 17%

Real-Life Implications

Given these costs, many essential workers find it nearly impossible to afford to live in the city they work in. This can lead to many adverse effects for working people:

Long Commutes: Many essential workers live in more affordable areas far from the city, such as New Jersey, Staten Island, or upstate New York. Commuting times can range from 45 minutes to over an hour each way.

Overcrowded Living Conditions: To save on rent, some workers share small apartments with multiple roommates or live with their extended family in cramped conditions.

Financial Strain: The high cost of living forces many workers to live paycheck to paycheck, with little to no savings for emergencies or unforeseen costs.

Infographic showing that minimum wage workers and those who make close to minimum wage do not have the means to live in the same city centers where they work.

Impact on Communities

When essential workers cannot afford to live in the communities where they work, it can have profound impacts on those communities. The lack of affordable housing can lead to less community cohesion, as workers spend more time commuting and less time engaging in local activities. Studies have shown that when workers live far from their workplaces, they are less likely to participate in community events and local governance, leading to a weaker sense of community and lower civic engagement.

Conclusion

The disparity between the salaries of essential workers and the cost of living in NYC highlights a pressing issue. These workers, who are vital to the city's functioning, often cannot afford to live in the communities they serve. Addressing this issue requires a multifaceted approach, including affordable housing initiatives, better wages, and support for essential workers to ensure they can work and live in New York City.

Sources

Batdorf, E. (2024, April 2). Living Paycheck to Paycheck statistics 2024. Forbes Advisor. https://www.forbes.com/advisor/banking/living-paycheck-to-paycheck-statistics-2024/

Dhir, R. (2024, July 12). The 10 most expensive places to live in the U.S. Investopedia. https://www.investopedia.com/articles/personal-finance/080916/top-10-most-expensive-cities-us.asp

Fast city, slow commute | Center for an Urban Future (CUF). (n.d.). Center for an Urban Future (CUF). https://nycfuture.org/data/fast-city-slow-commute

Minimum wage. (n.d.). DOL. https://www.dol.gov/general/topic/wages/minimumwage

New York - May 2023 OEWS state occupational employment and wage estimates. (2023, April 25). Bureau of Labor Statistics. https://www.bls.gov/oes/current/oes_ny.htm

State of the City 2023. (n.d.). https://furmancenter.org/stateofthecity