Sunday, August 30, 2020

ALICE

In the news there is this.

ALICE - an acronym for “Asset Limited, Income Constrained, Employed,” is defined as those households earning more than the Federal Poverty Level (FPL) but less than Wisconsin's basic cost of living. The report describes the basic cost of living and being employed in the modern economy the ALICE Threshold.  The old-school term for this was the Working Poor.

In Door County, 22 percent of all households fall within this threshold, while another 9 percent fall below the FPL.  One third of our countrymen.  For many of these families the cost of living may routinely exceed what they earn. And when funds run short - these households are forced to make difficult choices - such as deciding between child care, rent, filling a prescription or fixing a car. These short-term decisions have long-term consequences not only for these families but for our communities. The brutal reality is that these workers perform jobs that are critical to the functioning of our local economy.  

That statistic and others were reported in the state’s third ALICE report, released recently by United Way of Wisconsin in partnership with United for ALICE and local United Ways across the state, including United Way of Door County.

Those households are dispersed across the county. For example, 36 percent of the households in Brussels, 38 percent in Sturgeon Bay and 46 percent in Sister Bay fall below the ALICE Threshold.

A discouraging thought is that the measures in this report are from data collected in 2018 - pre-Covid and obviously before our previous robust economy fell into a deep recession.  If I had to hazard a guess the stats today would be frighteningly alarming.  Look no further than the avalanche of data that has revealed the extreme vulnerability of ginormous numbers of households that lived paycheck to paycheck and had no cushion to manage for the economic shock of of a shutdown.  Millions upon millions remain unemployed.  Our economy remains a train wreck and has yet to be back on track.  Work is more than a paycheck it is personal satisfaction and self-worth too. 

So, do the right thing and step-up to support your local businesses and lend a hand to those who could use a leg-up. And support your local United Way by volunteering, advocating and contributing.

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