Are states with right-to-work laws more likely to have above-average poverty rates?
States with right-to-work laws have a higher likelihood of experiencing above-average poverty rates. The laws, enacted in 27 states, allow workers not to join or pay into a union even if that union represents their workplace, weakening the union.
In 2020, the average state poverty rate in the U.S. was 12.96%. Sixteen of 22 states with right-to-work laws report poverty levels above the average. Nine out of ten states with the highest rates of poverty are right-to-work states. Eight of the ten states with the lowest poverty rates are not.
Poverty is calculated by income level relative to cost of living. According to research by the Economic Policy Institute, a left-leaning think tank, wages in right-to-work states are 3.1% lower on average than wages in other states.