A new analysis found financial hardship is growing in Connecticut.

United Way of Connecticut's ALICE Report focuses on those who are Asset Limited, Income Constrained, but Employed. It suggested the direct cause of the issues is a disconnect between wages and the cost of basic essentials. The report showed more than half of the most common jobs in the state paid less than $20 an hour, or $40,000 a year, in 2021.

Lisa Tepper Bates, president and CEO of the United Way of Connecticut, said the state has already taken some steps to make life more affordable.

"The legislature and the governor did a terrific job last session when they were able to increase the state Earned Income Tax Credit, which is based on a percentage of the federal EITC or Earned Income Tax Credit," Tepper Bates explained.

The state raised its tax credit to 40% of the federal level but Tepper Bates pointed out it can only do so much. She noted federal programs initiated during the pandemic, like the expanded federal Child Tax Credit, provided some relief for families. A Columbia University study found the Child Tax Credit kept almost 4 million children out of poverty.

The report also showed a retail salesperson in the state has lost buying power due to inflation. Over 15 years, it equals more than $42,000. Tepper Bates pointed out one shocking finding was how quickly prices have increased across the state.

"It is surprising to a lot of people how very fast the cost of living has gone up," Tepper Bates stressed. "The cost of housing in particular, in Connecticut, has started to tick upwards very, very quickly."

A Connecticut Voices for Children report finds inflation growth in rents grew faster than median household income between 2005 and 2021.


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On this May Day, Wisconsin groups are rallying in Green Bay to highlight a key issue facing the working class: the ability to retire.

Organizers see fixing systemic issues within Social Security as a key step. The American Federation of Government Employees is co-leading demonstrations around the state, calling on Congress to fully fund Social Security.

Jessica LaPointe, president of the American Federation of Government Employees Council 220, said although the debate has been around for a while, the problems run deep right now, with chronic underfunding resulting in staffing woes at field offices.

She noted staffers are dealing with added stress and beneficiaries feel the impact.

"Service delays are far and wide," LaPointe observed. "It could take more than four months to start your retirement benefits up."

She emphasized it is especially concerning for vulnerable populations at retirement age. Beyond helping with administrative costs, demonstrators want federal lawmakers to come up with long-term funding solutions, amid predictions the program won't be able to provide full benefits a decade from now. Some Republicans have routinely floated cuts but critics of the idea say any future shortfalls should be covered by higher earners.

One recommendation is to adjust the cap on Social Security taxes, but opponents warn of unintended consequences.

Alex Brower, executive director of the Wisconsin Alliance for Retired Americans, which is also supporting the rallies, said retirees on fixed incomes deserve full and expanded benefits for dedicating their working lives to propping up the economy.

"We wouldn't have the schools that we have or any of the systems in our economy without working people," Brower pointed out. "When those working people retire, we are demanding that retirement be dignified."

He added May Day observances, which center around worker solidarity, are a good way to remind policymakers the working class should not fall into poverty when they retire. Similar rallies are scheduled throughout the month.

Proposed regulations in Michigan could have a major impact on the state's tourism industry. The series of 10 bills introduced by House Democrats would do more to regulate short-term rentals.

The proposals include a 6% tax on rentals of 15 days or more, increased safety requirements for things like smoke alarms and carbon monoxide detectors, and a $100 annual registration fee per listing.

Erika Farley, executive director of the Rental Property Owners Association of Kent County, said she has concerns - especially about the additional tax.

"We are looking for more parity along with the hotel industry, basically," said Farley. "The 6% excise tax, along with the other taxes, would actually be a higher tax - anywhere between 5% and 7% for short-term rentals - than it would for an actual, traditional hotel."

Farley added that short-term rentals aren't just for tourists - they're also an affordable option for professionals who need a temporary place to stay while in town on business.

In New Buffalo, a lakefront community with a population of about 1,800, Mayor John Humphrey said he doesn't agree with every aspect of the bills - but he's all for taxing short-term rentals.

Humphrey said his community has suffered for year due to what he calls the "gigantic" unrecovered tourism costs generated by these rentals - including negative affects on roads, sewer, water, and other public infrastructure.

"Every short-term rental has a residential use of 10 - residential use means the number of people that use the home - where a standard residence is only 2.2," said Humphrey. "And those costs are not recovered because there are no excise taxes, there are no use taxes, there are no lodging taxes on short-term rental."

If passed, the legislation could generate between $35 and $70 million. Backers say that money would be distributed to the local governments where the rental properties are located.

The bills have been referred to the Committee on Local Government and Municipal Finance.

Minnesota lawmakers are considering a measure which would force employers to properly classify certain trade union workers and others as employees rather than independent contractors.

The bill aims to ensure worker's rights to overtime, minimum wages, safe workplaces and other benefits are protected.

Richard Kododziejski, director of government affairs for the North Central States Regional Council of Carpenters, said fraud and wage theft is rampant among certain employers.

"It maximizes the ability to fight employer misclassification fraud in Minnesota," Kododziejski stressed, as he explained the union's support for the measure. "While it was already illegal to misclassify employees, the law was not as strong as this bill will make it."

Versions of the bill have been filed in both the Minnesota House and Senate. Kododziejski noted both measures have cleared relevant committees and he expects them to go to a floor vote next week.

Kododziejski emphasized while misclassifying employees has always been illegal in Minnesota, the new law would give state regulators a stronger hand in dealing with bad actors.

"The Department of Labor and Industry has not had the ability to enforce it to the extent that they would through this piece of legislation," Kododziejski pointed out. "It levels the playing field for honest contractors who are not cheating the system and are properly treating their workers as employees."

Kododziejski observed when workers are improperly misclassified as independent contractors, it deprives them of overtime, minimum wages, safe workplaces and other benefits. He believes the bill will make it too expensive for employers to cut corners on paying their employees.

"Significant elements of this bill provide large fines to employers that definitely is steeper than what we've seen in the past," Kododziejski added. "When you say, well, why can't they make a dent in this? Why can't we stop this once and for all?"