A new Scioto Analysis study examining the impact of Oklahoma’s upcoming minimum wage ballot measure estimates that raising the state’s minimum wage to $15 per hour will lift 40,000 residents, including 16,000 children, out of poverty.
The report, written by Scioto Analysis on behalf of This Land Research and Communications Collaborative analyzes how increasing the minimum wage to $15 impacts poverty and the cost of living.
“Our analysis shows an increase in the minimum wage to $15 an hour will have a significant impact for Oklahoma families and the overall economy,” Rob Moore, Principal of Scioto Analysis and lead author of the report said, “Lifting 40,000 Oklahomans out of poverty, giving pay raises to the parents of more than 200,000 children will help more Oklahoma families keep up with rising costs and will make Oklahoma the most affordable state in the region for minimum wage workers.”
Oklahoma currently ranks as the eighth-poorest state in the nation, with one in seven residents living below the federal poverty line. The study found that rising costs following the COVID-19 pandemic have made Oklahoma increasingly expensive for working families.
In this study, we estimate a $15 minimum wage for the state would result in
40,000 fewer people in poverty
16,000 fewer children in poverty
ALICE “household survival budget” becoming affordable for single childless full time workers
The research also examined the impact on working Oklahomans’ ability to afford basic living expenses. According to United Way estimates, a single adult in Oklahoma needs $2,315 per month to cover housing, food, transportation, healthcare, technology, and taxes. Under the current minimum wage, workers must work nearly 74 hours per week to afford these necessities. A $15 minimum wage would reduce that requirement to roughly 36 hours per week.
Additionally, the research suggests that a $15 minimum wage would make Oklahoma the most affordable state for minimum-wage earners in the region–improving the state’s competitiveness in attracting and retaining workers.
This study was the fifth in a series of Scioto Analysis studies on the minimum wage in Oklahoma. Past studies were on the minimum wage’s impact on housing affordability, public safety, health, and economic growth.