As living costs continue to rise faster than wages—often described as “stork-sized prices with sparrow-sized paychecks”—financial pressure on workers has reached severe levels, according to recent survey data.
A nationwide survey conducted by SurveyMonkey of more than 3,000 domestic workers found that even after cost-of-living adjustments or pay raises, 40% said their income has failed to keep pace with rising expenses. With prices increasing across nearly every category, from groceries to insurance premiums, household finances have steadily weakened.
The strain has been compounded by a cooling job market and a wave of layoffs, which have heightened employment anxiety. As job mobility declines, many workers are choosing to remain in their current positions rather than seek better opportunities. As a result, chances to negotiate higher wages have also diminished.
Over the past year, only one in five workers reported receiving a raise that exceeded inflation. About one-third said their pay increases merely matched rising living costs, while nearly half effectively experienced a decline in real income.
This widening gap between income and expenses has pushed many workers into increasingly fragile financial situations. The survey found that 58% of workers do not have enough savings to cover three months of living expenses if they were laid off. About one-third said they could manage only one month, while one in four reported they could last just one to two months.
Only 42% said they had savings sufficient to cover at least three months of expenses. Within that group, just 12% reported having enough savings for six to twelve months, and only 14% said they could sustain themselves for more than a year.
Financial stress has become a widespread issue among workers. A separate survey by PwC last year found that more than half of employees were experiencing financial pressure, while fewer than half had received a pay raise during the previous year. The study also showed that 14% of respondents struggled or found it nearly impossible to pay monthly utility bills, and 42% said they had little to no money left to save after covering expenses.
Against this backdrop, healthcare-related benefits emerged as workers’ most urgent priority. About half of the respondents said their top desired benefit was full employer-paid health insurance premiums, reflecting the rapid rise in employee contributions, deductibles, and out-of-pocket costs.
Workers also expressed strong demand for health and wellness stipends, paid parental leave, family caregiving leave, and fertility or family planning benefits. Other frequently cited needs included expanded 401(k) matching, unlimited paid time off, free workplace meals, transportation subsidies, student loan repayment assistance, and on-site childcare.
Together, the findings illustrate how worker financial stress has become a defining economic challenge, driven by persistent inflation, limited wage growth, and shrinking financial buffers.
BY HOONSIK WOO [woo.hoonsik@koreadaily.com]
