In today’s economy, the gap between workers’ wages and the rising cost of living is creating financial stress among U.S. workers, according to Resume Now’s 2025 Wage Reality Report released on Jan. 21. The report found that 73% of workers struggle to afford anything beyond their basic living expenses. Among the more than 1,000 workers surveyed, 12% stated that they can’t always afford their basic living expenses, while 24% said they struggle to cover essentials. Additionally, one-third of workers reported that their salary hasn’t kept pace with inflation, and 55% feel that their salary is not as high as it should be.

Workers cited rising housing costs, increasing prices for essentials, stagnant salaries, and the inability to save for emergencies and the future as the main causes of their financial stress. Keith Spencer, a career expert at Resume Now, emphasized the importance of workers advocating for fair pay adjustments by staying informed about industry salary benchmarks and participating in discussions about cost-of-living raises.

Financial stress among workers can have a significant impact on employers as well, as it can lead to dissatisfaction with salaries, affecting morale and workplace dynamics. To address this issue, employers can offer better benefits such as healthcare and retirement matching, provide clear pathways to career growth and raises, and offer access to education and certificates that can improve workers’ earning potential.

The report also highlighted that 29% of workers have moved to lower-cost areas or housing, while nearly 3 in 10 have taken on debt to cover their living expenses. Additionally, 44% of workers have actively searched for higher-paying positions, and 17% have resorted to taking on a second job or part-time work to make ends meet, as indicated in Monster’s recent 2025 Work Watch Report.

In conclusion, the widening gap between wages and the cost of living is a pressing issue that is causing financial stress among U.S. workers. Employers play a crucial role in addressing this issue by offering better benefits and opportunities for career growth, while workers are encouraged to advocate for fair pay adjustments and explore ways to improve their earning potential. By working together, both employers and workers can create a more financially stable and secure environment in the workplace.