Two Goodwill chapters partnering with other organizations to address benefits cliff
From June 27, 2023:
CHARLOTTE -- Goodwill Industries of the Southern Piedmont and Goodwill of North Georgia are partnering with the Federal Reserve Bank of Atlanta and Atrium Health to address the benefits cliff.
According to the Charlotte-area Goodwill affiliate, the benefits cliff is when a pay raise would leave North Carolinians worse off. The pay raise triggers an even greater loss of public assistance benefits. The Benefits Cliff Community Lab states that public assistance doesn’t gradually decline when income rises. It stops completely once a certain level of income is reached.
Programs impacted by the benefits cliff include subsidized childcare programs, Supplemental Nutrition Assistance Program, free or reduced-price school meals, and Medicaid.
“By better understanding how benefits cliffs can create economic disincentives for career growth and, thus, also be a barrier to accessing health care, we can be better positioned to support those who are navigating these issues. These efforts will help us guide policy makers on designing more innovative programs to help individuals and families rise out of poverty,” Dr. Kinneil Coltman said in a statement.
Coltman is the executive vice president, chief community & social impact officer, Advocate Health, of which Atrium Health is a part.
Both businesses and employees have been dealing with inflation and a possible recession. During the pandemic, businesses dealt with staffing shortages. For some companies, this could still be continuing. However, gas prices are still high in the Queen City as GasBuddy lists prices well above $3 per gallon. The average is $3.33 while the cheapest is $3.01.
According to the Charlotte Regional Business Alliance, childcare costs approximately $12,000 compared to around $7,000 for in-state tuition at the University of North Carolina at Chapel Hill. Working parents on public assistance cannot afford to lose benefits for essential needs like childcare.
“Goodwill is committed to building pathways that help people pursue the life they want to achieve, and that includes our own team members. As we continue to increase wages for our team members, we are committed to finding solutions to address the impact of benefits cliffs and remove as many obstacles as possible so they can prosper and thrive,” said Chris Jackson, President & CEO, Goodwill Industries of the Southern Piedmont.
