Study: “Right-To-Work” Lowers Wages

Terrance Heath

A new study published by the Economic Policy Institute confirms that “right-to-work” laws aren’t about protecting worker’s rights. “Right-to-work” laws lower workers’ wages, no matter how you look at them. That’s the conclusion of “‘Right-To-Work’ States Still Have Lower Wages,” a EPI briefing paper by Elise Gould and Will Kimball. The briefing paper is a follow-up to, and a response to criticism of a 2012 study by Gould and Heidi Shierholz.

The 2012 study found that wages in “right-to-work” states were 3.2 percent lower than in non-“right-to-work” states. The current study confirms this, finding that wages in “right-to-work” states are 3.1 percent lower than in non-“right-to-work” states, which translates into $1,558 less in annual wages for workers in “right-to-work” states. Currently, 25 states have “right-to-work” laws. (Three states — Indiana, Michigan, and Wisconsin — passed “right-to-work” laws in the interim between the two studies, but are not included in the study, because the impacts of “right-to-work” laws can take a long time to manifest, and not enough time had passed.)