Georgia has been ranked as the No. 1 place to do business in the United States for eight consecutive years, but a recent report by News From The States reveals that the state’s workers are not reaping the benefits of its economic growth. The report, titled “Georgia jobs plentiful, but working in so-called No. 1 place to do business reported to be pitiful”, exposes the harsh realities of low wages, poor benefits, and weak labor protections that many Georgians face in their workplaces.
Georgia’s economy is booming, but workers are struggling
According to the report, Georgia has added more than 1 million jobs since 2010, and its unemployment rate has dropped from 10.6% in 2010 to 3.9% in 2023. The state’s gross domestic product (GDP) has also grown by 38% in the same period, surpassing the national average of 35%. However, these impressive numbers mask the fact that many of Georgia’s workers are earning low wages, receiving inadequate benefits, and facing unsafe or unfair working conditions.
The report cites data from the U.S. Bureau of Labor Statistics (BLS) that shows that Georgia’s median hourly wage was $19.32 in 2020, which was lower than the national median of $20.17 and ranked 34th among the states. Moreover, Georgia’s minimum wage is still stuck at $5.15 per hour, which is lower than the federal minimum wage of $7.25 per hour and the lowest among the states that have a minimum wage law. Only about 3% of Georgia’s workers are covered by the state’s minimum wage, while the rest are subject to the federal minimum wage or higher.
The report also points out that Georgia’s workers have limited access to health care, paid sick leave, and retirement savings plans. According to the U.S. Census Bureau, Georgia had the fourth-highest uninsured rate among the states in 2020, with 13.4% of its population lacking health insurance. The report attributes this to Georgia’s refusal to expand Medicaid under the Affordable Care Act, which would have provided health coverage to more than 500,000 low-income Georgians.
Additionally, Georgia does not have a state law that requires employers to provide paid sick leave to their employees, leaving many workers vulnerable to losing their income or their jobs if they fall ill or need to care for a family member. According to a survey by the Kaiser Family Foundation, only 55% of Georgia’s private sector workers had access to paid sick leave in 2019, compared to 75% nationally.
Furthermore, Georgia does not have a state law that requires employers to offer retirement savings plans to their workers, such as a 401(k) or an IRA. According to a report by AARP, only 53% of Georgia’s private sector workers had access to a workplace retirement plan in 2019, compared to 68% nationally.
Georgia’s labor laws are weak and favor employers
The report also highlights how Georgia’s labor laws are weak and favor employers over workers, making it difficult for workers to organize, bargain collectively, or seek justice for violations of their rights. Georgia is a “right-to-work” state, which means that workers cannot be required to join a union or pay union dues as a condition of employment. This weakens the bargaining power of unions and reduces their membership and resources. According to the BLS, only 4.3% of Georgia’s workers were union members in 2020, compared to 10.8% nationally.
Georgia is also an “at-will” state, which means that employers can fire workers for any reason or no reason at all, as long as it is not illegal or discriminatory. This gives employers more flexibility and control over their workforce, but also leaves workers vulnerable to arbitrary or unjust termination. According to the National Employment Law Project (NELP), Georgia is one of only two states that do not have a public policy exception to the at-will doctrine, which would protect workers from being fired for reasons that violate public policy or social norms.
Moreover, Georgia has a weak enforcement system for labor laws and regulations, relying mostly on federal agencies or private lawsuits to hold employers accountable for violations. According to NELP, Georgia is one of only nine states that do not have a state agency dedicated to enforcing wage and hour laws, such as minimum wage, overtime pay, and prevailing wage laws. Instead, Georgia relies on the U.S. Department of Labor (DOL) or private attorneys to pursue wage claims on behalf of workers.
Similarly, Georgia does not have a state agency dedicated to enforcing occupational safety and health standards, such as those related to workplace hazards, injuries, and illnesses. Instead, Georgia relies on the U.S. Occupational Safety and Health Administration (OSHA) or private attorneys to investigate and penalize employers for violations.
Georgia’s workers are demanding change and fighting for their rights
Despite the challenges and obstacles that Georgia’s workers face, the report also showcases how they are demanding change and fighting for their rights, through various forms of collective action, advocacy, and litigation. The report features stories of workers who have organized unions, staged strikes, filed lawsuits, or joined campaigns to improve their working conditions and wages.
For example, the report highlights how workers at the SK Innovation battery plant in Commerce, Georgia, voted to join the United Auto Workers (UAW) union in June 2021, after a year-long organizing campaign. The workers hope to negotiate a contract with the company that will address issues such as pay, benefits, safety, and respect.
The report also showcases how workers at the Amazon fulfillment center in Bessemer, Alabama, attempted to form a union with the Retail, Wholesale and Department Store Union (RWDSU) in March 2021, in a historic election that drew national attention and support. Although the workers lost the vote by a wide margin, they have challenged the results and accused Amazon of interfering with the election process. The workers hope to inspire other Amazon workers across the country to organize and demand better treatment from the e-commerce giant.
Furthermore, the report features how workers at the Pilgrim’s Pride poultry plant in Gainesville, Georgia, filed a class-action lawsuit against the company in April 2021, alleging that it conspired with other poultry processors to suppress wages and benefits for more than 100,000 workers in the industry. The lawsuit is part of a larger antitrust case that involves several major poultry companies and has been ongoing since 2016.
Additionally, the report highlights how workers across Georgia have joined the Fight for $15 movement, which advocates for raising the minimum wage to $15 per hour and strengthening workers’ rights. The movement has organized rallies, marches, and strikes to pressure lawmakers and employers to adopt a living wage for all workers.
The report concludes by calling for more action and support from policymakers, employers, and the public to address the plight of Georgia’s workers and ensure that they share in the state’s economic prosperity.
