Economic Mobility or Safety Net? Examining Employment Status and Wage Trajectories of Housing Choice Voucher Recipients

This study examines employment status and wage trajectories of recipients of the Housing Choice Voucher (HCV) program from 2005 to 2018. Drawing on a national dataset containing 22.5 million householder-year observations, the research underscores the dual role of the HCV program as both a safety net for housing stability and a potential tool for economic mobility. The findings reveal that nearly three out of four voucher householders in the sample were not employed in any given year after entering the program. Additionally, over half of the householders (53.8%) never earned wage income during their participation in the HCV program. While a subset of voucher recipients who consistently earned wages experienced wage growth – contrasting with national trends of wage decline among similar income groups during the same period – the average absolute wage remains modest. Furthermore, the study highlights that the HCV program’s impact on economic mobility is uneven and varies significantly across demographic subgroups. These findings underscore the importance of recognizing the HCV program as first and foremost a policy that guarantees stable housing serving many individuals in need of permanent housing support who do not participate in the labor force. Policies aimed at HCV program exit should be targeted to the smaller group of voucher recipients who are able to participate in the workforce and focus on supporting these households’ employment goals.