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Writer's pictureWorking Peoples Alliance

The Everyday Struggles of Working-Class Tennesseans: A Closer Look at Jobs, Housing, and Rising Costs

Updated: Oct 27, 2024

In Tennessee, particularly in cities like Knoxville, Pigeon Forge, and Sevierville, the working-class Americans face increasing challenges in meeting their everyday needs. The unemployment rate may be improving slowly, but it doesn't paint the full picture of what it’s like to survive in today’s economic climate. For many, the basics—housing, food, and even fuel—are becoming unaffordable, pushing more families into financial instability.


Unemployment and the Affordable Housing Crisis


As of 2024, Tennessee's unemployment rate is hovering around 3.2%, but this statistic hides the reality for many workers. The service and tourism industries, especially in cities like Pigeon Forge and Sevierville, have seen a boom in job creation, but these jobs often pay low wages and lack benefits. Despite the increase in jobs, affordable housing is in crisis. Knoxville, Pigeon Forge, and Sevierville are prime examples of cities where housing has not kept pace with economic growth.


The average working Tennessean is finding it increasingly difficult to secure affordable housing close to job centers. Knoxville has seen a surge in housing prices, with rental costs skyrocketing by nearly 25% in the last two years alone. In Sevierville, where tourism is a key driver of the economy, the demand for affordable housing far outstrips supply, leading to overcrowding and pushing families into areas far from where jobs are located.

This mismatch between job availability and affordable housing is a critical issue. How can people work in cities like Knoxville or Sevierville when they cannot afford to live there? The result is a growing number of working people forced to commute long distances or, worse, face homelessness.


Groceries and the Cost of Living


Beyond housing, the cost of everyday goods has ballooned. Grocery prices have more than doubled in the last four years, with some staples like eggs, milk, and meat tripling in price. Tennesseans are seeing the harsh effects of inflation in their shopping carts, with no signs of relief.


Despite these cost increases, the federal minimum wage remains stuck at $7.25 an hour—a rate that hasn’t changed in over a decade. This wage doesn’t come close to matching the cost of living in today’s economy. For a family of four in Tennessee, the cost of basic living expenses far exceeds the income of someone working full-time at minimum wage. The result? More families are forced to rely on food banks, government aid, or going without essentials altogether.


Inflation and the Erosion of the Working Class


Inflation has affected everything from groceries to gas prices to utility bills. The cost of living in Tennessee has soared, putting working-class families in an impossible situation. Every aspect of life—housing, food, childcare, healthcare—has become more expensive. Yet wages have not kept pace, and the minimum wage remains far below what is needed to cover even basic expenses.


This economic imbalance is even more jarring when we consider where taxpayer dollars are going. Instead of using our hard-earned taxes to help working Americans, a significant portion is being spent overseas.


Where is Our Money Going? U.S. Government Spending on Foreign Wars and Immigration



In the last four years, the U.S. government has spent staggering amounts on foreign conflicts and military aid:

  • Ukraine: Over $75 billion has been allocated since 2022 for military and humanitarian aid.

  • Afghanistan: Even after the military withdrawal, ongoing aid costs are estimated to be over $3 billion annually.

  • Israel and Gaza: The U.S. has provided nearly $4 billion per year to Israel, alongside additional aid to Gaza.

  • Yemen, Ethiopia, and other conflicts: The U.S. has contributed billions more to support military operations and humanitarian relief in these war-torn regions.


Meanwhile, the issue of mass immigration is costing American taxpayers billions as well. In 2023 alone, it is estimated that the U.S. government spent over $150 billion on immigration-related costs, including providing benefits such as housing, healthcare, and legal services to undocumented immigrants. These benefits, meant to ease the influx of immigration, are being prioritized over the needs of American citizens.


Contrast this with the U.S. government's response to domestic disasters. For the victims of the fires in Maui, the federal government allocated around $12 billion in relief efforts—dwarfed by the amounts spent on foreign conflicts. Meanwhile, in the wake of Hurricane Helene, federal aid barely reached $2 billion. It’s clear that while the U.S. spends tens of billions on wars and foreign aid, the support given to American citizens in times of crisis is grossly inadequate.


How Corruption is Undermining the Working Class

The stark contrast between government spending on foreign wars and the neglect of American citizens is a symptom of deeper corruption in our political system. The influence of special interest groups and military contractors ensures that more taxpayer dollars are funneled overseas, rather than into helping Americans recover from inflation, housing shortages, or disaster relief. Lobbyists and big money donors have more power than the average working American, leading to policies that favor the elite rather than the majority.


This corruption has left the working-class Americans struggling to make ends meet. The priorities of our government seem more aligned with global military dominance than with providing for its own people. When the majority of tax dollars are being spent on wars in distant lands while American families are drowning under the weight of rising costs, it’s clear that change is needed.


Conclusion: A Call to Action for Working Tennesseans

The everyday working American, especially here in Tennessee, deserves better. The housing crisis, the rise in grocery prices, stagnant wages, and the burden of inflation are all symptoms of a system that has failed its people. Tennesseans are resilient, but resilience shouldn’t be a requirement to survive.


It’s time to demand more from our leaders. It’s time to demand that our tax dollars be spent on rebuilding our communities, investing in affordable housing, raising wages, and supporting American citizens in times of crisis. Only by holding our elected officials accountable and advocating for policies that prioritize the well-being of working Americans can we create real change.


The future of Tennessee’s working class depends on it. Let’s come together and fight for the economic reforms that put people—not foreign wars or special interests—first.

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