In the month of March, we are going to be discussing the challenges the unhoused population faces when securing and maintaining employment. We find that for those experiencing homelessness, this situation is complex. In today’s blog post, we will give a general overview of this topic. As we go through the month, we will dive deeper into different aspects of this complex situation facing so many of our guests and those who are experiencing homelessness across the United States.
A significant number of individuals experiencing homelessness are employed. According to the National Coalition for the Homeless, approximately 25-40% of the homeless population is employed at any given point in time. This percentage can be even higher in some areas with high housing costs. These individuals work in various sectors, often in low-wage positions that don’t provide enough income to secure stable housing. A 2021 study by the U.S. Department of Housing and Urban Development (HUD) found that minimum wage workers would need to work approximately 96 hours per week (the equivalent of 2.4 full-time jobs) to afford a two-bedroom rental home at the national average fair market rent. More recently, in Michigan City today, the average rental property as of today (March 11, 2025), according to the website Rent.com, is $1320 per month. In order for a minimum wage worker to afford this housing, they’d have to work 46 hours per week, but this is to cover the rent and does not account for utilities, food, and other necessary living expenses.
Practical Barriers to Employment
Perhaps the most immediate obstacle to employment for those experiencing homelessness is the lack of a permanent address. Most job applications require applicants to provide a home address, making it difficult for those experiencing hidden homelessness or homelessness to complete the application process. Without a stable residence, employers may question reliability and commitment, mail containing important employment documents may be lost, and background checks become more complicated to complete. Compounding this problem, documentation and identification issues present another significant hurdle. Many employers require specific documentation for employment verification, such as government-issued identification (which typically includes an address), Social Security cards, birth certificates, and additional certifications or documentation. These documents can be difficult to obtain or replace if lost or stolen while experiencing homelessness without a stable address. Additionally, we commonly see important documents are frequently lost, damaged, or stolen without secure storage, creating a cycle for our guests that can be difficult to break without assistance.
Health and Wellbeing Challenges
We know that health challenges disproportionately impact those experiencing homelessness and can significantly affect their employment prospects and stability. According to the National Health Care for the Homeless Council, individuals experiencing homelessness have higher rates of chronic illness, infectious diseases, and injuries compared to the general population. Mental health conditions also affect a significant portion of this population, with the Substance Abuse and Mental Health Services Administration (SAMHSA) indicating that roughly 30% of people experiencing homelessness have serious mental health conditions. Without stable housing, managing these health conditions becomes exceedingly difficult, creating further barriers to maintaining steady employment.
For those who manage to secure employment while experiencing homelessness, keeping a job presents its own challenges. Sleep deprivation is common among individuals experiencing homelessness, while sleeping in public spaces or vehicles can be uncomfortable, dangerous, and illegal in many areas. Chronic sleep deprivation impacts cognitive function, physical coordination, emotional regulation, and overall job performance. Nutritional deficiencies due to food insecurity can result in decreased energy levels, impaired concentration, increased susceptibility to illness, and generally lower productivity.
Adding to well-being challenges for those experiencing homelessness is the daily challenge of limited access to showers, laundry facilities, and proper clothing, which makes maintaining a hygienic and professional appearance difficult.
Educational and Skill Barriers
Educational and professional development opportunities are often limited for those experiencing homelessness as well. Access to vocational training, certification programs, and other skill-building opportunities is often limited for those struggling with housing insecurity, hidden homelessness, or experiencing homelessness, perpetuating a cycle that makes career advancement difficult.
Discrimination and Social Barriers
Unfortunately, stigma and discrimination add another layer of difficulty to the employment journey for many experiencing homelessness. Employers may hold negative stereotypes about homeless individuals, and gaps in employment history may raise red flags during the hiring process. We know that employer bias can significantly impact hiring decisions when candidates disclose their housing status.
The Vicious Cycle
The relationship between homelessness and employment difficulties creates a vicious cycle that is often challenging to break without support. Yet we know that securing housing becomes nearly impossible without stable employment and sufficient income. Compounding this further, the lack of stable housing presents numerous challenges in obtaining and maintaining employment. The National Low Income Housing Coalition’s “Out of Reach” report highlights this devastating reality, noting that in no state can a person working full-time at minimum wage afford a two-bedroom apartment at fair market rent. This housing-employment trap forces many individuals to make impossible choices between basic necessities like food, healthcare, transportation, and shelter.
Making a Difference:
At Nest Community Shelter, we work with our guests and our network of partners to help break down some of the common barriers to re-entry and stability within the workforce. Seemingly simple gestures such as securing lost documentation or securing a mailing address can make all the difference in obtaining and or maintaining regular employment. Access to basic hygiene necessities is available through Nest and our partners. There is dignity in earning a wage from work, and we believe in supporting this important step forward for our guests. We know that stable income is key to stable housing.
Moving Forward
Employment and homelessness are deeply interconnected issues. While employment is often seen as the path out of homelessness, the reality is that without addressing the multiple barriers discussed, employment alone may not be sufficient to end homelessness for many individuals. Comprehensive approaches that address housing, health, education, and employment simultaneously offer the most promising path forward. As we continue exploring this complex issue, understanding the multifaceted nature of these challenges is essential to developing effective solutions that create meaningful opportunities for stable housing and employment.
