A recent report from Redfin indicates that the typical retail worker in the U.
S. earns $34,436 per year, which is 51.6% less than the $71,172 needed to afford the typical apartment costing $1,779 per month. This disparity means an average retail worker faces a $36,736 annual income shortfall, although rental affordability has seen a slight improvement in recent years. Redfin considers a rental affordable if no more than 30% of income is spent on rent, basing its analysis on 2024 wage estimates from the U.
S. Bureau of Labor Statistics and October 2025 multifamily rent data from the Zillow Observed Rent Index. The data covers cashiers, retail salespersons, and first-line retail supervisors. To afford a typical apartment independently, a retail worker would need to work approximately 83 hours per week.
Redfin Chief Economist Daryl Fairweather stated, “As the cost of living has increased, so have the sacrifices renters must make to afford a place to live. Since most retail workers don’t earn enough to afford the typical apartment, many are opting to share rent with a family member or friend, move far away from their job, or live in a very small space. The good news is rents are no longer rising as fast as they were during the pandemic, so rental affordability has actually improved slightly in recent years.”
Survey findings from a Redfin-commissioned Ipsos study in May 2025 revealed that nearly one in four U.
S. renters (23%) regularly or significantly struggle with housing costs. Among those who moved within the prior 12 months, 23% cited lower housing costs as their primary reason. Earlier Redfin reports noted that many renters are reducing restaurant visits, foregoing vacations, and borrowing money to cover rent.
The retail sector has experienced significant job cuts, with 88,664 layoffs this year, marking a 145% increase from the previous year, according to Challenger, Gray & Christmas. These reductions are attributed to declining sales, rising tariffs, and the impact of artificial intelligence. Projections from the National Retail Federation anticipate seasonal retail hiring to reach its lowest level in 15 years, with 265,000 to 365,000 seasonal workers expected in 2025, down from 442,000 last year.
While the report primarily focuses on the
