IHSS: An Investment with a Guaranteed Return — Financially and Humanely
LOS ANGELES (July 24, 2025) – Tuesday, SEIU Local 2015 home care providers returned to the Los Angeles County Board of Supervisors to demand investment in the County’s In-Home Supportive Services (IHSS) program—one of the most cost-effective and impactful programs serving nearly 290,000 low-income seniors and people with disabilities.
IHSS caregivers, many of whom are women of color, continue to provide essential services without a new contract since January 1, while surviving on wages that leave the majority in poverty. Over 87% of providers report working multiple jobs to make ends meet, and 64% rely on public assistance just to put food on the table.
Yet the fiscal return on investment in IHSS is both clear and compelling. For every dollar invested in caregiver wages, Los Angeles County pays just 17 cents. The remaining 83 cents is covered by state and federal funds—bringing millions of outside dollars into the County to support local jobs and boost the economy.
According to new data from SEIU Local 2015’s Policy & Research Department, proposed IHSS wage increase of $3.24 which would phase in over the course of 3 years (of which the County would only be responsible for approximately sixty-five cents) would bring IHSS worker wages to $21.74 and generate $1.04 billion in total economic output, create and support over 4,780 jobs, and inject $854 million in new disposable income into the local economy between 2026 and 2027. Industries benefiting most include housing, health care, food service, and retail.
In addition to these economic gains, IHSS wage increases would bring in over $14 million in new tax revenues to Los Angeles County and more than $42 million to the State of California—supporting schools, infrastructure, and critical public services.
The IHSS program not only supports workers but also saves taxpayer dollars by helping seniors and people with disabilities remain safely in their homes and communities—avoiding far more costly institutional care. In 2024 alone, Los Angeles County left more than 11 million authorized care hours unused due to a shortage of providers, highlighting the urgent need to improve wages and stabilize the caregiving workforce.
Providers who spoke before the Board underscored the toll that low wages and County inaction are taking on their lives and the lives of those they care for.
“We’re not asking for charity—we’re asking for investment,” said IHSS provider Rachelle Lewis. “This Board should be ashamed that more than 87% of us have to work multiple jobs just to get by. And yet, you only need to put up 17 cents for every dollar in wages. That’s not just a good deal—that’s common sense.”
“The shortage of home care providers is growing. In 2024 alone, more than 11 million authorized care hours went unused in Los Angeles County. That’s not just a workforce crisis—it’s a care crisis,” stated SEIU 2015 Regional Vice President and caregiver Suk Kim.
As Los Angeles County weighs budget priorities, IHSS caregivers are calling for a decision that not only uplifts workers but delivers one of the highest returns of any public investment—measured in economic output, community health, and human dignity.