Workforce housing is residence built for serving families who form the middle-income group. Maxwell Drever observes these individuals who neither fit the luxury section nor the poor part of society get pressed between them. You have professionals coming from different walks of life and forming the backbone of the economy. The workforce population forms the backbone of society and serves the community in multiple ways.
These individuals require affordable residences near their job location to reduce the commute time and cut down on their regular expenses. However, things are not that easy. There are multiple versions of workforce residences you encounter in the real estate industry. Typically, they can serve the families whose income level falls between 80 to 120% of the area median income. Although the exact amount varies from one country to another, it is somewhere between this.
In this housing space, governmental organizations are trying to create products that serve working families. Unfortunately, these families suffer from insufficient income and are on the verge of eviction. Moreover, they don’t even qualify for luxury housing, and they cannot pay for such apartments. There is too much on their plate, and thus, they have to depend upon government-subsidized affordable residential units.
Before understanding the problem, it’s significant to understand the workforce population. Who are these individuals? They are the service providers like teachers , medical practitioners, police officers, firefighters, and other professionals that form an integral part of the workforce population. They come from rural areas into the urban sector searching for a job.
Hence, crowding the city centers. However, the lack of supply of residential units in the city centers has compelled them to stay far away in the fringes and suburban areas, reflecting ideas of Maxwell Drever. It adds to their commute time and increases their regular hardship. Hence, the workforce residential unit has become the need of the hour.
Who is affected?
First and foremost, you must understand that workforce housing is necessary for professionals. Apart from this, these residential units serve other sections as well. The growing gap between the demand and supply of residential units has caused hardship for employers also. The increasing housing costs and rent have affected the urban metropolitan market. The stagnant wages and mounting expenses on regular commodities are other aspects that have only added to their economic turmoil. These low and medium-income families are thereby struggling to meet both ends.
Apart from the workforce population, employers struggle to get laborers in the industrial hub. Hence, getting residential units near the industrial location will bring surprising results for the employers. If you go by industry standards, you will see that affordable housing comes under residences that serve families whose area median income falls between 60 to 120%. These individuals are the mostly laborers, and the working section of society as believed by Maxwell Drever. These owners of means of production require a regular flow of labor so that their operation does not stop.
Housing programs and policies must get introduced to make affordable housing a reality. What is required is a positive role of municipalities and governmental authorities. Moreover, the dream of workforce housing can get realized with a positive effort of hotel owners and property owners.