SACRAMENTO, CA — A new report released today reveals that California holds the nation’s worst wage gap between Latinas and white men, highlighting the ongoing economic injustice faced by Latinas in the state. On Latina Equal Pay Day — the day symbolizing how far into the year Latinas must work to match the previous year’s earnings of white men — the California Budget & Policy Center is providing policy recommendations to close the staggering wage gap.
The report shows that Latinas in California earn just 44 cents for every dollar made by white men. At this rate, it will take Latinas about 130 years to reach pay parity — a timeline that stretches well beyond the lifetime of the state’s youngest children.
“California cannot afford to wait another century for Latinas to achieve wage equality,” said Laura Pryor, research director at the California Budget & Policy Center. “When women thrive, their families and communities prosper. Dismantling barriers that keep Latinas in low-paying jobs, undervalued, and underpaid must be a top priority.”
Key Findings from the Report Include:
- Widespread Wage Disparities: The wage gap between Latinas and white men in California is the widest in the nation. From 2003-2022, the average annual earnings gap was $48,742.
- Slow Wage Growth: While Latina wages are growing twice as fast as those of white men, the gap remains far too large. Even at this pace, wage equality won’t be achieved until the year 2153.
- Impact of Unpaid Labor: Latinas are disproportionately responsible for unpaid caregiving, further widening the wage gap and limiting economic mobility.
- Structural Barriers: Latinas face systemic racial and gender discrimination, which leads to low representation in managerial positions, higher rates of unemployment, and barriers to higher education.
- Undocumented Latinas Face Even Greater Disparities: 69% of undocumented women in California are Latinas, and they earn the lowest wages of any demographic group in the state.
Although California has passed policies like the California Equal Pay Act and the Pay Transparency Act, these measures alone have not been enough to close the gap. The report outlines a comprehensive plan for policymakers, calling for:
- Raising wages in low-paying sectors where Latinas are concentrated
- Expanding access to affordable child care and family leave
- Enhancing unemployment benefits and strengthening worker protections
- Increasing access to education and professional development for Latinas
- Empowering collective bargaining rights for workers across industries