When women thrive, their families and communities prosper. Despite decades of progress in job opportunities and earnings, working families still struggle to afford basic needs. This challenge is significantly worse for women, and specifically, Latinas. Systemic racism and gender inequities have contributed to California being the state in the nation with the worst wage gap between Latinas and white men.
In California, Latinas make 44 cents to every dollar that a white man earns. This wage gap is pervasive and persistent, with Latinas being paid less than white men in every state. If the current California wage gap trend continues, Latinas will not reach the same wages as white men within the lifetime of the state’s youngest children. While California has made progress toward creating the conditions for removing the structural barriers resulting in this wage gap, state leaders can do far more to ensure that Latinas no longer face this staggering inequity.
How Long Will it Take for Latinas to Close the Wage Gap — A Staggering 130 Years?
The data show that the wage gap will persist for generations to come, specifically:
- It will take until the year 2153 for Latinas to close the wage gap.
- Latinas’ wages are growing, just not fast enough.
The California Women’s Well-Being Index
When women thrive, communities flourish. The Women's Well-Being Index reveals the challenges women — especially women of color — face in economic security, health care, safety, and political representation. It calls on all of us to act for a more inclusive California.
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Why Does this Inequality Continue to Persist for Latinas?
The wage gap for Latinas is influenced by many factors stemming from racial and gender discrimination. Key points include:
- Latinas are more likely to work in unstable job markets, making them highly vulnerable to wage instability.
- Latinas work in sectors that are traditionally unpaid, widening the already inequitable wage gap.
- Latinas face gender and racial discrimination in multiple areas vital to well-being.
- Latinas are disproportionately impacted by wage discrimination as undocumented women are the least paid of any major demographic group.
What Can Policymakers Do to Address the Wage Gap for California’s Latinas?
In recent years, California’s policymakers have passed legislation that helps to identify and address the disparities in wages between Latinas and white men. This legislation includes:
- California Equal Pay Act. Passed in 2016, this policy requires equal pay for employees who perform similar work.
- California Pay Data Reporting Law. Passed in 2020, this policy requires private employers to submit annual reports of employees’ gender, race, ethnicity, pay, and hours worked to the California Civil Rights Department.
- California Pay Transparency Act. Passed in 2022, this policy expands pay data reporting requirements to better identify gender and race-based pay disparities.
While these policies have promoted fairer conditions for pay equity, they have not been enough to meaningfully close the wage gap in California between Latinas and white men. The reasons behind this wage gap in California stem from a variety of structural barriers related to access to well-paying jobs, access to education, and racial and gender discrimination. Pay transparency and reporting requirements alone will not meaningfully address this issue. Policymakers must therefore take a multifaceted approach to addressing systemic barriers by fighting against persistent inequities in pay and benefits and strengthening supports such as:
- Continuing to raise wages in occupations where Latinas are disproportionately represented;
- Creating a more comprehensive and accessible safety net, including enhanced unemployment insurance, paid family leave, CalWORKs (cash assistance), and CalFresh (food assistance);
- Widening access to flexible and affordable child care to aid in alleviating poverty;
- Increasing workers’ collective bargaining power;
- Investing in community-based programs supporting Latinas; and
- Promoting programs that improve the leadership pipeline for Latinas.
Focused efforts to address the wage gap can reverse current trends to ensure that Latinas reach pay equity well within a lifetime and have the resources they need to thrive in California.