The persistent gender wage gap has been a hot-button topic now for a long time, and rightly so. There’s no reason why women should be paid less than men for performing the same or similar job, and the current disparity is 83 cents for every U.S. dollar made by men.
Sometimes, though, the pay chasm’s disproportionate effect on women of color gets lost in the conversation. The fact is that this population’s overall economic security has always been threatened — and remains so.
Let’s look further at women of color and the wage gap.
The Issue
The enduring gender wage gap, combined with workplace biases, results in a ceaseless cycle of lower pay for African American, Asian, Native American, Hispanic, and other women of color. At length, such losses pile up and grow. This affects their ability to save, weather economic volatility, and become financially stable.
Note that recent U.S. Census data indeed show that women of color experience the worst effects of the gender pay gap.
The Gender Pay Gap
At 57 cents for every U.S. dollar made by white, non-Hispanic men, Hispanic women are hit with the biggest pay gap. Black women don’t fare much better; they draw only 64 cents for every dollar earned by such men. Meanwhile, native women earn just 60 cents for every dollar.
The story is more complicated for Asian women, who get 98 cents for every dollar pulled by white men. Data are skewed since they don’t include Pacific Islander and Native Hawaiian women, who are usually the lowest-paid in the Pacific Islander and Asian-American community.
The Fallout
Over time, issues caused by the pay gap result in substantial disparities for women of color. According to the Center for American Progress, Hispanic women wind up losing, over the course of their careers, $1,163,920; Native American women, $986,240; African American women, $964,400; and Asian American or Pacific Islander women, $400,000. Pay equity is the issue.
What’s Driving the Pay Gap?
Some 62 percent of the gap can largely be pinned on differences in years of experience as well as differences in industries or the kinds of jobs worked, according to research by noted economists.
The other 38 percent, though, cannot be so easily explained. However, it can largely be attributed to factors including discrimination, which women of color face in multiple forms.
Jobs
Women of color dominate jobs that historically don’t pay well – those within domestic, care, and service sectors – owing to a phenomenon known as occupational segregation. That’s the funneling of people into positions based on racial and gender norms, stereotypes, and expectations. While education does mitigate this to a certain extent, it’s far from a panacea.
Further, women of color are more apt to have fewer hours of compensated work and to work part time. The latter is typically due to at-home caregiving duties.
Discrimination
Racism, sexism, or other biases can directly and indirectly color hiring decisions, in some industries more than others. This is what women, particularly women of color, must grapple with in addition to housework, caregiving, and other unpaid obligations.
Narrowing the Gap
At the current pace, and without remedial action, African American and Hispanic women in this country are not forecast to gain pay equality with white men until 2133 and 2220, respectively. Parity can happen sooner, however, if Congress intercedes with robust action promoting equal pay. For starters, lawmakers can finally pass the Paycheck Fairness Act as well as better work-family policies.
Ultimately, when it comes to women of color and the wage gap, it’s time to acknowledge that such women are key to maintaining the nation’s economy, and as such, merit equal pay. If you need help establishing pay equity at your organization, the benefits consultant Mercer is recommended.