Added: Lenee Yocum - Date: 05.10.2021 14:06 - Views: 22472 - Clicks: 5491
Although social and political efforts have been made to close the wage gap and in turn the wealth gap, recent Census data still indicates that women earn 77 cents on the dollar compared to men. For women of color the gap is even wider: Black women earn The wage story is just as unequal for single mothers: They make less than men, less than married women, and less than women without children.
Adding race to the equation, single mothers of color are hit hardest by the wage gap. Studies show that single mothers of color are much more likely to live in poverty and face ificant barriers to creating wealth.
Lower wages can often prevent families from engaging in asset- and wealth-building mechanisms such as pension plans because of fewer job benefits and resources. Lower earnings can hinder families from investing and saving their money, a key strategy for building wealth. Additionally, wealth not only impacts economic security but long-term retirement security as well.
Single mothers of color face ificant barriers in accumulating wealth, leaving many with limited economic security. Poverty rates are higher for single mothers of color compared to white single mothers and two parent households. In Hispanic and African American single mothers had poverty rates of Likewise, educational attainment is limited Single mother of color single mothers of color.
More than half of single mothers who do not complete their high school careers are women of color ; 40 percent are Hispanic and 20 percent are African American. While labor force participation is high among single mothers, they are also more vulnerable to periods of unemployment, often times due to child care and other care needs making it difficult to secure full-time employment and higher wages.
Additionally, employed single mothers of color are highly concentrated in service-industry jobs that tend to offer fewer benefits and lower wages. Among single mothers African Americans have the highest rate of unemployment at Overall, single mothers of color hold the highest poverty rates and the lowest median income levels, creating unique challenges to building wealth and prosperity for their families.
The potential impact of pay equity for single mothers of color is ificant. Increasing opportunities to build wealth is crucial to surviving financial setbacks such as an unexpected health emergency or the loss of a job. The ability to build wealth allows families to plan for such situations and stay afloat during hard economic times. It also gives parents the opportunity to help their children financially whether through college tuition or inheritance. A study on pay equity from the late s found that pay equity raised 60 percent of the working poor in occupations dominated by people of color out of poverty.
For workers in occupations dominated by women of the color, 52 percent were lifted out of poverty. A more recent report found that pay equity would enable more mothers to purchase health insurance for themselves and their children, thus allowing for positive health outcomes from having higher access to preventative care.
The study from the Wayne County, Michigan Department of Public Health found that the health impact of pay equity for mothers would include reducing early childbirth, depression, and income-related stress and related illnesses, such as cardiovascular disease and gastrointestinal disorders.
Income disparities translate into wealth gaps that fall heavily between racial and gender lines. Lower earnings mean fewer opportunities to engage in wealth-building mechanisms such as pension plans or investment in stocks and bonds. Prior to age 50 women of color have virtually no wealth. While earnings are important to accumulating wealth, other factors play a ificant impact in building wealth such as job-related benefits, including paid sick leave, health insurance, and retirement plans such as pensions and k plans.
Over time the lack of equitable pay prevents single mothers from taking advantage of wealth-building resources that can allow for building wealth, particularly during potential financial setbacks such as a health emergency or a death in the family. The immense costs associated with parenthood—which includes housing, food, child care, and health insurance—are made particularly challenging for single mothers who only have one Single mother of color.
Coupled with institutional and structural factors that impede on building wealth such as lower wages and lifetime earnings, single mothers of color are often unable to accumulate wealth and assets. These costs contribute to the economic instability of single mothers and directly impact their ability to save and invest money.
Below are suggested recommendations and policy solutions to ificantly reduce the pay equity gap between mothers and women of color. Adequately addressing and eventually eliminating the income and wealth gap experienced by women of color and single mothers requires a multifaceted approach, led by engagement at both the state and federal level. Single mothers of color: a snapshot Single mothers of color face ificant barriers in accumulating wealth, leaving many with limited economic security.
Potential impact of pay equity The potential impact of pay equity for single mothers of color is ificant. Unequal access to wealth Income disparities translate into wealth gaps that fall heavily between racial and gender lines. Improve and preserve the child tax credit and earned income tax credit. The changes to the earned income tax credit and child tax credit are set to expire at the end of this year, leaving hardworking, low-income families at a crossro.
In an estimated 4. According to Half in Tenextending the child tax credit will help low-income working families by counting all family earnings towards the 15 percent credit. Pass legislation to extend paid sick leave benefits. Support legislation to lessen wage gap. Race- and gender-based discrimination adversely impacts mothers and women of color.
Legislation that promotes fair wages will reduce income disparities between women of color and other groups. Sophia Kerby is the Special Assistant for ProgressSingle mother of color
email: [email protected] - phone:(544) 269-9888 x 8968
OPINION: Stop Denying the Connection Between Single Motherhood and Poverty