LOS ANGELES (CNS) – Latinas are a driving force in the economy, contributing $1.3 trillion to the gross domestic product, achieving record levels of workforce participation and starting businesses at rapid rates, according to a new report issued Tuesday, Oct. 14, that found Hispanas earn only 41 cents for every dollar paid to white men.
The report by Los Angeles-based Hispanas Organized for Political Equality (HOPE) found that persistent barriers such as wage inequality, student debt, childcare access and limited business capital continue to limit the full economic potential of Latinas.
With almost 8 million Latinas making up more than 20% of California’s population, the state stands out as both a hub of Latina entrepreneurship and as the home of the widest wage gap in the nation, the “National Economic Status of Latinas” report stated.
“California Latinas are innovators and business leaders, yet they continue to face the steepest wage inequality in the country,” Helen Iris Torres, chief executive of HOPE, said in a statement. “Closing this wage gap is about unlocking California’s full economic potential. Latinas’ success is central to the future of our state.”
The report’s key findings for California in various categories include:
– Education: 18.6% of Latinas hold a college degree;
– Income: The average income for Latinas is $79,187, yet they earn just 41 cents for every dollar earned by white, non-Hispanic men, representing a $2.18 million lifetime earnings loss;
– Workforce: Latinas’ labor force participation is 54%, with an unemployment rate of 6.2%; and
– Entrepreneurship: 13.3% of all women-owned small businesses in California are Latina-owned, reflecting one of the strongest rates of Latina entrepreneurship nationwide.
According to HOPE, California Latinas, many first-generation college graduates, describe navigating education, careers and financial systems without inherited guidance, relying on determination and adaptability to build wealth.
They emphasized saving, investing and entrepreneurship as pathways to financial independence while balancing high costs of housing, childcare and student debt.
With Latinas representing nearly one in five women in the U.S. and driving economic growth across industries, understanding their realities is essential for policymakers, businesses and communities, according to HOPE.