By Kelly Todd Griffin, Special to California Black Media Partners
California prides itself on its progressive values and commitment to diversity and inclusion, but the economic disparities facing Black women in the state pose troubling contradictions to this self-image.
With over 1 million Black women living in California, the fifth most populous state in the nation, it is important to shine a light on the inequities we face. The data speaks volumes: Black women are systematically underserved and underrepresented, and face wealth disparities, higher poverty rates, and greater financial burdens.
Consider the glaring wealth disparity: Black women hold just 10% of the wealth of white men, with an average wealth of just $6,000. This is the lowest of any racial or gender group in California. Moreover, when it comes to income, black women earn just 57 cents for every dollar a white non-Hispanic man earns, according to a report on the status of women in California produced by Mount Saint Mary’s University in Los Angeles. Black women would have to work an additional 30 years (at age 91) to earn the same amount a white man earns at age 64; white women would have to work only an additional 10 years. This disparity is not only unfair, it is a stain on the state’s reputation and reflects disparities as severe as those found in the most economically divided regions of the country.
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The economic burden Black women shoulder is enormous. They spend up to 50% of their income on housing and nearly 30% on child care, far higher than any other age group. This is compounded by the fact that 67% of Black households in California are headed by single mothers, as highlighted in the California Black Women’s Collective Empowerment Institute’s “Pay Yourself What You Deserve: Black Women’s Wage Report.”
Despite their educational gains, black women still earn less than their equally educated white and Asian counterparts. These expenses undermine their ability to save, invest, and achieve economic security, perpetuating a vicious cycle of poverty and economic insecurity.
According to the Federal Reserve Bank, Black homeownership rates in California are significantly lower than other racial groups. The most recent data shows it is about 36.8%, well below the ownership rate of white households in the state. Black women in California also face housing challenges, especially in the rental market. They are disproportionately affected by high rent prices, which makes them more likely to be evicted and more likely to experience no place to live with their children. In fact, 60% of Black women renters are cost-burdened, spending at least one-third of their income on housing costs.
Black women in California have an unemployment rate of over 6%, the highest among women. Black women are also disproportionately represented in low-wage service jobs and are significantly less likely than their white and Asian counterparts to hold managerial and professional positions. In California’s top 100 companies, only 4% of management positions are held by black women.
The picture is further complicated by education level: Only 13% of black women have at least a bachelor’s degree, compared with just 4% of women overall. The Public Policy Institute of California projects that by 2030, about 38% of jobs in the state will require a bachelor’s degree.
The entrepreneurial climate is no longer bright: In California, only 7.7% of women-owned businesses are owned by Black women, and most of those are small businesses, limiting their economic impact. Securing capital and investment from traditional and non-traditional sources is difficult.
Access to health care is also a hurdle: one in three Black women delay seeking medical care due to high costs, and the majority report major challenges related to inflation and systemic discrimination.
Economic disparities have a significant impact on Black women’s health. Many Black women work in low-wage jobs that lack employer-provided health insurance, exacerbating their health vulnerabilities. This lack of insurance often leads to skipped medications and unmet medical needs.
Additionally, Black women often face barriers that complicate their pregnancy and birth experiences, resulting in a three times higher mortality rate when trying to have a child.
The picture isn’t all bleak. Black women are at the forefront of politics. There are over 100 Black women serving at various levels of public office across the state. California leads the states with four Black women in Congress (though that will change after the November election).
The roadmap to improving the lives and health of Black women must include closing wage and wealth gaps; supporting entrepreneurship with scaled financial and mentorship support to foster scalable and sustainable business ventures; expanding educational opportunities through scholarships and targeted assistance programs to address the unique challenges Black women face from preschool through higher education; improving access to health care by targeting barriers that prevent access to quality health care without creating financial hardship; and easing the burden of homebuying with specialized housing assistance programs, especially for single-income families.
The time for real change is now. California must work together with educational institutions, businesses, community groups, policymakers, philanthropic organizations, and the workforce to eliminate the barriers Black women face. Investing in Black women is an investment in California’s future and promotes rich, fulfilling lives for all our residents.
About the Author
Kelly Todd Griffin is the president and CEO of the California Institute for Black Women’s Empowerment, the nation’s only policy think tank focused solely on Black women and girls. Learn more about the institute’s work at www.CABlackWomenCollective.org.
