Latinas in the United States made a significant economic impact in 2021, contributing $1.3 trillion to the country's gross domestic product. This figure marks a substantial increase from $661 billion in 2010, with a growth rate nearly three times that of non-Latinos during the same period. A recent report funded by Bank of America and conducted by professors at California Lutheran University and UCLA highlighted the vital role Latinas play in driving economic vitality in the U.S.
The study, based on publicly available economic and demographic data from U.S. agencies, emphasized that Latinas excel in key economic measures such as workforce participation, educational attainment, and income growth. Latinas' economic contribution of $1.3 trillion is comparable to the GDP of Florida and ranks behind only California, Texas, and New York, according to the U.S. Bureau of Economic Analysis.
The report also pointed out that Latinas are experiencing higher earnings and economic mobility, with their economic output and labor force growth outpacing non-Latinos by a significant margin. Despite facing certain disadvantages, Latinas are making strides in closing the wage gap, investing in starting businesses, and pursuing homeownership.
While women overall have made progress in C-suite and high-earning industry representation, the wage gap has remained stagnant for about two decades, particularly for Black and Latina workers who face the largest pay gap among all groups. The study, titled 'Dando Vida a la Economía' or 'Giving Life to the Economy,' builds on previous reports to examine the growing economic contributions of Latinos in the U.S.
Factors contributing to Latinas' economic growth include the transition of older immigrant Latinas out of the workforce, allowing their U.S.-born daughters and granddaughters to step in. These younger Latina workers are entering the workforce as bilingual professionals with higher education levels, combining the work ethic of their predecessors with increased human capital.
The findings underscore the significant and accelerating economic impact of Latinas in the U.S., highlighting their role as key drivers of economic growth and prosperity.
