The federal minimum wage has been stuck at $7.25 since 2009. While the majority of states have increased their minimum-wage laws since then, there are still 20 that have maintained the federal minimum.
In April of this year, California raised their minimum wage to $20 an hour for fast food employees, granting half a million workers in the state an increase in pay. The minimum wage for all other workers in the state will remain at $16. With the highest minimum wage in the country being $17.50 in Washington DC, this is a significant step in demanding livable wages for all citizens.
Although states are taking strides to increase base pay for workers, it is still not enough. In California, the living wage for an adult with no children is $27.32 and is $61.58 for an adult with two children. Further, the value of the federal wage is at its lowest point since 1956, although businesses are within the financial means to pay significantly more. These drastically low wages have critical effects on equality in the U.S., with women being considerably overrepresented in low-wage jobs. Not only will increasing the minimum wage help ensure all workers earn a living wage, but it will also narrow the gender wage gap.
In the U.S., women make up 64.1% of employers working in the 40 lowest paying jobs. Also called occupational segregation, the overrepresentation of women in certain types of jobs is the single largest factor for the gender pay gap, as jobs held predominately by women are undervalued and undercompensated. Careers that are predominantly female often pay much less than predominantly male careers, even if the value of labor is the same. Systemic sexism within the U.S. prevents “women’s work” from being recognized for its true value and labor, historically leading to employers paying lower wages for these careers.
Occupational segregation can be attributed to the fact that women – especially women of color – are forced out of male-dominated occupations and are prevented from joining all together. First, gender bias and stereotypes can limit the experience that young girls gain, such as being discouraged from joining STEM clubs and training associations that would build the skills needed for male-dominated careers. Second, women face limited access to networks and mentorships, facing greater barriers in establishing professional connections and thus, not receiving the same career opportunities as men.
Women also experience disproportionate burdens of both formal and informal caregiving. These unequal caregiving responsibilities ultimately lead women to sacrifice higher paying jobs. While formal caregiving is a low wage job, many women put their careers on hold to accommodate informal caregiving – often taking care of their children and the household without pay. Lastly, even when women successfully enter male-dominated careers, they often face harassment and discrimination that make them seriously consider leaving the field.
The impacts of occupational segregation are more heavily felt for women of color. Experiencing an intersection of both sexism and racism, double the amount of Latinas and Indigenous women are represented in low-paying jobs than they are in the workforce overall and, for Black women, their representation is almost 1.5 times larger.
The broad impact of occupational segregation on women means that raising the minimum wage would effectively narrow the gender pay gap. For every dollar a man makes, women make 82 cents, and, for every dollar a white man makes, Black women earn 63 cents, Native women earn 60 cents, and Latina women earn 55 cents. According to The Center for American Progress, “Over the course of a 40-year career, women earn about $400,000 less than men due to the gender wage gap.” By increasing minimum wages, those who are overrepresented in these fields, including women, will gain the most benefit.
