Rep. Maloney Releases New Report Detailing Consequences of Gender Pay Inequality
NEW YORK, NY – Congresswoman Carolyn B. Maloney (D-N.Y.), Ranking Member of the U.S. Congress Joint Economic Committee (JEC), released a new report today offering a fresh perspective on the frequently referenced fact that a woman working full time, year-round earns only 79 percent of what a man earns. The report, Gender Pay Inequality: Consequences for Women, Families and the Economy, comes in advance of this year’s Equal Pay Day, Tuesday, April 12. The Congresswoman released the report at a roundtable discussion with a small group of leading New York women at the Roosevelt House Public Policy Institute.
“The impact of lower wages throughout women’s careers is devastating, costing these individuals working full time, year-round nearly half a million dollars over the course of her lifetime,” said Rep. Maloney. “Lower pay throughout their time in the workforce means that women contribute less to retirement plans and receive smaller pensions and smaller Social Security benefits. Therefore, they have substantially less income than their male counterparts in retirement and are much more likely to live in poverty as they grow older.
“The gender pay gap hurts millions of women and families across the country and is a major drag on our economy. Enacting policies that would narrow the gender pay gap, such as the Equal Rights Amendment and the Paycheck Fairness Act would decrease income inequality and lift many women out of poverty, boosting our country’s economy.”
Key highlights include:
- Latest data on state-by-state pay gap finds very large differences between states. For example, the gap between the typical man and woman’s income in Washington, D.C. is 10 percent, but it is 35 percent in Louisiana.
- After factoring in known reasons for the gap, approximately 40 percent of the gap remains unexplained—a fact that indicates that discrimination could be to blame.
- Lower lifetime career earnings for women translate to substantially lower retirement income than men. Retirement income for women ages 65 and older is 44 percent less than the median income for men in the same age group.
- Women 75 years and older are almost twice as likely to live in poverty as men.
- The wage gap for women of color is even larger. For every dollar earned by a white man, an African-American woman earns only 60 cents, and an Hispanic woman earns only 55 cents.
- Women’s median earnings are lower at every level of education. In fact, women are often out-earned by men with less education: a woman with a graduate degree earns $5,000 less than a man with a bachelor’s degree.
- The pay gap typically grows with age. While women ages 18 to 24 earn 88 percent of what their male counterparts earn, women over age 35 earn only 76 percent.
- The report includes detailed comparisons between the United States and other countries, describing policies other countries have implemented that have resulted in smaller pay gaps.