Despite Significant Progress In Maryland, Women Are Still Underpaid

Women in Maryland earn less than men, and eliminating the gender wage gap would be an enormous boost to Maryland’s economy.

In 1963 when the Equal Pay Act was signed into law, women earned 59 cents on the dollar compared to men. Despite tremendous strides made to eliminate the gender pay gap, nationally women today only earn about 78 cents on the dollar compared to men—a disparity that results in thousands of dollars in lost wages and buying power annually for struggling families.

At first glance, it appears that women in Maryland fare much better economically than their counterparts in other states. Women in Maryland have the second-highest earnings ratio compared to men in the entire country at 87.4 percent, according to the Institute for Women’s Policy Research. However, not all Maryland women are thriving, specifically women of color.

African-American women on average earn 70 cents for every dollar paid to their white male counterparts, compared to the national average of 64 cents; Hispanic women earn just 47 cents, well below the national average of 56 cents for 2014 — ranking Maryland among the lowest-paying states  for Latinas among those that have large Hispanic populations. This is largely because Latinas in Maryland are 30 percent more likely to be employed in low-wage occupations than the national average.

Chronic gender income inequality has resulted in women having to endure much more economic hardship than men, on average. In Maryland, 10 percent of women over the age of 18 live at or below the poverty threshold (which is just $19,790 for a family of three). Yet the poverty rate for adult men is about 7 percent.

Rates are even higher for women of color — 14 percent of African-American women and 15 percent of Hispanic women live either at or below the poverty level. Females who have children and head their households face even more woeful odds, having a 33 percent or 1-in-3 chance of being impoverished.

Last year’s passage of a state minimum wage increase, to $10.10 by 2018, is expected to improve the economic fortunes of many women in Maryland, and reduce the gender wage gap. But it will not close the gap, and because lawmakers chose not to allow  the minimum wage to rise with inflation its benefits will erode over time.

Women make up almost half of the full-time workforce in Maryland. It is imperative that policymakers continue to pass legislation that addresses the wage gap. This would  make it easier for families to afford basic needs like nutritious food and adequate housing and save taxpayers money by reducing the need for food stamps and other family supports.