Fair Pay for Latinas: Tackling Gender Pay Inequity with Data-Driven DEI Strategies

When it comes to diversity, equity, and inclusion (DEI), a data-driven approach is critical. This is especially true when it comes to gender pay equity. The gender wage gap has been a longstanding issue in the United States, with women earning about .17 cents? less than white males doing the same job. This represents a $400,000 average loss that a woman would lose in her career lifetime.?

But the gap widens even further when it comes to Latine/x/as and other women of color.? According to the National Women’s Law Center (2023 Fact Sheet), for “Latinas compared to white, non-Hispanic men the career losses mount to $1,188,960, for Native women, the losses are $1,151,880, and for Black women the losses are $907,680.”

According to a 2020 Fact Sheet, Latine/x/as earn just .55 cents for every dollar earned by white, non-Hispanic men. This means that Latine/x/as must work almost two years to earn what a white, non-Hispanic man earns in one year.?

This disparity is not only unfair but also unacceptable.

To learn more about gender pay equity, I spoke with Norma Márquez-Barahona, CEO of Speak TU, a pay equity analytics company. Norma shared insights into her work in DEI and how her company's tool analyzes and identifies pay equity gaps in organizations, and what they can do to correct them.

The Truth About Pay Equity for Latine/x/as (and How to Address It)

In the interview with Norm, she shared that pay equity comes from a history of discrimination perpetuated by bias in hiring, promotional opportunities, and salary decisions.

Watch the full interview with Norma HERE.

Norma believes that Latina pay equity issues contribute to Latine/x/as’ limited access to career advancement and earning a fair, equitable wage.

A big issue Norma believes hurts Latinas is that they do not negotiate for higher wages or promotional opportunities as often as men do. In the interview, Norma shares some negotiation tactics and speaks about the importance of connecting women with allies in the workplace to help them fight for equal pay.

Gender Discrimination

Research shows that the gender pay gap is not solely due to individual choices or qualifications but also due to structural and systemic discrimination. Can We Talk About Pay Discrimination/Equal Pay/Strategic Compensation Practices? suggests that framing gender pay inequity as a result of individual choices or qualifications ignores the role of implicit bias and discrimination in hiring and promotion decisions.

The study recommends reframing the conversation around pay equity to focus on structural and systemic issues. This way, the solution is more about systemic change instead of blaming people for their situational circumstances.

Furthermore, Returns in the Labor Market: A Nuanced View of Penalties at the Intersection of Race and Gender in the US highlights the nuanced nature of pay gaps at the intersection of race and gender. The study found that Black and Latina women face the largest wage penalties compared to white men, even after controlling for education and work experience.

This suggests that addressing pay equity gaps requires an intersectional approach that accounts for race and gender.

Organizations must take a data-driven approach to improve pay equity gaps for Latine/x/as. Conducting a pay equity audit can help identify any pay equity gaps within an organization. This involves analyzing compensation practices and comparing the salaries of employees in similar roles.?

Speak TU is the ultimate destination for employers to get the latest insights into their workforce analytics. Leveraging the AI power of ChatGPT, SpeakTU offers a full suite of tools and resources to help employers understand their pay equity and Social scoring for ESG reporting.? SpeakTU’s tool can help organizations conduct pay equity audits and provide actionable solutions to address pay gaps.??

All this data can be used to understand the pay gaps and diversity of your workforce and to make informed decisions regarding your human resources strategies.? SpeakTU also provides employers with a range of reporting and data visualization tools.?

How to Advocate for Fair Pay

In the interview, Norma reminds us that: advocating for fair pay is not just about the individual but also about promoting equity for all women, especially women of color. One way to advocate for fair pay is to negotiate salaries.?

However, research shows that Latine/x/as may face unique challenges in negotiating salaries; because unfair stereotypes of assertive women place them in an adversarial relationship with men. Can We Talk About Pay Discrimination/Equal Pay/Strategic Compensation Practices? suggests that framing negotiations as adversarial and masculine may create a hostile environment for Latine/x/as.?

The study recommends reframing negotiations as a collaborative process that focuses on the value of the employee - the person.

This is why allyship is critical. Women need allies to help them advocate for fair pay within an organization.? When advocating for fair and equal pay, gather evidence and data to support your claims. Then use a collaborative approach with organizational leaders to present your case.?

Latinas, You Have The Right To Fair Pay!

Now, let’s focus on how to self-advocate for fair pay. Laine/x/as, you have the right to fair pay and equal opportunities for advancement. As Norma reminds us, when negotiating your salary or discussing your performance, it’s critical to come prepared with data to support your argument.

Norma says to research the market rate for your job, using salary surveys, for example, to understand how your pay compares to others in your industry and organization. Be clear about your accomplishments and the value you bring to the company. Don’t be afraid to ask for what you’re worth.

Follow Norama's advice to prepare and make your case. And it doesn't hurt to get together with a friend and practice your presentation!

Men, Be An Ally!

Fellow men: be an ally for women, especially women of color from historically disadvantaged backgrounds. You can be an ally by speaking up on their behalf at work and supporting policies that promote pay equity.

Being an ally goes beyond the workplace: it also means that you support and advocate for equal pay laws.

While we're at it, take it a step further by supporting organizations that work towards pay equity, such as the National Women’s Law Center and the American Association of University Women.

Finally, if you’re experiencing pay inequity, speak up. Talk to your supervisor or HR representative about your concerns. If you’re not comfortable doing that, consider reaching out to your network, Norma, or me - we will be happy to support you.

If you’re an organization looking to address pay equity, Speak TU’s pay equity analytics can help. Their tool analyzes and identifies pay equity gaps in your organization and provides actionable insights to correct them.?

By conducting a pay equity audit and addressing disparities, your organization can create a more equitable workplace for all employees.

Take Action

To address pay equity for Latine/x/as and other marginalized groups, organizations can take the following action steps:

1. Conduct a pay equity audit: This is a data-driven approach that analyzes pay discrepancies within the organization. Speak TU provides pay equity analytics to help identify pay gaps and create a plan to address them.
2. Look at gender: Organizations should look specifically at the pay gaps between male and female employees. This can be broken down further by race and ethnicity to identify pay gaps that disproportionately affect Latine/x/as.
3. Establish pay transparency: By being transparent about pay scales and how they are determined, organizations can help ensure that pay discrepancies are not based on factors such as gender or race.
4. Offer salary negotiation training: Women and minorities are often not as likely to negotiate their salaries as their male counterparts. By offering training and support for salary negotiation, organizations can help employees advocate for fair pay.
5. Provide unconscious bias training: Unconscious bias can lead to pay disparities based on factors such as gender and race. By providing training on how to recognize and overcome these biases, organizations can help to create a more equitable workplace.
6. Implement objective performance metrics: By establishing objective performance metrics, organizations can ensure that pay is based on job performance rather than subjective factors such as gender or race.
7. Review job descriptions: Biased language in job descriptions can discourage women and minorities from applying for certain positions. By reviewing and updating job descriptions to be inclusive and neutral, organizations can attract a more diverse pool of candidates.
8. Establish mentorship and sponsorship programs: Mentorship and sponsorship programs can provide support and guidance for women and other members of marginalized communities as they navigate their careers. These programs can also help to create a more diverse leadership pipeline.
9. Review recruitment and hiring practices: Recruitment and hiring practices should be reviewed to ensure they are inclusive and promote diversity. For example, organizations should consider using blind resumes to eliminate bias based on factors such as name or gender.
10. Advocate for policy change: Organizations can advocate for policy change at the local, state, and national levels to address pay equity. This can include advocating for equal pay laws and supporting legislation that promotes equity and fairness in the workplace.

By taking these action steps, organizations can help to address pay equity for Latine/x/as and other marginalized groups. It is important to remember that achieving pay equity requires ongoing effort and a commitment to creating a more equitable workplace for all employees.

Contact me if you need help taking these action steps.

Track Your Progress

Regular tracking and reporting can also help build trust and engagement among employees. It demonstrates a commitment to fairness and equity and shows that the organization values and prioritizes the well-being of its employees.?

By involving employees in the tracking and reporting process, organizations can create a culture of transparency and accountability that encourages collaboration and communication.

In addition to tracking progress, organizations should celebrate successes and acknowledge areas where further work is needed. Celebrating successes helps to build momentum and create a positive culture around pay equity.

Acknowledging areas where further work is needed demonstrates a commitment to continuous improvement and a willingness to learn from mistakes.

Overall, regular tracking and reporting is an important step that helps ensure that efforts to address pay equity are effective and sustainable. By setting clear goals, monitoring progress, and reporting on outcomes, organizations can create a culture of accountability and transparency that promotes fairness, equity, and inclusivity in the workplace for everyone.

In conclusion, addressing pay equity is a critical component of DEI efforts. A data-driven approach is necessary to identify and correct pay inequities, particularly for marginalized groups like Latine/x/as, who face unique challenges in the labor market.?

By advocating for fair pay and supporting policies and organizations that promote pay equity, we get closer to becoming a more just and equitable society.?

And for organizations looking to take action on pay equity, tools like Speak TU’s pay equity analytics can provide valuable insights and guidance.?

Together, we can create a world where everyone is valued and compensated fairly for their work.

To watch the full interview with Norma Márquez-Barahona, go HERE.

To schedule a free consultation on DEI strategy, go HERE.

Get Up And Grow!

Raúl T. Pereyra - CEO | RTP Learning

RTP Learning: Helping mission-driven leaders boost their confidence and effectiveness through transformational leadership coaching, enabling them to lead with greater impact.

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Sources:

1. Aguilar, L. (2019). Returns in the Labor Market: A Nuanced View of Penalties at the Intersection of Race and Gender in the US. Journal of Labor Research, 40(3), 277-302.
2. Oguz, F. C. (2018). Can We Talk About Pay Discrimination/Equal Pay/Strategic Compensation Practices? An Exploratory Study on Framing Gender Pay Inequity. Journal of Applied Communication Research, 46(3), 304-323.
3. Speak TU.
4. National Women’s Law Center (Equal Pay data).
5. American Association of University Women (Pay Equity & Discrimination).
6. U.S. Department of Labor ?(Women’s Bureau).
7. National Partnership for Women & Families. (2022). Fact Sheet: Latinas and the Wage Gap.