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Short-Changed
How Tipped Work Exacerbates the Pay Gap for Latinas
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By Lily Roberts and Galen Hendricks

Today is Latina Equal Pay Day, the 2019 date when the average Latina worker catches up to the wages earned by a white man in 2018—nearly a year ago. Last year, Latinas made 54.5 cents for every dollar earned by white, non-Hispanic men.

New analysis demonstrates that the difference is even starker for Latinas who work for tips: Tipped Latina workers earn 65 percent less than nontipped white, non-Hispanic men.

Experts attribute a significant part of the wage gap to discrimination. On top of discrimination in hiring, promotion, and pay, Latinas are often systematically funneled into low-wage occupations, including jobs in which a portion of their wages comes from tips.

Achieving equal pay will require robust policy solutions that support women and their families. One clear area for improvement would be to eliminate outmoded and discriminatory exceptions to the federal minimum wage. The subminimum wage for tipped workers perpetuates the pay gap and workplace harassment; eliminating it would be a vital step toward achieving pay equity.

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See Also: Racism and Sexism Combine to Shortchange Working Black Women
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