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Key Findings
- In 2023, across all workers with earnings, Black women were paid just 64.4 cents for every dollar paid to White men.
- Black women face pay gaps in every state, from 36.2 cents in Idaho to 77.5 cents in Alaska for every dollar earned by White men for all workers with earnings.
- Black women working full-time year-round in the District of Columbia faced the largest total earnings gap across all workers, making $59,000 less than White men.
- Black women were paid less than White men across all education levels and in leadership and professional positions. Among full-time year-round workers, Black women with bachelor’s degrees earned 62.7 percent of what White men made, and for Black women with master’s degrees or professional degrees, they earned 64.4 percent and 59.0 percent, respectively.
- Black women face intersectional discrimination based on the unique compounding inequities of racism and sexism in the labor force, resulting in unequal treatment, workplace bias, systemic hiring biases, and limited advancement mobility, and they are disproportionately concentrated in low-wage jobs—all of which contribute to their wage gap.
- Achieving pay equity and economic security for Black women requires comprehensive policy solutions that address wage disparities, workplace discrimination, and limited access to higher-paying jobs. These include policies to enforce pay equity laws, improve wages and benefits in undervalued sectors, expand access to paid leave, and invest in affordable child and elder care to support Black women’s full participation in the workforce.
Introduction
In 2023, Black women earned just 64.4 cents1 for every dollar made by White2 men when looking at all workers with earnings. This pay inequity isn’t new, and at the current rate—and without any significant policy changes—it could take over 200 years to close this gap.3 Even among full-time year-round workers, Black women were paid only 66.5 cents4 for every dollar paid to White men.
Black Women’s Equal Pay Day—observed this year on July 10—marks how far into the next year Black women must work to earn what White men earned in the previous one. But this isn’t just a date: It’s a marker of lost opportunity, time, and wealth. At the median, even with the same full-time year-round schedule, Black women face a 33.5 percent pay penalty.
This pay gap is not confined to a single state or occupation. Whether in high-wage states or strong economies, Black women are consistently underpaid compared to their White male counterparts—often while doing the exact same work,5 working the same schedules, and having the same level of education. And these disparities are especially stark in leadership roles. Black women in the United States continue to experience a steady increase in successfully earning college degrees6 while simultaneously experiencing a decline in advancement to workplace leadership roles.7 However, Black women who rise to executive, professional, and leadership positions often do so without equal pay or resources. This dynamic reflects a broader pattern of undervaluing Black women’s labor, insights, and impact, especially in high-level positions.
The cumulative impact of this wage gap is significant. Over the course of a 40-year career, a typical Black woman working full-time year-round stands to lose over $1 million in earnings.8 That’s $1 million less for buying a home, saving for retirement, investing in education, and building intergenerational wealth. And for Black women who are mothers, that’s $1 million less for child care and their children’s education, needs, and well-being.
Closing the pay gap requires more than awareness—it requires accountability and bold policy action. That includes raising the minimum wage, improving work benefits, strengthening antidiscrimination protections, enforcing pay transparency, promoting salary history bans, expanding paid leave, and investing in affordable child and elder care—all of which help level the playing field, especially for Black women and other women of color.
Black Women Earn Less than White Men in Every State Across All Workers with Earnings
In every single state and the District of Columbia, Black women’s median annual earnings (the typical wage for a worker) lagged behind those of White men, whether they worked full-time year-round, part-time, or part of the year (Table 1 and Map 1).
- Idaho has the lowest median annual earnings ratio between Black women and White men among all workers with earnings, with Black women earning $17,000 at the median annually, while White men made $47,000, an earnings ratio of just 36.2 percent. The Black population in Idaho is also very small—just 1 percent—which can allow structural inequities and labor market discrimination to remain unchecked.9
- In four additional states, Black women earned less than half of what White men were paid: Utah (44.4 percent), the District of Columbia and Louisiana (45.5 percent each), and Iowa (48.6 percent).
- In Alaska, where the median annual earnings ratio was the highest of all the states, Black women earned 77.5 percent of what White men earned.
- In the District of Columbia, which had the highest median annual earnings nationwide, Black women had a median salary of $50,145 while White men were paid $110,299—a difference of $60,154 per year. This marks the largest absolute earnings gap in any state for all workers. The District of Columbia has a large Black population, so the earnings disparity between Black women and White men impacts a significant number of women.10
Black Women Working Full-Time Year-Round Earn Less than White Men in Every State
Black women working full-time year-round were paid less than White men in every state with available data and in the District of Columbia, highlighting a persistent and widespread wage gap (Table 2 and Map 2). These lower earnings are not the result of working fewer hours or part-year—they exist despite Black women being employed full-time throughout the year.
- Utah, Louisiana, and the District of Columbia have the worst median annual earnings ratios between Black women and White men working full-time year-round at 50.9 percent, 51.8 percent, and 52.8 percent, respectively.
- Hawaii has the highest median annual earnings ratio among all states, with Black women working full-time year-round earning 70.0 percent of what White men made.
- The largest absolute gap in earnings for full-time year-round workers is in the District of Columbia, where Black women earned $59,000 less than White men at the median annually.
Differences in Labor Force Participation Point to Deeper Structural Barriers
Nationally, 63.0 percent of Black women with earnings worked full-time year-round compared to 71.2 percent of White men (Table 3). This occurs despite Black women historically having higher labor force participation rates than other groups of women, including White women.11 While participation rates vary across states, Black women had lower rates of full-time year-round employment than White men in every state except Alaska, where 67.2 percent of Black women work full-time year-round, slightly outpacing White men (66.6 percent). North Dakota has the largest gap, with 39.1 percent of Black women working full-time year-round, compared to 70.7 percent of White men, or a difference of 31.6 percentage points.
These persistent differences in labor force participation point to deeper structural barriers in educational attainment, occupational segregation, and workplace discrimination that hinder Black women’s access to stable, well-paying jobs. Over time, these barriers compound, shaping disparities in earnings between Black women and White men, as well as in retirement savings and long-term economic security. For many Black women, who are often the breadwinners for their families,12 these inequities are not just personal. The pressure to “do more with less” affects their children, households, and communities, and ultimately limits opportunities for building lasting economic stability, upward mobility, and generational wealth.
The Wage Gap Persists Across Education, Leadership, and Professional Roles
Higher education and professional advancement are often seen as pathways to economic security. Over approximately the last decade, the percent of young Black women earning a college degree has increased by 24.0 percent,13 but for Black women, even earning degrees doesn’t guarantee equal pay. The wage gap persists, not because of differences in education or ambition, but because of systemic racism and sexism embedded in the labor market.
Among full-time year-round workers with a bachelor’s degree,14 Black women earned a median annual income of $58,310—just 62.7 percent of what White men made ($93,000). The gap remains wide even at higher levels of education. Black women with master’s degrees earned $70,793, compared to $110,000 for White men in this group—a gender earnings ratio of 64.4 percent (Table 4). The disparity is even greater for those with professional degrees: Black women with post-graduate degrees earned $93,000, compared to $157,570 for White men at the same level of educational attainment—a gender earnings ratio of 59.0 percent.
The pattern is similar among all workers with earnings: Black women are consistently paid less than White men, even at higher levels of education.15 At the median, Black women with a bachelor’s degree earned just 61.3 percent of what White men made annually. Those with a master’s degree earned 65.3 percent, and those with a professional degree earned only 60.9 percent (Table 5).
For Black women, educational attainment does not guarantee career advancement, and career advancement does not guarantee pay equity. While more Black women are achieving college degrees than ever before, in 2024, Black women’s promotion rates were lower than in 2022 and 2021.16
Even in leadership and other professional positions, Black women face unequal pay. Despite their qualifications and the critical roles they play in shaping workplaces, policies, and institutions, Black women continue to be underpaid and undervalued. Among full-time year-round workers in managerial and professional positions, Black women earned a median annual income of $60,000, compared to $95,000 earned by White men—an earnings ratio of 63.2 percent.17 Many also take on additional unpaid labor, such as guiding diversity, equity, and inclusivity efforts, which, while essential, often go unrecognized and uncompensated.18 This adds to the emotional toll Black women leaders face when their contributions are minimized, their challenges dismissed, and their experiences overlooked. These persistent disparities reflect deep-rooted structural barriers that Black women face throughout their careers and reinforce the need for policies that promote racial and gender pay equity.
Understanding the Factors Behind Black Women’s Wage Gap Intersectional Discrimination in the Labor Market
Intersectional Discrimination in the Labor Market
Black women face intersectional discrimination based on both their race and gender—widely referred to as “double jeopardy.”19 As a result of being Black and being a woman, they encounter unique compounding inequities of racism and sexism in the labor market. Black women are more likely than men of color, White women, and White men to experience workplace harassment.20 Research shows that Black women with primarily White coworkers are more likely to be rated as low performers, bill fewer hours, and report more training hours compared to their counterparts.21 They are also often held to higher job performance standards than their coworkers,22 and harmful stereotypes—such as being labeled as angry—continue to shape workplace perceptions.23 These biases create significant obstacles that prevent Black women from advancing and thriving in the workplace.
Occupational Segregation
Black women are underrepresented in leadership and professional roles and are overrepresented in low-wage service sector jobs, such as personal care aides and home-based child care providers—roles that typically offer low pay, unpredictable hours, limited benefits, and little to no flexibility, such as the ability to work remotely or adjust schedules.24 These conditions undermine job stability and can limit opportunities for career advancement.
Such structural barriers are especially challenging for workers who are also raising children. With the median annual cost of child care exceeding $13,000 for one child,25 the annual cost of care for two children consumes almost 80 percent of Black women’s median annual earnings.26 And, as previously discussed, even when Black women hold higher-paying management or professional positions, they continue to earn substantially less than White men, further widening the racial and gender wage gaps.
Bias in Hiring Practices
As discussed earlier, Black women with bachelor’s degrees earn just 62.7 percent of what their White male counterparts are paid (Table 4). One key contributor to this inequity is racial discrimination in the hiring process. Recent research shows Black women are significantly less likely to be hired into entry-level roles than their White male counterparts,27 and that job applicants with names perceived as “White” sounding are significantly more likely to receive a callback for an interview than those with names perceived as “Black” sounding.28
This disparity is one example of the persistent bias explaining why Black women are less likely to be hired, less likely to be promoted, and ultimately, less likely to reach pay equity.29 Even when Black women aspire to and are qualified for higher-paying positions, they face systemic barriers such as the cost of education and the lack of racial representation in the workplace overall.30 These obstacles block their full participation and advancement in the labor market.
Racist Economic Exploitation
Black women’s lower wages are rooted in what the Economic Policy Institute describes as the Southern economic development model, which has historically relied on maintaining access to cheap Black labor and continues to shape Black women’s experiences in the economy.31 This model emerged from Southern elites’ efforts to preserve the exploitative economic structure that enriched them under slavery. It keeps wages low—especially in the South, where many states still use the $7.25 federal minimum wage—and limits access to benefits like unemployment insurance. Anti-union laws further weaken workers’ ability to demand better pay and protections. As a result, Black women in these states are disproportionately trapped in low-wage jobs with little support, reinforcing racial and gender wage gaps.
Focused Policies to Achieve Pay Equity and Economic Security for Black Women
To achieve pay equity and economic security for Black women, comprehensive policies are essential. Black women face wage gaps in every state, with a complex mix of gender and racial factors contributing to their lower earnings. Addressing these disparities requires actions that not only focus on pay equity but also ensure that Black women have the economic security and opportunities to thrive in the workforce.
Ensure and Enforce Pay Equity and Protections Against Discrimination and Harassment
Many Black women are overrepresented in lower-wage, undervalued sectors, such as care and service jobs, that often lack job security, benefits, and fair compensation.32 Policymakers must invest in these industries by raising the minimum wage indexed to inflation and improving benefits, including supporting the right of workers to act collectively and join or form a union.At the same time, they should expand pathways for Black women to enter higher-paying, often male-dominated fields and advance into management positions, ensuring access to well-compensated jobs. Further, strengthening legal protections against discrimination and harassment is essential for Black women. Policymakers should support expanding laws that would enhance accountability, increase resources for workers seeking justice, and address the unique challenges Black women face in the workforce, which may be exacerbated by federal actions that are rolling back regulations that support diversity, equity, and inclusion.33
Promote Salary History Bans and Enforce Salary Transparency
Pay discrimination is more likely when there is a lack of transparency. Enforcing salary transparency can provide workers with an important tool to ensure they’re being paid fairly and help job candidates negotiate better pay. Furthermore, salary history bans can also contribute to closing the gender and racial wage gaps. State policymakers should require employers to disclose salary ranges, hourly rates, bonus structures, and benefits for all job postings and promotions and should prohibit all employers and hiring agencies from asking about an applicant’s prior compensation.
Improve Access to Paid Leave
Access to paid family leave and sick days is critical for Black women, many of whom balance caregiving with the responsibilities of being the primary breadwinners of their families.34 A national paid leave program should guarantee a minimum of 12 weeks of paid time off, provide wage replacement for all workers, and protect workers from retaliation for taking leave.
Ensure Access to Affordable and Quality Child and Elder Care
Policymakers should increase investments in the care economy to create a system where child and elder care are accessible and affordable for everyone and promote policies that support the care workforce. These policies would allow Black women to better participate in the workforce without sacrificing their caregiving responsibilities.
To learn more about IWPR’s federal policy recommendations, read our briefs on Equal Pay, Better Workplaces, Paid Leave, and Promoting Access to Care. For additional information on state policy solutions, visit statepolicyactionlab.org/.
This fact sheet was prepared by Dr. Melissa Holly Mahoney, Dr. Robyn Watson Ellerbe, Cristy Mendoza, and Miranda Peterson, with data analysis conducted by Dr. Mrinmoyee Chatterjee. Thank you to our key funders for their generous support of IWPR’s core research and flagship products.