Prosperity Now Statement on Hispanic Heritage Month

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For Immediate Release 

Contact: 
Jennifer Baskerville 
[email protected]

WASHINGTON (Sept. 15, 2023) - The following is a statement by Cherie Collins Sims, PhD, Interim President and CEO of Prosperity Now:

"During Hispanic Heritage Month, Prosperity Now joins with others around the nation to celebrate the countless social and economic contributions of the more than 60 million members of the Hispanic community nationwide. At the same time we recognize their many achievements, we also call for action to close the opportunity gap that is preventing Latines from fully reaping the economic rewards they have earned.

"Latines1, who comprise the largest ethnic group in the nation, after White Americans, accounted for 73 percent of the growth in the U.S. labor force between 2010 and 2020. Latine new business creation is also higher than any other group. And if Latines were a stand-alone country, they would represent the 5th largest GDP in the world, larger than India, Russia and Canada at $2.8 trillion in 2020.

"Despite this outstanding record of accomplishment, Latine Americans face significant economic obstacles due to disparity and racial inequality-with Afro and Indigenous Latines bearing the brunt of intersectional systemic racism and economic oppression. Notably,:

• The racial wealth gap continues to impact Latine families with White households holding six times more wealth than Latine households. 

• Nearly 35 percent of Latines in the United States lived in a household that experienced financial hardship in 2020. Among this group, those of Dominican and Salvadoran origin experienced the greatest hardship paying for daily living expenses, such as for food, routine bills, and housing.  

• Latines lived in households with a median net worth of $52,190 in 2020 - substantially lower than the $195,600 median household net worth of non-Latines.  

• Latinas working full time are paid approximately $0.58 for every dollar earned by white, non-Hispanic men. 

• Latines continue to face barriers to homeownership - a key driver of wealth - with a homeownership rate of 50.6% as of 2021 compared to white homeownership rate of 73%. 

"Other hurdles that block Latines include the fact they are 60% less likely to get a bank loan from major banks; their share of venture capital is about 2%, even though 19% of all Latine-owned businesses are in in the technology industry; and government contracts awarded to Latines are 31 times smaller than those white business owners receive.

"These disparities call out for action that will close the wealth and opportunity gap and ensure we have an economy that works for everyone. Prosperity Now believes we can achieve that by:

• Supporting entrepreneurship development organizations that serve Latinos and other BIPOC entrepreneurs as multipliers for building family and community wealth. 

• Exploring how Latine and other entrepreneurs of color might create more quality jobs for communities of color- jobs that generate fair wages, offer health insurance and paid leave. 

• Developing and advocating for policies and programs that work to explicitly dismantle the racial wealth gap and systemic racism, promote economic stability and build long-term wealth, change narratives around deservedness, and fight bias, with focused attention on how that plays out for Latine communities. 

• Promoting intergenerational approaches to addressing economic disparities.
  

"Prosperity Now envisions an economy that is just, fair, and free from structural racism. One where every person, family, and community has the power to build sustainable wealth and prosperity. So, as we celebrate Hispanic Heritage Month, let us use this time to amplify the voices of those who have been marginalized, to acknowledge the challenges they face, and to commit ourselves to creating a more equitable and just society for all Americans." 

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About Prosperity Now 

Since 1979, Prosperity Now (formerly CFED) has been a persistent voice championing economic opportunity, innovating outside of and beyond existing systems to build power for all communities. We advance racial and ethnic economic justice by investing in bold new ideas, and we work deeply at both the grassroots and national level to impact the entire ecosystem. By setting goals for our economy and following through with targeted approaches based on need, we are equipped to drive forward and cement big structural solutions. Learn more at www.prosperitynow.org. 

Note: Language is constantly evolving. Reflecting the fluidity of labels used within the Latino community, the following terms are used across the article, often interchangeably: Hispanic, Latino/a, and Latines.