This document discusses income inequality faced by minority communities in California, including Asian Americans. It provides support for SB 1063, which aims to address wage discrimination based on race or ethnicity. Key points made include that while Asian Americans have the highest median income nationally, statistics differ greatly within the ethnic group. For example, Hmong Americans have much lower incomes and higher poverty rates than other groups. The bill would help mitigate negative long-term impacts of income inequality such as increased poverty, health issues, and economic consequences.

1. TAIWANESE AMERICAN CITIZENS LEAGUE
www.tacl.org | www.facebook.com/tacl.org
The mission of TACL is to enhance the quality of life for Taiwanese Americans. Our work is largely
devoted to Leadership, Identity, Networking, and Citizenship (LINC).
CONTACT US
Gavin Greene | gavin.greene@tacl.org
William Liao | william.liao@tacl.org
Jeshow Yang | jeshowy@tacl.org
Along with concerns about economic stagnation, the debate over income equality has been pushed to the forefront of media
outlets. Income inequality is an issue that disproportionately affects minority communities, including those of Asian and
Pacific Islander American (APIA) families. Although as an aggregated demographic, the APIA community has the highest
median income in the U.S., APIA households also have a higher poverty rate than white households. Furthermore, data has
shown that APIA with Bachelor’s Degrees have lower employment rates than White Americans with a Bachelor’s Degree.
While the California Fair Pay Act takes a step in the right direction by addressing the gender wage gap, SB 1063 seeks to
strengthen and enhance the spirit of the Fair Pay Act by addressing income inequality among California’s diverse ethnic and
racial minority communities.
● Minority communities tend to receive less social security benefits, so sustained income inequality is predicted to
contribute to an increased level of poverty among the future population of elderly minorities.
● Greater income inequality leads to a decline in quality of health and an increase in premature mortality rates.
● Despite a higher median income for APIA households compared to white households, APIA have lower income and higher
poverty rates because of the intra-group differences.
● In certain industries, Asian Americans still make less than their white counterparts.
● APIA women suffer a large income gap compared to white women.
Long-term effects
 Among seniors in L.A. County, Asian Americans are least
likely of all racial groups to have a retirement income
(16%), access to Social Security (66%), lowest median
Social Security income ($9,736).
 Asian Americans rely on Supplemental Security Income at
a higher rate than all other racial groups (19%).i
Effects on health
 The U.S. Panel Study of Income Dynamics found that the
group of people with annual incomes below $15,000 had
a premature mortality rate 3.9 times higher than the
group in the high-income level, who earned more than
$70,000 (Marmot, 2002).ii
Effects on the economy
 California is home to 19% of the nation’s minority
population. If the minority wage gap were to be
eliminated, it would mean that in 2012, the GDP would
have increased by $353 billion.iii
Income Disparities for API
 Asian American women make 90 cents per 1 dollar a white
male makes. African American women make 63 cents, and
Hispanic/Latina women make 54 cents for every dollar that
a white male earns.iv
 AAPI family wealth is 68 cents to 1 dollar for white
families.
 Based on industry, Asian Americans would still make less
than their white counterparts. In tech, Asians make $8,146
less than whites.v
In media, Asians with a high school
diploma make about $11,000 less than whites with a high
school diploma.vi
 When disaggregating Asian American income and poverty
rates, ethnicities such as the Hmong make much less and
have a higher poverty rate. Hmong per capita make
$12,407 vs $28,184 in the overall U.S. population. Poverty
rate was 25% vs 11%.vii,viii
SB1063: NEED FOR FAIR AND EQUAL
WAGES IN RACE AND ETHNICITY

2. TAIWANESE AMERICAN CITIZENS LEAGUE
www.tacl.org | www.facebook.com/tacl.org
The mission of TACL is to enhance the quality of life for Taiwanese Americans. Our work is largely
devoted to Leadership, Identity, Networking, and Citizenship (LINC).
CONTACT US
Gavin Greene | gavin.greene@tacl.org
William Liao | william.liao@tacl.org
Jeshow Yang | jeshowy@tacl.org
SB-1063 (Hall) “Conditions of employment: wage differential: race or ethnicity” will:
● Expand Sections 1197.5 and 1199.5 of the Labor Code to include prohibiting wage discrimination on the basis of race or
ethnicity.
● Address the large segments of California’s minority population that are facing issues of income inequality, including Asian
Americans, by mandating fair and equitable wages.
● Form a state-mandated local program that will investigate instances of reported discrimination.
● Allow California to be a shining beacon to the rest of the nation on mitigating the negative effects of income inequality.
We urge Members of the California State Legislature to support SB-1063 on behalf of minority
communities in the state that are impacted by income inequality.
i
A Community of Contrasts: Asian Americans 50 and Older, 2016. Asian Americans Advancing Justice Los Angeles. (http://www.advancingjustice-
la.org/sites/default/files/pictures/coc-older-adults-LA-2016.pdf)
ii
Marmot, M. (2002). The influence of income on health: views of an epidemiologist. Health Affairs Vol. 21, 2, p31-46
iii
Roehrig, C. (2013). Economic Impact of Closing Minority Income Gap. Altarum Institute.
iv The Simple Truth about the Gender Pay Gap, 2016. American Association of University Women. (http://www.aauw.org/research/the-simple-truth-about-
the-gender-pay-gap/)
v
High-tech pay gap: Minorities earn less in skilled jobs, 2014. USA Today. (http://www.usatoday.com/story/tech/2014/10/09/high-tech-pay-gap-
hispanics-asians-african-americans/16606121/)
vi
A closer look at Asian-American income, 2012. Economic Policy Institute. (http://www.epi.org/blog/asian-american-income/)
vii
Demographics and Socioeconomic profiles of Asian Americans, Native Hawaiians, and Pacific Islanders in the United States, 2011. Asian And
Pacific Islander American Health Forum.
viii
The State of the Hmong American Community 2013. Hmong National Development, Inc.