Census Bureau Data Underscores Gender, Racial Disparities; Policy Decisions in 2025 Will Worsen Conditions for All
Washington, D.C., September 9, 2025—Today’s release of the U.S. Census Bureau’s national Income, Poverty, and Health Insurance data for 2024 shows that while the overall economy is strong, the nation has much more to do to reduce poverty, especially among women and Black Americans.
For the most part, the poverty rate remained largely unchanged from 2023 to 2024. But the poverty rate among Black Americans increased from 17.9 percent in 2023 to 18.4 percent in 2024. And while overall child poverty rates dropped very slightly from 2023, the number of Black children living in poverty increased from 20.3 percent in 2023 to 22.7 percent in 2024, according to the Supplemental Poverty Measure. This measure looks at not simply earnings, but the resources people have after factoring in work and medical expenses, taxes, as well as tax credits and non-cash benefits.
For the second year in a row, women faced a large earnings gap. The median earnings for women in 2024 were $45,380, while the median earnings for men were $60,020. This gap is greater than in 2023, when median earnings for women were $43,200 and $57,740 for men.
“These numbers are not surprising,” said Wendy Chun-Hoon, president and executive director of CLASP. “The wage gap between men and women has existed for decades, as has the disparity in Black poverty rates compared to the rest of the country. While the nation has made incremental improvements, the reasons for these disparities are systemic, and we must do more to disrupt them. There’s no silver bullet to remedy these inequalities; rather, we need sustained investments to close the gender-racial wage gap—higher wages, more equal access to quality jobs, affordable family care, equitable tax policy, and paid leave. We should solve for people’s basic needs, not eviscerate our social safety net.”
Signs already point to a weakening economy in 2025. For instance, the August 2025 Bureau of Labor Statistics (BLS) jobs report showed an addition of only 22,000 jobs last month, well below economists’ expectations, and unemployment at a four-year high of 4.3 percent.
Black families are the last to do well, even when the economy is growing. The most recent BLS report made that clear, showing the unemployment rate for white men was 3.7 percent, but was 7.1 percent for Black men. The report also showed the unemployment rate for Black women was 6.7 percent, compared to 3.2 percent for white women.
The gender wage gap persists for a variety of reasons, notably that women are still concentrated in some of the lowest-paid jobs, the price of child care remains out of reach for families, and employers are implementing return-to-office policies. The real-world effects of inflexible work policies and unaffordable care are already being felt: the share of working mothers ages 25-44 in the labor market has fallen every month in 2025 and dropped three percentage points between January and June. This is the lowest level of labor force participation from women with children in more than three years.
Increased poverty in 2025 is all but assured due to the severe restructuring of programs that support basic needs in July’s reconciliation bill and the Trump Administration’s executive actions aimed at people with low incomes, immigrant families, women, people of color, and other historically marginalized communities. Congress, with the administration’s approval, has consistently chosen to exclude many families with low incomes and immigrants from the Child Tax Credit, cut Medicaid and SNAP, increase immigration enforcement, and boost tax breaks for the ultra-rich.
“The president promised to lower costs. He and this Congress have clearly broken that promise for so many, making it more expensive for families to afford not just gas and milk but other family basics like housing, health care, and child care. This is not just a broken promise. It’s a breach of contract to the American people,” said Chun-Hoon.
Poverty is not inevitable. It’s the direct result of policy decisions. We know how to reduce it, and now it’s time for policymakers to choose dignity for all and invest in our communities.