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AAUW
shares every American’s concern that household income fell sharply and poverty
rates rose in 2008 as the severe effects of the recession took their toll on
Americans' finances as reported by the Census Bureau on Thursday.
Among the key
findings of the report, median household income dropped 3.6% to $50,303 in
2008. That was the sharpest drop since at least 1967 and sent income to its
lowest point since 1997.
The portion
of Americans living in poverty rose to 13.2% in 2008 from 12.5% in 2007. That's
the highest poverty rate since 1997. Poverty rates closely track declines in
income, said David Johnson, chief of the Census Bureau's economic statistics
branch.
And women who
worked full-time earned 77% of what men made in 2008, statistically unchanged
from a year earlier. However, the median income of women declined 1.9% in 2008,
slightly more than the 1% decline in incomes for men working full time.
Lisa Maatz, AAUW's top policy adviser, responded by saying,
"The government's new report on income, poverty, and health insurance
coverage shows that the wage gap between men and women working full time
remains stubbornly in place. In 2007, the average woman made almost 78 cents
for each dollar earned by her male counterpart. According to newly released
2008 figures, that number now stands at just over 77 cents for each dollar
earned by a man. Given the tough economic times, some might say that women
should be satisfied that the gap didn't widen. However, given that the wage gap
has been stagnant over the past decade - in good times and bad - AAUW sees this
as a time for action.”
Maatz points out that it is critical that we make
real progress on closing the wage gap. Wage discrimination hurts whole
families, not just women. This is not a time for employers to fall back on the
stereotypes of men as the primary breadwinners, and tough economic times are
not sufficient excuse to ignore civil rights laws.
According to
the U.S. Census Bureau, about a fifth of families with children are headed by
single working moms, and nearly half of all families with children depend on
two paychecks. Clearly a majority of working families have a stake in equal pay
for equal work. These are real women, working everyday to make ends meet. They
are not asking for special treatment; they are asking for simple justice.
AAUW remains
committed to passage of the Paycheck Fairness Act (S. 182/H.R. 12), a
much-needed update to the Equal Pay Act of 1963. The Paycheck Fairness Act will
help create a climate in which pay discrimination is not tolerated. The House
has already passed the measure, but the Senate needs to take up the mantle. Maatz says, “It's time we strengthened the Equal Pay Act so
that it can finally live up to its name."
In addition,
the new Census report paints a mixed picture of how Americans have fared with
health insurance coverage during the recession. The percentage of people
without health coverage was unchanged last year at 15.4%, although the number
increased to 46.3 million from 45.7 million in 2007. How
people got health insurance, however, shifted significantly during the year as
the burden fell increasingly on government.
The number of Americans covered by private health insurance declined by
1 million in 2008. But that loss was more than offset by a 4.4
million increase in the number of people getting health insurance from
government programs such as Medicare for the elderly and Medicaid for the poor.
AAUW believes
that health care is a basic right, and that women in the United States
are in particular need of health reform legislation. Specifically, AAUW
believes that any health reform legislation must include the following three
tenets: an end to the practice of gender rating; coverage of reproductive
health services; and access to and coverage of preventive services and care.
Overall, the
Census report showed the recession has taken a big bite out of the financial
health of American households, softened somewhat by the safety net of
government programs. The income and poverty numbers are the first to reflect
the effect of the recession, which began in December 2007 and has erased 6.9
million jobs.
For more information about AAUW locally, contact President Lisa Wilson
at 353-2513 or
e-mail
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or Program vice president Sue Bellor at 769-6146 or e-mail
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.
AAUW, with its
nationwide network of more than 100,000 members, more than 1,000 branches
conducting programs in communities across the country, and 500 college and
university partners, has been a leading advocate for equity and education for
women and girls since 1881.
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