“The Big Resignation” Brings Salary Gains

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Additionally, there is striking new research on the Indigenous wealth gap.

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Real wage gains for workers who changed jobs

A new report from the Pew Research Center of American workers who changed employers between April 2021 and March 2022 revealed that 60% of workers who changed jobs saw their real earnings increase, compared to earnings in the same month a year earlier . On average, they saw their income jump 9.7% over the previous year, taking into account inflation. For workers who remained with the same employer, only 47% saw their earnings increase; the typical worker who remained in the same job saw his real wage fall by 1.7%.

About 2.5% of American workers changed jobs on average each month from January to March 2022, Pew found, and about 22% say they are very or somewhat likely to look for a new job in the next six months. But data from the US Department of Labor suggests that demand for workers and workers’ bargaining power could decline, according to CNBC.

Native CDFI data suggests a 32 to 1 White to Native wealth ratio

A new analysis of the net worth of more than 200 Native Americans – clients of a Native community development financial institution in South Dakota – offers a rare window into the wealth disparities between white and Native American households.

Researchers found that the median net worth of Indigenous clients of the Four Bands Community Fund was approximately $5,524, including a “unique mix” of debt and assets. This is well below the median net worth of $20,730 for black households and considerably less than the median net worth of $181,440 for white households. This makes a net worth ratio between Whites and Natives of about 32 to 1.

The report notes that these wealth disparities are due to economic marginalization, declining incomes, diminishing job opportunities, limited access to conventional mortgages and rising interest rates.

But this “financial genocide” as described by the tribal chairman of the Skull Valley Band of Goshute Indians in Utah, is also intensified by predatory practices. The tribe is now boycotting the US bank, according to Prism, two years after suing the US bank for allegedly failing to pay the tribe more than $50 million in investment profits. The tribe had sought private investment in their drive for economic sovereignty in the face of continued economic marginalization.

The solution to poverty is… Have rich friends?

A A new study in Nature analyzing 21 billion Facebook friendships has found that engagement between rich and poor is strongly linked to upward income mobility, far more so than other factors such as school quality. , the family structure or the racial makeup of a community.

“Growing up in a connected community across grades improves children’s outcomes and gives them a better chance of lifting themselves out of poverty,” said economist Raj Chetty, lead author of the study. told the New York Times. Children from low-income families who grew up in neighborhoods where 70% of their friends were wealthy later saw incomes on average 20% higher.

The study is an urgent reminder of the need to cancel racial and economic segregation, and highlights the role of shared community spaces, including parks, libraries and trails, in the culture of economic connectivity. It also highlights the importance of community projects that bridge the class divide – like the Chicago Folded Map Project, which connected local “map twins,” Chicagoans whose homes were at matching addresses the wealthier north side of the city and its disinvested south side.

The analysis did not directly measure the role race plays in these relationships and income mobility, which could be a real confounding variable. But the researchers point to data that suggests people living in racially segregated areas see fewer class connections as a possible explanation for their lack of upward mobility. (See a non-technical summary of the research here.)

Aysha Khan is an editor at Next City.

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