SACRAMENTO, Calif. — New statewide data show that significant pay disparities persist across gender and racial lines in California, particularly among large private-sector employers, according to a report released by the California Civil Rights Department.
In its press release, “New Data Shows Ongoing Gender and Race Pay Divide Among Large Private Sector Employers,” the California Civil Rights Department reports that newly released 2024 data shows that pay disparities across the state continue to fall along gender and racial lines. This is particularly apparent among large private-sector employers, the CRD adds.
According to the CRD, the dataset reflects nearly 8 million workers from businesses with at least 100 employees, indicating that women and people of color are still more likely to be concentrated in lower-paying roles. The CRD shares that these patterns persist even though California maintains some of the strongest equal pay laws in the nation.
California First Partner Jennifer Siebel Newsom framed the issue as both economic and cultural, stating, “Women are the backbone of their communities and our economy — it’s time we treat them like it.” She added that the wage gap continues to signal that women’s work is undervalued, as she pointed to the state’s reporting system as a tool to help close that divide, the CRD reports.
Other state officials echoed the need for continued enforcement. Business, Consumer Services and Housing Secretary Tomiquia Moss stated, “California continues to fight for equal pay,” noting that the state is working both through legal channels and directly with employers. “We all benefit when people are paid fairly,” she said.
CRD Director Kevin Kish also emphasized, “Equal pay for equal work shouldn’t be controversial.” He cautioned that recent challenges to workplace equity could undermine past progress, although California will continue to use its laws to identify and address pay disparities.
The report is part of California’s pay data reporting program, which was created following the passage of Senate Bill 973 in 2020. According to the CRD, the program is intended to help employers evaluate their own pay practices while giving the state clearer insight into patterns of wage inequality.
The CRD acknowledges that wage gaps still result in billions of dollars in lost earnings each year across California, despite progress in some areas. The state aims to better understand where disparities are most pronounced and how they can be addressed by collecting and analyzing this data.
The CRD relays findings showing that gaps appear across multiple levels of employment. It is reported that men continue to make up the majority of senior managers and executives at 63%, whereas women account for 37%. It is noted that women’s representation in those roles has increased slightly since 2020.
The CRD reveals that women were more heavily represented at the lower end of the pay scale. Despite accounting for less than half of workers overall, women made up a majority of those earning $32,239 or less. The data also showed that fewer than 10% of nonbinary workers were among the highest earners.
Racial disparities reportedly followed a similar pattern, as White workers held a disproportionate share of top positions. They make up 58% of senior managers and executives despite representing less than a third of workers in the dataset. Simultaneously, Latino workers were more likely to be concentrated in lower-paying labor roles, as they accounted for 72% of laborers.
As stated by the CRD, the likelihood of reaching the highest pay bracket also varied significantly by race. Evidently, only a small share of Latino, Black and Native American workers were in the top earnings range, compared to a much larger portion of White and Asian workers.
The department notes that the data do not include self-employed individuals, public-sector employees or workers at smaller businesses. Thus, the data reflect only a portion of California’s overall workforce, the CRD emphasizes.
Alongside the release of the data, the CRD highlighted its ongoing enforcement efforts. Recently, there has been a settlement with Whole Foods over pregnancy accommodations, a $15 million settlement with Snapchat related to discrimination and equal pay violations, and a settlement with Cambrian Homecare over failures to comply with reporting requirements.
The department states that it continues to investigate claims of workplace discrimination and encourages individuals to seek assistance if they believe their rights have been violated.
Overall, the CRD stresses that the data make clear that pay inequities remain widespread even though California has made progress. The state aims to push employers toward more equitable outcomes in the workplace by continuing to track and enforce pay practices.
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