Presentation: The Changing Demographics of America’s Working Class

The Changing Demographics of America’s Working Class

Washington, D.C.
December 11, 2015

Dr. Valerie Wilson
Economic Policy Institute

Working class becomes majority-minority in 2032: Projected racial/ethnic composition of 18- to 64-year-olds in the labor force with less than a bachelor's degree, 2013–2032

White, non-Hispanic Hispanic Black Asian
2013 62.6% 19.8% 14.2% 3.4%
2014 61.9% 20.4% 14.3% 3.4%
2015 61.2% 21.0% 14.3% 3.5%
2016 60.5% 21.6% 14.4% 3.5%
2017 59.8% 22.2% 14.4% 3.6%
2018 59.1% 22.8% 14.5% 3.6%
2019 58.3% 23.5% 14.5% 3.7%
2020 57.6% 24.1% 14.5% 3.7%
2021 56.9% 24.8% 14.6% 3.8%
2022 56.1% 25.4% 14.6% 3.8%
2023 55.4% 26.0% 14.7% 3.9%
2024 54.7% 26.7% 14.7% 3.9%
2025 54.0% 27.3% 14.7% 4.0%
2026 53.3% 27.9% 14.7% 4.0%
2027 52.7% 28.6% 14.7% 4.0%
2028 52.0% 29.2% 14.8% 4.1%
2029 51.4% 29.8% 14.8% 4.1%
2030 50.8% 30.4% 14.8% 4.1%
2031 50.2% 30.9% 14.8% 4.1%
2032 49.6% 31.5% 14.8% 4.1%
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Note: Line represents demographic transition from the majority (50 percent or more), for white, non-Hispanic, working class.

Source: EPI analysis of educational attainment trends from 1993-2013 Current Population Survey Annual Social and Economic Supplement and Bureau of Labor Statistics' long-term labor force projections for 2005–2050

Hispanics and men will drive increase in the browning of the working class: Projected percentage-point change in share of 18- to 64-year-old working class with given racial/ethnicity characteristic, by gender, 2013–2032

Male Female
  White, non-Hispanic -5.1% -7.9%
  Hispanic 7.2% 4.5%
  Black 0.7% -0.1%
  Asian 0.4% 0.3%
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Note: The working class consists of members of the labor force who have less than a bachelor's degree.

Source: EPI analysis of educational attainment trends from 1993–2013 Current Population Survey Annual Social and Economic Supplement and Bureau of Labor Statistics' long-term labor force projections for 2005–2050

Prime-age working class becomes majority-minority in 2029: Projected racial/ethnic composition of 25- to 54-year-olds in the labor force with less than a bachelor's degree, 2013–2032

 

White, non-Hispanic Hispanic Black Asian
2013 60.3% 21.6% 14.7% 3.4%
2014 59.6% 22.2% 14.8% 3.4%
2015 58.8% 22.8% 14.9% 3.5%
2016 58.0% 23.5% 15.0% 3.5%
2017 57.2% 24.1% 15.1% 3.6%
2018 56.4% 24.8% 15.2% 3.6%
2019 55.6% 25.4% 15.3% 3.7%
2020 54.9% 26.0% 15.4% 3.7%
2021 54.2% 26.6% 15.4% 3.8%
2022 53.6% 27.1% 15.5% 3.8%
2023 53.0% 27.7% 15.5% 3.8%
2024 52.4% 28.2% 15.6% 3.8%
2025 51.8% 28.8% 15.6% 3.8%
2026 51.1% 29.4% 15.6% 3.8%
2027 50.6% 30.0% 15.6% 3.8%
2028 50.1% 30.5% 15.6% 3.8%
2029  49.6% 31.1% 15.6% 3.7%
2030 49.1% 31.6% 15.6% 3.7%
2031 48.6% 32.2% 15.6% 3.7%
2032 48.1% 32.7% 15.6% 3.6%
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The data below can be saved or copied directly into Excel.

Note: Line represents demographic transition from the majority (50 percent or more), for white, non-Hispanic, working class.

Source: EPI analysis of educational attainment trends from 1993-2013 Current Population Survey Annual Social and Economic Supplement and Bureau of Labor Statistics' long-term labor force projections for 2005–2050

Change in projected demographic of working class, ages 25–54, by gender, race and ethnicity, 2013 and projected 2032

Male Female
  White, non-Hispanic -4.4% -7.9%
  Hispanic 7.1% 4.0%
  Black 1.0% -0.1%
  Asian 0.2% 0.0%
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Source: EPI analysis of educational attainment trends from 1993-2013 CPS ASEC and BLS long-term labor force projections for 2005-2050

Older millennial working class becomes majority-minority in 2021: Projected racial/ethnic composition of 25- to 34-year-olds in the labor force with less than a bachelor's degree, 2013–2032

White, non-Hispanic Hispanic Black Asian
2013 56.1% 24.5% 16.5% 2.9%
2014 55.7% 24.9% 16.6% 2.8%
2015 55.1% 25.3% 16.8% 2.8%
2016 54.4% 25.8% 17.0% 2.7%
2017 53.7% 26.5% 17.1% 2.7%
2018 52.8% 27.3% 17.3% 2.7%
2019 51.8% 28.2% 17.4% 2.6%
2020 50.8% 29.2% 17.4% 2.6%
2021 49.9% 30.1% 17.4% 2.6%
2022 49.0% 30.1% 17.4% 2.6%
2023 48.1% 30.1% 17.4% 2.6%
2024 47.2% 30.1% 17.4% 2.6%
2025 46.3% 30.1% 17.4% 2.6%
2026 45.4% 30.1% 17.4% 2.6%
2027 44.5% 30.1% 17.4% 2.6%
2028 43.7% 30.1% 17.4% 2.6%
2029 43.0% 30.1% 17.4% 2.6%
2030 42.3% 30.1% 17.4% 2.6%
2031 41.5% 30.1% 17.4% 2.6%
2032 40.8% 30.1% 17.4% 2.6%
ChartData Download data

The data below can be saved or copied directly into Excel.

Note: Line represents demographic transition from the majority (50 percent or more), for white, non-Hispanic, working class.

Source: EPI analysis of educational attainment trends from 1993-2013 Current Population Survey Annual Social and Economic Supplement and Bureau of Labor Statistics' long-term labor force projections for 2005–2050

Change in projected demographic of working class, ages 25–34, by gender, race and ethnicity, 2013 and projected 2032

Male Female
  White, non-Hispanic -6.7% -8.6%
  Hispanic 10.7% 5.7%
  Black 0.1% -0.4%
  Asian -0.1% -0.7%
ChartData Download data

The data below can be saved or copied directly into Excel.

Source: EPI analysis of educational attainment trends from 1993-2013 CPS ASEC and BLS long-term labor force projections for 2005-2050

All workers’ wages—regardless of gender, race, or ethnicity—have failed to rise in tandem with productivity: Hourly median wage growth by gender, race, and ethnicity, compared with economy-wide productivity growth, 1979–2014

Year White men White women Black men  Black women  Hispanic men  Hispanic women  Productivity
1979 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
1980 -2.1% -0.2% -2.0% -1.9% -3.2% 1.6% -0.8%
1981 -3.8% -1.6% -3.3% 0.0% -5.4% -0.3% 1.4%
1982 -3.9% -0.6% -7.1% -0.8% -6.6% 2.8% -0.1%
1983 -5.1% 0.5% -6.6% -1.2% -8.9% 1.4% 2.9%
1984 -5.5% 1.0% -5.9% -1.2% -7.3% 1.0% 5.6%
1985 -2.6% 1.5% -8.2% 1.4% -7.8% 1.1% 7.3%
1986 -2.4% 5.4% -4.5% 3.0% -7.3% 2.7% 9.5%
1987 -4.1% 7.8% -5.6% 3.0% -8.0% 4.2% 10.1%
1988 -4.5% 8.8% -5.0% 4.0% -9.9% 3.2% 11.4%
1989 -5.3% 9.0% -8.9% 6.0% -13.1% 0.5% 12.3%
1990 -7.0% 8.9% -9.9% 4.8% -17.3% -0.5% 13.9%
1991 -6.6% 9.4% -11.2% 5.3% -18.0% 1.7% 14.8%
1992 -7.2% 10.7% -11.8% 5.8% -17.1% 3.2% 18.9%
1993 -8.0% 12.1% -11.6% 7.0% -18.4% 1.6% 19.3%
1994 -9.0% 12.0% -11.6% 5.2% -19.9% 0.0% 20.5%
1995 -8.8% 11.7% -11.3% 4.5% -20.7% -1.5% 20.5%
1996 -8.5% 13.9% -12.4% 4.5% -21.1% -0.8% 23.4%
1997 -6.3% 14.7% -9.8% 5.6% -19.1% -1.4% 25.2%
1998 -3.2% 17.7% -6.9% 11.2% -15.6% 3.2% 27.7%
1999 -0.8% 21.2% -3.0% 11.4% -13.7% 3.6% 30.7%
2000 -1.1% 21.9% -3.4% 16.1% -12.7% 4.9% 33.8%
2001 0.7% 25.6% -0.5% 15.1% -12.6% 8.9% 35.9%
2002 0.9% 28.4% -0.3% 18.0% -11.6% 8.6% 39.7%
2003 2.6% 29.6% -0.9% 21.4% -11.3% 13.2% 44.2%
2004 1.8% 29.3% 1.0% 22.9% -12.2% 11.6% 48.1%
2005 0.0% 30.0% -4.7% 15.4% -12.6% 9.3% 50.7%
2006 0.0% 30.0% -1.9% 19.6% -9.6% 7.7% 51.6%
2007 1.3% 30.5% -3.0% 18.2% -10.0% 10.6% 52.7%
2008 0.0% 29.6% -3.1% 16.0% -8.9% 12.0% 53.0%
2009 3.6% 31.5% 0.0% 20.8% -8.1% 12.5% 56.1%
2010 1.8% 31.6% -1.9% 20.2% -10.7% 10.3% 60.7%
2011 -1.4% 30.3% -5.5% 16.9% -13.3% 11.7% 60.9%
2012 -2.2% 29.2% -5.9% 14.0% -12.4% 9.6% 61.7%
2013 -3.1% 30.6% -4.9% 15.9% -13.1% 9.1% 61.9%
2014 -3.1% 30.2% -7.2% 12.8% -9.8% 8.6%  62.7%

 

ChartData Download data

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Note: Race/ethnicity categories are mutually exclusive (i.e., white non-Hispanic, black non-Hispanic, and Hispanic any race). This figure includes the entire civilian labor force.

Source: EPI analysis of unpublished Total Economy Productivity data from Bureau of Labor Statistics Labor Productivity and Costs program, and Current Population Survey Outgoing Rotation Group microdata

Working class median hourly wage ratios, all groups relative to white men

White women Black men Black women Hispanic men Hispanic women
1979 63.0% 77.0% 60.0% 75.0% 56.0%
1980 65.0% 78.0% 60.0% 76.0% 57.0%
1981 64.0% 80.0% 62.0% 77.0% 58.0%
1982 67.0% 79.0% 61.0% 76.0% 61.0%
1983 68.0% 82.0% 64.0% 75.0% 59.0%
1984 69.0% 80.0% 65.0% 76.0% 62.0%
1985 69.0% 78.0% 67.0% 75.0% 61.0%
1986 69.0% 80.0% 65.0% 75.0% 60.0%
1987 71.0% 77.0% 66.0% 72.0% 61.0%
1988 70.0% 77.0% 64.0% 70.0% 60.0%
1989 74.0% 78.0% 68.0% 71.0% 61.0%
1990 76.0% 78.0% 69.0% 72.0% 63.0%
1991 75.0% 80.0% 71.0% 71.0% 64.0%
1992 76.0% 77.0% 69.0% 72.0% 64.0%
1993 79.0% 80.0% 73.0% 73.0% 64.0%
1994 79.0% 81.0% 72.0% 72.0% 63.0%
1995 78.0% 78.0% 69.0% 69.0% 62.0%
1996 75.0% 77.0% 67.0% 67.0% 63.0%
1997 79.0% 79.0% 71.0% 71.0% 62.0%
1998 80.0% 80.0% 72.0% 72.0% 64.0%
1999 77.0% 81.0% 70.0% 71.0% 62.0%
2000 76.0% 80.0% 72.0% 69.0% 62.0%
2001 77.0% 78.0% 70.0% 70.0% 63.0%
2002 78.0% 81.0% 69.0% 68.0% 62.0%
2003 80.0% 80.0% 72.0% 70.0% 65.0%
2004 80.0% 79.0% 73.0% 72.0% 66.0%
2005 80.0% 77.0% 71.0% 71.0% 64.0%
2006 80.0% 79.0% 72.0% 74.0% 62.0%
2007 79.0% 78.0% 72.0% 72.0% 64.0%
2008 81.0% 80.0% 70.0% 72.0% 66.0%
2009 80.0% 78.0% 70.0% 72.0% 64.0%
2010 81.0% 82.0% 71.0% 71.0% 66.0%
2011 82.0% 78.0% 71.0% 73.0% 67.0%
2012 83.0% 78.0% 72.0% 74.0% 67.0%
2013 83.0% 81.0% 72.0% 74.0% 67.0%
2014 81.0% 78.0% 70.0% 76.0% 65.0%
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Source: EPI analysis of Current Population Survey public data series

Unionization higher among blacks, even as union density has declined: Union membership as a share of total employment, by race and ethnicity, 2000–2014

White, non-Hispanic Black  Hispanic  Asian 
2000 13.0% 17.2% 11.1% 11.5%
2001 13.0% 16.7% 11.2% 11.3%
2002 12.8% 16.9% 10.6% 11.6%
2003 12.5% 16.5% 10.7% 11.4%
2004 12.2% 15.1% 10.1% 11.4%
2005 12.2% 15.1% 10.4% 11.2%
2006 11.7% 14.5% 9.8% 10.4%
2007 11.8% 14.3% 9.8% 10.9%
2008 12.2% 14.5% 10.6% 10.6%
2009 12.1% 13.9% 10.2% 11.4%
2010 11.7% 13.4% 10.0% 10.9%
2011 11.6% 13.5% 9.7% 10.1%
2012 11.1% 13.4% 9.8% 9.6%
2013 11.0% 13.6% 9.4% 9.4%
2014 10.8% 13.2% 9.2% 10.4%
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Source: EPI analysis of Current Population Survey public data series

Unemployment rate for those with less than a High School diploma, by race and ethnicity, 2000–2014

Year White, non-Hispanic Black  Hispanic  Asian 
2000 5.6% 10.7% 6.2% 5.7%
2001 6.5 11.8 7.4 5.8
2002 7.6 13.3 7.7 8.4
2003 7.8 13.9 8.2 9.5
2004 7.5 15.5 7.5 5.9
2005 6.5 14.4 6.2 5.5
2006 5.9 12.8 5.5 3.8
2007 6.5 12 6 2.9
2008 8.2 14.5 8.2 6.4
2009 13.9 21.3 13.7 8.4
2010 13.9 22.5 13.2 11.1
2011 12.7 24.6 12 9.5
2012 11.4 20.4 11 6.8
2013 9.7 20.5 9.1 6.9
2014 7.8% 17.2% 7.4% 6.9%
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Note: Shaded area denotes recessions

Source: EPI analysis of Current Population Survey public data series

Unemployment rate for High School graduates, by race and ethnicity, 2000–2014

Year White, non-Hispanic Black  Hispanic  Asian 
2000 2.9% 6.4% 3.9% 3%
2001 3.6 7.4 4.5 4.1
2002 4.6 8.8 5.9 5.3
2003 4.8 9.3 5.9 5.6
2004 4.4 8.7 5.2 4.5
2005 4 8.5 4.5 4.6
2006 3.7 8 4.1 3.1
2007 3.9 7.3 4.4 3.2
2008 5.1 9.3 6.2 4.3
2009 9 14 10.4 7.5
2010 9.5 15.8 11.5 7.6
2011 8.4 15.5 10.3 7.6
2012 7.5 13.4 9 6.1
2013 6.6 12.6 7.9 5.4
2014 5.1% 10.7% 6.2% 4.5%
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Note: Shaded area denotes recessions

Source: EPI analysis of Current Population Survey public data series

Unemployment rate for those with some college or associate degree, by race and ethnicity, 2000–2014

Year White, non-Hispanic Black  Hispanic  Asian 
2000 2.4% 4% 3.2% 3.2%
2001 3 5 3.8 3.8
2002 4.1 6.7 5.4 6.1
2003 4.2 7.9 5.7 5.9
2004 3.7 7.6 4.8 4.8
2005 3.4 6.9 4.1 3.2
2006 3.2 6.2 3.6 3.1
2007 3.2 5.5 4.1 3.7
2008 4.1 7.4 5 3.8
2009 7.3 11.5 9.2 8.3
2010 7.6 12.4 9.7 8.1
2011 7 13.1 9.1 7.4
2012 6.3 11.1 8 6.7
2013 5.6 9.8 7 5.7
2014 4.7% 8.9% 5.8% 4.9%
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Note: Shaded area denotes recessions

Source: EPI analysis of Current Population Survey public data series

Even the most educated working-class blacks face higher joblessness: Unemployment rate of 18- to 64-year-olds in the labor force with less than a bachelor's degree, by highest level of educational attainment and race/ethnicity, 2014

  White, non-Hispanic   Black
Less than a high school diploma 7.8% 17.2%
High school graduate 5.1% 10.7%
Some college/associate degree 4.7% 8.9%
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Source: EPI analysis of Current Population Survey public data series

Shifting working class demographics have implications for:

  • Class and racial/ethnic inequality in economic outcomes (employment, pay/income, wealth)
  • Place/race-based inequities in education (K-12 and access to higher ed)
  • Future of social insurance and social programs
  • Politics

Thank you!

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