If Latinos make up the largest and fastest growing sector of the U.S. economy, why doesn’t it feel like it?
Appearing in a recent Forbes Magazine article, Sol Trujillo, Co-Founder of L’Attitude, said the U.S. Hispanic market is “growing GDP at 8.6%, faster than China, faster than India, and nobody talks about it.”
In the recently published 2020 LDC U.S. Latino GDP Report, the size of the U.S. Latino market measured by GDP was $2.6 Trillion in 2018 (the chart in the pic is from 2017, when it was 2.13 trillion, meaning we are growing fast). If the U.S. Latino market was its own country, it would be the 7th largest economy in the world and the largest Latino market in the world – that’s bigger than any Latin American country, including Brazil and Mexico. When compared to the non-Latino U.S. section, the Latino sector grew 4.5 times faster in terms of GDP, implying most of the U.S. growth came from the Latino population.
According to Forbes Magazine, “Driving growth in the U.S. economy is a young and educated Latino labor force. Latino employees entering the labor force offset declines from the outgoing Baby Boomers. Latino Donor Collaborative reports Latinos were responsible for 78% of the net new jobs in the labor force since the Great Recession. Furthermore, Latino household growth was 23.2% in 2010-18, compared to 3.8% for that of non-Latino households. Given the higher population growth of Latinos relative to non-Latino demographics, this demonstrates how important Latinos are, not only today, but also in the future growth of the economy.”
Despite the size and growth of the U.S. Latino market, this segment of the economy continues to be a major blind spot for top CEOs. But even beyond the corporate level, most Americans don’t fully realize the actual contribution to the U.S. economy from the Latino sector.
Would long-term investments for Hispanic workers and businesses improve if executives better understood the value inherent in the U.S. Latino market?
The answer, I feel, is yes. The Latino community is not only under-represented, we are under capitalized. If this country’s economic leaders are serious about connecting with and promoting the Latinx community, then we say “put your money where your mouth is.”
Some say “see us,” others say “love us,” but I say, FUND US!