Ethnic‐Controlled Economy or Segregation? Exploring Inequality in Latina/o Co‐Ethnic Jobsites1

Abstract

Recent research has increasingly focused on how ethnicity operates within labor markets. Due to perceptions of intragroup homogeneity and assumptions that inequality only occurs between majority whites and people of color, most research has neglected intragroup economic inequality. This study examines how skin color, immigration/nativity status, and gender influence wage differentials in Latina/o co‐ethnic jobsites (where workers are the same ethnicity). Using data from the Los Angeles Study of Urban Inequality (LASUI), it is found that there are skin color, immigration/nativity status, and sex wage gaps among Latina/os working in co‐ethnic jobsites. Moreover, illustrating intersectionality, immigrant women and dark‐skinned immigrants suffer from wage gaps in co‐ethnic jobsites. Unexpectedly, some Latinas experience a wage advantage, in comparison with Latinos, which is associated with lighter skin. The author suggests that Latinas are subjected to multiple‐jeopardy situations in which they experience an intersection of inequalities in jobsites saturated by co‐ethnics but that lightness of skin color functions as a form of social capital. Thus, research on the benefits or costs associated with working with co‐ethnics cannot be extended to the entire ethnic group. The conclusion is that for Central Americans and Mexicans, co‐ethnic jobsites are generally forms of segregated employment with limited protection from discrimination.

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