Economic realities in the transgender community
By Matthew Wood
Gina,1 an African American transgender woman, worked for two years as a counselor in a nonprofit providing services to homeless adults. Having lived in a shelter and struggled with an addiction earlier in her life, Gina identified with her clients and worked to ensure their access to food, housing, and counseling. Unfortunately, Gina was discriminated against and sexually harassed by a co-worker. She eventually resigned under duress. Without income, she lost her apartment and was forced to live in a shelter. Without insurance, she was diagnosed with high blood pressure and hepatitis. For months, Gina endured being jobless, ill, and living in a shelter. After almost a year, she was offered a job at the shelter where she was living. However, before she could accept the job she had to move out of the shelter, and she could not afford to pay rent on a new apartment. Fortunately, the Transgender Law Center (TLC) was able to help Gina reach a settlement with her former employer that enabled her to move out of the shelter and begin work.
Gina’s experience is common among TLC’s clients, many of whom are marginalized by their gender identity, race, economic status, and lack of health care. In 2008, TLC surveyed more than 600 transgender2 people throughout California. The results revealed that Gina’s experience was typical of the state’s transgender community as a whole. This is shocking considering that California has the most progressive anti-discrimination laws in the country.3 This article uses the survey results to explore the intersections of gender identity, race, and poverty.
Some of the results of the 2008 survey were surprising, including respondents’ high level of education. 94% of respondents over age 25 held a high school diploma or equivalent, compared to 80% of all Californians over age 25.4 Respondents were twice as likely to hold bachelor’s degrees than members of the California general population. White, Asian American, Pacific Islander and Native American respondents had higher levels of education, with more than half of these respondents holding a bachelor’s degree or higher.
Sadly, the survey revealed that the common correlation between higher levels of education and higher earnings was not true for transgender people. Respondents were twice as likely to live below the poverty line as a member of the general population, with one in four earning less than $10,400 annually. Poverty was especially high among youth, with two out of three survey respondents under age 25 earning less than $10,000 last year. When controlled for educational background, race had no impact on income. However, just over 15% of African American and Latino respondents reported holding undergraduate college degrees. Clearly, race impacts income to the extent that transgender people of color are less likely to have access to jobs that require a college degree.
Under/unemployment also disproportionately affects the transgender community. Fewer than half of survey respondents were employed full-time, and three out of four earned income from more than one source. Female respondents were unemployed at twice the rate of male respondents. The overall unemployment rate was 14%, twice the statewide average during the survey period. With such progressive anti-discrimination laws and a relatively high level of education among survey respondents, how are these discouraging results possible?
One reason is employment discrimination. In addition to experiencing discriminatory practices such as wage inequality and disparaging comments, transgender people face uniquely humiliating discriminatory acts in the workplace including being denied restroom access appropriate for their gender; being compelled to abide by a dress code not appropriate for their gender; employers’ and co-workers’ refusal to use correct name and gender pronouns; and being subjected to inappropriate questions about their bodies. These actions are not just illegal – they are humiliating and demoralizing. They were also experienced frequently by survey respondents, some 70% of whom reported experiencing workplace discrimination. Almost half reported having experienced loss of employment related to their gender identity. Frustratingly, only 15% of those who reported discrimination or harassment filed a complaint. Of those who did not file any kind of complaint, 44% did not think they could get assistance, 27% did not know how or where to file a complaint, and 26% were afraid of losing their jobs. 30% did not know what, if any, protections they had as transgender persons.

In an era in which heath, education, and retirement benefits are increasingly available to people through their jobs, the consequences of employment discrimination are devastating. When a person loses her job, she loses her insurance, pension, day care, and educational opportunities. Survey respondents reported that their health was affected by their low employment and income: 30% reporting postponing care due to discrimination by health care providers. More than 40% postponed care because of economic barriers. This is extremely dangerous given that many transgender people access medical care as part of their transition. Like Gina, 1 out of 5 survey respondents indicated that they had been homeless.
In addition to providing legal assistance and representation where possible, TLC works to increase the capacity of employment lawyers to handle cases involving transgender clients. The 30% of survey respondents who did not know that they were protected by antidiscrimination laws are not alone – many plaintiffs’ attorneys also do not know that FEHA prohibits discrimination on the basis of gender identity and expression. There is a misperception that cases involving transgender plaintiffs are not sufficiently fee-generating. TLC’s “Transitioning the Bar” project is designed to increase the capacity of attorneys addressing such discrimination.
Transgender economic marginalization also can be combated by developing job training resources specifically for transgender employees. As a result of the survey and its 2006 predecessor, the California Employment Development Department dedicated $300,000 to create the Transgender Economic Empowerment Initiative (TEEI), which helps transgender people find and keep sustainable employment. TEEI is based in San Francisco and its partners include San Francisco LGBT Community Center; San Francisco Transgender Empowerment, Advocacy, and Mentorship; Jewish Vocational Services; and TLC. Since 2007, TEEI has helped 52 transgender people obtain more than 70 total job placements, as well as helped more than 125 transgender people obtain job readiness skills.
There is also a significant need to create transgender-friendly workplaces. TLC receives many calls each month from employees who need help approaching their employers about transition-related issues including name and pronoun usage, dress codes, and restroom access. Many employers are unfamiliar with both the law and with transgender individuals and mistakenly assert that transgender employees cannot access the restroom that comports with their gender identity, or cannot be called by their appropriate name unless that have obtained a court ordered name and/or gender change. Such requirements are contrary to California law. They are also especially onerous for transgender immigrants, who may fear that changing their identity documents could jeopardize their asylum or immigration status.
Transgender employees often have concerns about using their preferred name on their resume or revealing their transgender status during interviews. TEEI helps job seekers navigate the application process; it also helps employers create safe and welcoming workplaces. To help employers understand their legal responsibilities and to share best practices for working with transgender employees and clients, TLC provides technical assistance to employees and employers, including individual advocacy and policy creation and implementation. TLC also conducts elimination of workplace bias and workforce development trainings. But TLC’s and TEEI’s efforts are not enough. There is a tremendous need to develop workplace resources targeting the needs of transgender employees.
Matthew Wood is a staff attorney with the Transgender Law Center.
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1 “Gina” is a pseudonym.
2 The term “transgender” is used here to include people whose gender identity and/or expression differs from the sex they were assigned at birth. Transgender individuals may self-identify as male-to-female (MTF), female-to male (FTM), transsexual, or “gender queer” individuals.
3 The California Fair Employment and Housing Act prohibits discrimination against transgender people in housing and employment. Cal. Gov’t. Code §§12940(a), 1955(a). The Unruh Civil Rights Act prohibits discrimination against transgender people in public accommodations. Cal. Civ. Code §§51(a). These laws are powerful because they use the definition of “gender” in the California Penal Code: “’Gender’ means sex, and includes a person’s gender identity and gender related appearance and behavior whether or not stereotypically associated with the person’s assigned sex at birth.” Cal. Penal Code §422.56(c).
4 See http://www.cpec.ca.gov/FiscalData/CACountyEconGraph.asp?D=HSGrad&Y=2007.

