Newly released data related to ALICE (Asset-Limited, Income-Constrained, Employed) shows just how closely poverty and racism are connected at a local, statewide and national level – and how much work remains in addressing racial and economic disparities.
In Michigan, 63 percent of Black households fall below the ALICE Threshold (the minimum income needed to afford household basics), struggling to cover expenses including housing, child care, food, transportation, health care and utilities. That’s nearly double the number of white households – 39 percent – experiencing similar financial hardship. Overall, both statewide and in our Calhoun and Kalamazoo county region, 40 percent of households are designated as ALICE.
During the recovery from the Great Recession, outcomes didn’t improve for Black households. Instead, the number of Black households under the ALICE Threshold in Michigan increased by 11 percent from 2010 to 2018. The number of white households struggling to make ends meet increased by only 1 percent statewide during that time frame.
“This data shows us that even during a time of national and state economic growth, the rate of Black households trying to survive on incomes that fall below the ALICE Threshold increased at 10 times the rate of white households,” said Nakia Baylis, PhD, Director of Data and Equitable Systems for UWBCKR. “That’s even more extraordinary when considering the state race demographics.”
The data comes as United Ways across Michigan – including United Way of the Battle Creek and Kalamazoo Region – reinforce their commitment to race and equity, both in policy and in action. United Way Worldwide recently implemented bylaw changes that strengthen that commitment across the network. See our statement on that move here.
“UWBCKR has intentionally embarked on an authentic journey to impact community conditions through an equity lens, within the framework that the ALICE data provides,” Baylis said. “This required us to first acknowledge that even with the most pure intentions to effectively change community conditions, we have perpetuated some of the inequities that have created barriers for those we’ve been trying so hard to help. Accordingly, this has inspired us to begin taking some very intentional actions internally and externally. We are fully dedicated to leveraging our network, privilege, and resources to drive systemic change for a region in which every person is equitably supported and thriving.”
To learn more about ALICE and financial hardship among Black families, read the summary report from Michigan Association of United Ways here.
Take Action
United Way BCKR will be joining local United Ways all across the state this fall in launching a 21-Day Equity Challenge.
The challenge is a self-guided learning journey designed to deepen participants’ understanding of, and willingness to confront, racism. Participants will engage in a series of readings, videos, podcasts, and daily reflections as part of the program. The challenge facilitates an opportunity for participants to identify and commit to their actions to advance racial equity.
Look for opportunities to register soon on our website, social media, and in our monthly newsletter, or drop your name in the form below to be notified when registration opens.
We hope you will join us.