Washington, D.C. — A new analysis from the Center for American Progress finds that households with a union member hold roughly two times the wealth of households without a union member, equivalent to an additional $241,100 in median household wealth. The analysis also finds that unions significantly narrow racial and education-based wealth gaps, with the largest gains concentrated among working-class families and families of color.
The Trump administration has taken steps to weaken collective bargaining protections and labor enforcement, even as economic security remains increasingly out of reach for many working families. The analysis finds union households consistently outperform nonunion households across key measures of economic security, including homeownership, retirement savings, and access to defined benefit pensions, highlighting the role unions continue to play in helping workers build wealth and long-term financial stability.
“Unions remain one of the most effective tools for helping families build wealth and achieve economic security,” said David Madland, senior fellow at CAP and co-author of the report. “As Americans struggle to afford a home, save for retirement, and build financial stability, union membership is one of the clearest pathways to narrowing persistent wealth gaps in America.”
CAP’s analysis finds:
- Union households hold roughly twice the wealth of nonunion households. When accounting for defined benefit pension wealth, the median union household holds approximately 2.1 times the wealth of the median nonunion household, a wealth difference of about $241,100.
- Black and Hispanic union households see the largest gains. Hispanic union households hold 4.6 times the wealth of their nonunion counterparts, while Black union households hold 3.2 times the wealth of Black nonunion households.
- Working-class union households build substantially more wealth. Union households without a four-year college degree hold approximately 2.8 times the wealth of comparable nonunion households.
- Union households are more likely to achieve key markers of financial security. Union households report higher homeownership rates, greater access to retirement accounts, and nearly double the retirement savings of nonunion households.
Read the report: “Unions Build Wealth for All Americans” by Jazmine Amoako, David Madland, and Christian Weller.
For more information or to speak with an expert, contact Christian Unkenholz at [email protected].