Washington, D.C., November 27, 2002 - MANA, A National Latina Organization, announces a critical new report by the Women's Institute for a Secure Retirement (WISER), entitled "Minority Women and Retirement Income". This report provides valuable information for all women, and especially minority women.

Poverty among the elderly has dropped dramatically in the last 25 years, but minority women are being left behind.

"Minority Women and Retirement Income," a new report by the Women's Institute for a Secure Retirement (WISER) found more than four out of every ten 20 minority women in the United States will live in poverty in retirement. MANA, A National Latina Organization, is working in conjunction with WISER to sponsor great financial education for women.

The poverty rates for single black and Hispanic women over 65 are more than twice the rate for white women. Minority women face retirement and the financial demands of aging with fewer pensions and less personal savings that any other group in the population, concludes the WISER report, "Minority Women and Retirement Income."

Nearly half of these minority women rely exclusively upon Social Security, a program intended to be a supplement, not a sole source of support.

"As long as women earn less money than men, have fewer benefits and experience more interruptions from paid work, retirement security for minority women will remain elusive," the WISER report predicts. "Far too many older minority women are being left behind, struggling quietly in poverty and deprivation in the shadows of America's prosperity," said Cindy Hounsell, executive director of WISER.

"It is long past time that national policymakers and lawmakers acknowledge the tremendous financial plight of older women of color and marshal an effort to bring them into the country's economic mainstream," Hounsell said. Traditionally, income from a financial "three-legged stool" of pensions, personal savings and Social Security benefits has been considered essential for an adequate retirement. However, significant numbers of African-American, Asian-American and Hispanic women are coming up short.

Only 15 percent of older black women and 8 percent of Hispanic older women received pension income in 2000.

For those working today, just 38 percent of black women, 26 percent of Hispanic women and 38 percent of Asian/Pacific Islander women are covered by any sort of pension in the workplace. · Ninety percent of all older women are Social Security recipients, and more than half of them would be living in poverty without their benefits from the program. Yet Social Security is even more critical for older minority women. Without Social Security benefits, 62 percent of black women and 57 percent of Hispanic women would be poor.

While elderly women overall typically have extremely modest savings and investments for retirement, minority households have even fewer financial resources. For example, older black households have an estimated net worth of $13,000, compared to $181,000 for older white households.

"More than half of America's minority women are employed in the service and caregiving sector - from restaurants and retail sales to hospitals and schools - where wages are low and benefits like pensions are too often minimal at best," said Hounsell.

"Clearly, a significant part of the deep income gap minority women face in retirement is due to the type of jobs they have held in their working years," Hounsell said. However, modest changes in the nation's retirement laws and programs could significantly help older minority women in their retirement years, according to Hounsell. Some of those changes include:

• Enacting initiatives to increase pension coverage for lower-wage, part-time and temporary workers.
• Increasing the amount of Social Security survivor benefits.
• Providing women with Social Security earning credits for caregiving.
• Making pension division upon divorce more equitable for women.
• Providing better financial planning including planning for contingencies such as death and divorce.
• Providing education for those eligible for the Saver's Tax Credit.
• Increasing funding for Individual Development Accounts.

WISER is a non-partisan and nonprofit institute based in Washington. It is devoted to improving the long-term financial security of women through education and advocacy. For the full "Minority Women and Retirement Income" report, visit the Women's Institute for a Secure Retirement's website: www.wiser.heinz.org

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MANA, A National Latina Organization, is a nonprofit, advocacy organization headquartered in the nation's capital, Washington, D. C. With chapters across the country, it is the oldest National Latina membership organization in the United States. MANA, whose mission is to empower Latinas through leadership development, community service, and advocacy, envisions a national community of informed Latina activists working to improve the quality of life for all Hispanics. MANA also has the only national young Latina's mentoring program for girls 11 to 17, "HERMANITAS®" which brings over 100 girls to Washington DC to a summer institute that includes a briefing at the White House and a visit to the girls' Congressional representatives Information on MANA can be obtained at the web site: www.hermana.org or send an e-mail to hermana2@aol.com