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A new study published this week by PledgeLA, a coalition of hundreds of venture capital (CV) and technology leaders in Los Angeles who work for increase equity, community participation and responsibility around corporate diversity efforts – shows Los Angeles venture capitalists outpacing national funding for women and business people led by color.
Involving 174 organizations and based on public, self-reported data, survey results revealed that Los Angeles-based venture capitalist investments for Black, Latina, and female founders exceed the national average. Investments made by the PledgeLA VC founders in Black increased 71% from last year. However, much more profit is needed when it comes to financing for Latino and women-owned businesses. With one in every $ 10 of venture capital flowing through Los Angeles, a 39 percent increase from 2019, these trends have national implications.
However, the survey showed that women and people of color still face persistent wage gaps. While women in Los Angeles tech companies are more represented from entry-level to senior management positions than in Silicon Valley, women earn significantly less than men (a gap greater than the national average). Additionally, black and Latino employees earn much less than their peers.
And surprisingly, the survey also revealed that the number of Gen X tech employees experienced a significant decline in 2021. While most of the staff demographics were unchanged between the 2020 and 2021 surveys, the results saw a significant change in the age of PledgeLA business. personal. Only 22% of workers reported being Generation X or older this year, down from 37% last year. This means that the vast majority of Los Angeles’ tech workforce was born between 1980 and 1990, an increase in the number of millennials and a decrease in opportunities for older adults. This raises important questions about potential age discrimination and the representation of diverse age groups in the tech workforce.
PledgeLA is a coalition of hundreds of venture capital (VC) and technology leaders in Los Angeles working to increase equity, community engagement, and accountability around corporate diversity efforts.
Read the PledgeLA full report.
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