Pink Economy

By Althea Ocomen

What is the Pink Economy?

The pink economy is a variety of services, businesses, and public utilities that cater to the LGBTQIA+ community, especially those discriminated against and marginalized in the current society. The pink economy is predominantly owned and controlled by men. Its target market is the LGBTQIA+ community, mainly white, middle-class gay men.

How much does the LGBTQ+ community contribute to the economy?

The LGBTQIA+ community is composed of 5-10% of the total population. It is estimated that the LGBTQA+ community would be the fourth largest GDP globally at $4.6 trillion. On a smaller scale, a U.S. Treasury Department study discovered that gay couples earn an average of $176,000, while lesbian couples earn an average of $124,000. This is a high income compared to heterosexual couples who earn an average of $113,000 only. Queer couples raise children less often, which results in more spending on personal items.

According to Proud Experiences, tourists who identify as lesbian, gay, bisexual, transgender, or “queer” travel more and consume more products than other individuals.

As stated by the Global Index on Legal Recognition of Homosexual Orientation (GILRHO) and the Transgender Rights Index (TRI), several research pieces have revealed a positive connection between the per capita GDP and the civil rights of the LGBTQIA+ community.

Countries that advocate for the protection of the LGBTQIA+ community have a higher economic income and increasing rates of better health. Promoting LGBTQIA+ rights can go beyond financial, health, and social benefits. Studies have estimated that LGBTQIA+ discrimination in India costs upwards of $30 billion annually in lost economic output, and this was before India’s legislation decriminalizing homosexuality.

Misconceptions about the Pink Economy

The idea heterosexual individuals earn higher incomes than lesbians and gay men is false. According to a journalist, lesbians and gay men work longer hours. They are less likely to have children to take care of at home. Lesbians are overrepresented in male-dominated professions that pay better than female-dominated jobs. Gay men, on the other hand, made an average of 10% more than similarly employed men. The same data persisted despite the controlled factors such as a partner’s presence, the sexual orientation of a partner, race, age, ethnicity, and the size of one’s firm and family.

However, the belief that LGBTQIA+ are more affluent than heterosexual people is false. This misconception has sprouted since middle-class LGBTQIA+ are more present in the media than those who are suffering under the consequences of being LGBTQIA+; not many are aware there was a presence of poor LGBTQIA+ people, and how more common they are compared to the middle-class LGBTQIA+. Ironically, LGBTQIA+ folks are more likely to be homeless than white, heterosexual Americans. Anti-LGBTQIA+ laws limit access to an individual’s basic needs, such as housing, healthcare, and education needs. These individuals affected by these laws cannot participate in a country’s economy. Workplace discrimination is present, forcing LGBTQIA+ workers to hide their identity and orientation, or else they will be turned away by the company they are applying for. Nearly 40% of the homeless and jobless youth are LGBTQIA+. Until now, LGBTQIA+ communities still suffer from economic, political, and social oppression.

LGBTQ+ in the workplace

It is easy for business managers to market their businesses to the LGBTQIA+ folk blindly; however, they must realize the bigger picture. In the United States, same-sex couples may enjoy marriage equality, but they cannot walk into a bakery assured that they would be able to purchase a cake for their wedding.

Work discrimination is evident, especially when businesses refuse to accept LGBTQIA+ folk for the simple explanation of, “we do not accept those we cannot understand.” Companies play a massive role in supporting LGBTQIA+ organizations and communities. While some refuse to operate under countries that actively discriminate against LGBTQIA+ people, the most they can do is donate to pro-LGBTQIA+ organizations and candidates, promote inclusive state and federal legislation, incorporate inclusive anti-discrimination policies, support smaller LGBTQIA+-centered business, place LGBTQIA+ folk in the boardroom of where important discussions happen and more.

The most that businesses can do to support the LGBTQIA+ community is offering safe-space training to teach non-LGBTQIA+ employees the best practices in allyship. For those who operate internationally, management should review and provide safe-travel guides for queer people going abroad for business. The general laws of an inclusive anti-discrimination law are not enough to protect the LGBQTIA+. Detailed laws such as the SOGIE Bill can provide the anti-discrimination and equality LGBTQIA+ needs.