Bridging the Wealth Gap in Connecticut: Understanding Inequity and Community Solutions

The following content is created in partnership with United Way of Central and Northeastern Connecticut. It does not reflect the work or opinions of the NBC Connecticut editorial staff. Click here to learn more about United Way of Central and Northeastern Connecticut.

On its face the term “wealth gap” is pretty simple: it’s the difference in the amount of money and assets between the haves and the have-nots. What’s less understood is how this disparity has grown exponentially wider between upper-income and historically marginalized families in the 21^st century, the role of systemic barriers, and how it affects all of us, no matter where we land on the socioeconomic spectrum. Perhaps even more disconcerting is Connecticut’s standing as the 2^nd most unequal state in the nation according to the US Census Bureau, leaving many to wonder how such disparities exist in a state known for its affluence and what can be done about it. The answer is nuanced, but worth exploring, and solutions can be found at the grassroots level thanks to community leaders and nonprofit organizations like United Way.

What’s going on in CT?

For those familiar with New England, “Connecticut” typically conjures images of quaint villages, fall foliage, and prestigious universities. The state also has a reputation for being a leader in industries like aerospace manufacturing, shipbuilding, and financial services. For over a decade, Connecticut had the highest average income per resident, and it remains near the top spot. And yet, for all its charm, industries, and income, Connecticut has one of the largest wealth gaps in the nation. In other words, much of that wealth is concentrated in a few areas and a portion of earners, while other parts of the state, particularly urban centers like Hartford and Bridgeport, struggle with poverty and lower income levels. But what leads Connecticuters to their respective tax brackets is a complicated equation with several root causes.

The Impact

A resident of West Hartford living two miles up the street from a resident of North Hartford has an additional 10 years of life expectancy than their North Hartford neighbor. “Our community – and our organization – finds this unacceptable,” says Eric Harrison, President and CEO of United Way of Central and Northeastern Connecticut.

While many interconnected issues contribute to Connecticut’s stark inequity, public school funding that leads to wide achievement gaps is a useful place to start. Connecticut’s public-school funding is heavily reliant on local property taxes, which results in well-funded schools in affluent areas and underfunded schools in less affluent communities. It is well documented that student achievement suffers when public schools lack resources, and a system that disproportionately funds public schools in wealthy districts and sequesters opportunity to high-income areas is one that perpetuates the cycle of poverty in historically marginalized communities. This education gap further widens several ever-growing disparities throughout the state including higher education, job prospects, income level, and importantly, access to housing and healthcare.

Marginalized communities often have less access to quality health care services. They may live in areas with fewer health care facilities, leading to longer wait times and travel distances for medical care; someone lacking transportation or necessary childcare may have to choose between healthcare and other basic needs. They may lack the resources for adequate health insurance, leading to unchecked health problems that worsen without preventative care. Lack of adequate care is often further compounded with the existing emotional and physiological effects of generational poverty and trauma. Additionally, disparities in education and job opportunities can lead to a less skilled workforce, impacting the state’s economic growth and competitiveness. Harrison emphasizes, “When we close gaps for those most marginalized, we not only significantly improve their livelihood, but also the livelihood of everyone living in our community.”

The Solutions

While bridging Connecticut’s substantial wealth gap involves upending the status-quo and reimagining decades-old systems, these issues can be addressed more immediately through policy initiatives, community organizations, and public-private partnerships to increase access to resources like education, food, housing and healthcare in underserved areas. For example, United Way of Central and Northeastern Connecticut engages with local communities to address these disparities and help ensure that people’s immediate needs are met while also finding solutions to long-term challenges. Some of their initiatives include early-childhood education programs, tax preparation services, literacy initiatives, healthcare access, and much more. In fact, to commemorate 100 years of serving the underserved, United Way has developed their Onward860 vision which seeks to build a more equitable 860 region. Harrison explains, “Onward860 is in direct response to 30 one-on-one conversations and 41 community conversations where we spoke with 400 stakeholders about what gaps need to be closed and what role people wanted our United Way to serve. We heard loud and clear that our community wanted us to unite our region and to help ensure that life expectancy, academic success, and ability to build wealth are no longer pre-determined by one’s zip code."

Harrison continues, “While community conditions are challenging, United Way and our partners are co-creating systemic change that closes gaps and creates opportunities to eliminate poverty in all its forms. It is going to take all of us working together to bring the Onward860 vision to life and we eagerly invite those who live and/or work in central and northeastern Connecticut to join us.”

With continued inflation and stagnant wages, organizations like United Way are more important now than ever in bridging the wealth gap and improving the quality of life and economic growth for all Connecticut residents.

United Way of Central and Northeastern Connecticut is committed to the well-being of children and families in the local community. Click here to learn more about their work and how you can help.