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I quil:ul)IE Grc]wffi II ()f'iI( ()F I'rc 111 smirch i'iiizu °ngle11111e& n Durham (to a lesser extent). From 2009 to 2012, jobs and GDP in Wake County grew at a rate more than double the average for the rest of the region. In addition to these trends of slow and geographically asymmetrical growth in jobs and economic activity, the region faces several other challenges to long -term growth and prosperity. The region's middle class is shrinking, as the economy is becoming bifurcated into low -and high -wage jobs. Inequality is on the rise and racial gaps in education, employment, income, and opportunity are wide and persistent. As the region grows more diverse, these inequities become even more serious threats to economic strength and competitiveness. Below are several key challenges the region will need to address to ensure a strong economy and a better shot at returning to the high growth seen prior to the recession Lower levels of higher education for communities of color A strong education is central to labor market competitiveness in today's knowledge- and technology- driven economy, but a growing segment of the Research Triangle's workforce lacks the education needed for the jobs of the future. According to the Georgetown Center for Education and the Workforce, 42 percent of all jobs in North Carolina will require an associate's degree or higher by 2020. Today, only 33 percent of Blacks and 37 percent of U.S. -born Latinos — the region's fastest - growing group — have that level of education. The achievement gap has deep roots in public education systems, and looking at the share of working -age adults without a high school diploma in the region, we see that African American, Native American, and all 11(fli y4 sill <aiid III 1:1 Latinos (but especially immigrants), are much less likely to have high school degrees than Whites. The middle class is being squeezed A strong middle class is the foundation for a strong regional economy, but the Research Triangle region's middle class is being squeezed while inequality is on the rise. Since 1990, middle -wage jobs in the region have not kept pace with population growth, and grew less than half the rate of low- and high -wage jobs. Additionally, a disproportionate share of middle -class job gains have been concentrated in urban areas, with Durham County contributing 37 percent of the increase in middle -class jobs but only 10 percent of the increase in the region's population. And while wages for low -wage jobs have increased 17 percent over the past two decades, that is less than half the rate of increase for high- and middle -class jobs in the same time period. This also has a disproportionately negative impact on people of color since they are more likely to work in low -wage jobs. The increasing diversity of the middle class is a more promising indicator. Though the middle class does not yet fully represent the region's demographic diversity, its diversification does provide some evidence for the economic inclusion of emerging Latino and Asian populations. Racial economic gaps Across a host of indicators including employment, wages, poverty, working poor rates, and access to "high- opportunity" occupations, people of color fare worse in the Research Triangle labor market than their White counterparts. These racial economic gaps remain even after controlling for education, Raiis i ng edlucad:iioiir nr -ill ad:d:a i nirmnei nt airmnoirng the ire ^giia)irn's coirmnirmnu irnud ues serf colk)ir Is ciriid:ii4 to Ibu llaJHi ng a Ipirepaired workforce Share of Working -Age Population with an Associate's Degree or Higher by Race /Ethnicity and Nativity, 2012, and Projected Share of jobs that Require an Associate's Degree or Higher, 2020 Sources: Georgetown Center for Education and the Workforce; IPUMS. Universe for education levels of workers includes all persons ages 25 through 64. Note: Data for 2012 by race /ethnicity /nativity represent a 2008 through 2012 average and are at the regional level; data on jobs in 2020 is at the state level for North Carolina. API refers to Asians and Pacific Islanders. 83% Latino, Black Latino, Native Other White API, API, U.S.- jobs in Immigrant U.S. -born American Immigrant born 2020