Nine households control 15% of wealth in Silicon Valley as inequality widens – The Guardian

Report on Socio-Economic Disparities in Silicon Valley and Alignment with Sustainable Development Goals (SDGs)
Introduction: The 2025 Silicon Valley Pain Index
Research from San Jose State University’s Human Rights Institute, detailed in the 2025 “Silicon Valley Pain Index,” quantifies the region’s structured inequalities. The report measures personal and community distress, providing critical data on the region’s progress, or lack thereof, towards key United Nations Sustainable Development Goals (SDGs).
Key Findings: A Challenge to SDG 10 (Reduced Inequalities)
The report highlights a severe and widening wealth gap, directly contravening the objectives of SDG 10, which aims to reduce inequality within and among countries.
- Wealth Concentration: An extreme concentration of wealth is observed, with just nine households controlling $683.2 billion, equivalent to 15% of the region’s total wealth. The top 0.1% of residents hold 71% of the wealth.
- Growing Disparity: The wealth divide in Silicon Valley has expanded at double the rate of the United States over the last decade.
- Asset Poverty: In stark contrast, 110,000 households in the region report possessing nearly no assets.
Racial and Ethnic Disparities
Significant inequalities persist along racial and ethnic lines, undermining the core principles of SDG 10 and SDG 8 (Decent Work and Economic Growth).
- Wage Gap: Hispanic workers in the San Jose, Sunnyvale, and Santa Clara metropolitan area earn approximately 33 cents for every dollar earned by their white counterparts.
- Corporate Diversity: Despite stated commitments to diversity, equity, and inclusion, representation remains low in major tech firms. At Apple, for example, only 3% of employees in research and development are Black and 6% are Hispanic/Latino, compared to 36% white and 50% Asian.
Impact on SDG 1 (No Poverty) and SDG 11 (Sustainable Cities and Communities)
The high cost of living and lack of affordable housing present major obstacles to achieving SDG 1 (No Poverty) and SDG 11 (Sustainable Cities and Communities).
Housing and Affordability Crisis
- Cost of Living: Renters must earn an annual income of $136,532 to afford an apartment, the highest threshold in the nation.
- Unaffordable Cities: San Jose is ranked the 4th “impossibly unaffordable” city worldwide.
- Stagnant Wages: No city in Silicon Valley has increased its minimum wage in the past three years, exacerbating the affordability crisis.
- Housing Shortage: In San Jose, 54,582 low-income households do not have access to an affordable home.
- Rising Homelessness: The city’s homeless population grew by 8.2% from 2023.
Challenges to SDG 16 (Peace, Justice and Strong Institutions)
The report identifies significant concerns related to public safety and justice, which are central to SDG 16.
- Deaths in Custody: In 2024, ten individuals died while in the custody of the Santa Clara County sheriff’s office, marking the highest number in two decades.
- Police Shootings: The city of San Jose reported five officer-involved shootings, an increase from three in the previous year.
Areas of Noted Progress
Despite the significant challenges, the report acknowledges positive developments that align with SDG objectives.
- A reported decrease in police use-of-force incidents in San Jose (contributing to SDG 16).
- An expansion of services designed to prevent homelessness (contributing to SDG 1 and SDG 11).
- The implementation of environmental sustainability programs in the area (contributing to SDG 11, SDG 12, and SDG 13).
Analysis of Sustainable Development Goals in the Article
1. Which SDGs are addressed or connected to the issues highlighted in the article?
- SDG 1: No Poverty – The article highlights a significant number of households with no assets, which relates to economic vulnerability and poverty.
- SDG 8: Decent Work and Economic Growth – The discussion on stagnant minimum wages and vast pay disparities based on race points to issues of decent work and equal pay.
- SDG 10: Reduced Inequalities – This is the central theme of the article, which details extreme wealth concentration, income inequality between racial groups, and disparities in corporate employment.
- SDG 11: Sustainable Cities and Communities – The article focuses on the housing crisis, including the high cost of rent, the city’s “impossibly unaffordable” ranking, homelessness, and the lack of affordable housing.
- SDG 16: Peace, Justice and Strong Institutions – The mention of deaths in police custody, officer-involved shootings, and use of force incidents directly relates to justice and the accountability of public institutions.
2. What specific targets under those SDGs can be identified based on the article’s content?
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SDG 1: No Poverty
- Target 1.4: By 2030, ensure that all men and women, in particular the poor and the vulnerable, have equal rights to economic resources, as well as access to basic services. The article’s mention of “110,000 households reported nearly none or no assets” directly addresses the lack of economic resources for a vulnerable segment of the population.
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SDG 8: Decent Work and Economic Growth
- Target 8.5: By 2030, achieve full and productive employment and decent work for all women and men, including for young people and persons with disabilities, and equal pay for work of equal value. This is relevant due to the article stating that “Hispanic workers in San Jose, Sunnyvale and Santa Clara can expect to make 33 cents for every $1 their white peers take home” and that “no cities in Silicon Valley have raised the minimum wage in the past three years,” which challenges the principles of decent work and equal pay.
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SDG 10: Reduced Inequalities
- Target 10.1: By 2030, progressively achieve and sustain income growth of the bottom 40 per cent of the population at a rate higher than the national average. The article’s finding that “the wealth divide has widened in Silicon Valley at double the rate of the whole United States over the past decade” shows a trend opposite to this target.
- Target 10.2: By 2030, empower and promote the social, economic and political inclusion of all, irrespective of age, sex, disability, race, ethnicity, origin, religion or economic or other status. The stark racial inequalities in pay and corporate employment (e.g., “only 3% of employees working in research and development at Apple are Black”) demonstrate a failure to achieve this target.
- Target 10.3: Ensure equal opportunity and reduce inequalities of outcome, including by eliminating discriminatory laws, policies and practices and promoting appropriate legislation, policies and action in this regard. The pay gap where Hispanic workers earn significantly less than their white peers is a clear example of an inequality of outcome that this target aims to address.
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SDG 11: Sustainable Cities and Communities
- Target 11.1: By 2030, ensure access for all to adequate, safe and affordable housing and basic services and upgrade slums. The article directly addresses this by stating that “renters must earn $136,532 to afford an apartment,” San Jose is ranked No. 4 in “impossibly unaffordable” cities, “54,582 low-income households do not have access to an affordable home,” and “homelessness grew 8.2% from 2023.”
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SDG 16: Peace, Justice and Strong Institutions
- Target 16.1: Significantly reduce all forms of violence and related death rates everywhere. The data on “ten people died in police custody in the Santa Clara county sheriff’s office in 2024” and “San Jose reported five office involved shootings” are direct measures related to this target.
3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?
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For Target 10.1 & 10.2 (Reduced Inequalities)
- Wealth Concentration: 0.1% of residents hold 71% of the region’s wealth; nine households hold 15% of the wealth ($683.2bn).
- Racial Income Disparity: Hispanic workers earn 33 cents for every $1 earned by white peers.
- Racial Employment Disparity: Percentage of Black (3%) and Hispanic/Latino (6%) employees in R&D at Apple compared to white (36%) and Asian (50%) employees.
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For Target 11.1 (Sustainable Cities and Communities)
- Housing Affordability: Income required to afford an apartment ($136,532).
- Unaffordable City Ranking: San Jose ranked No. 4 worldwide.
- Affordable Housing Gap: 54,582 low-income households lack access to an affordable home.
- Homelessness Rate: Homelessness grew 8.2% from 2023.
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For Target 1.4 (No Poverty)
- Asset Poverty: 110,000 households have nearly none or no assets.
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For Target 8.5 (Decent Work and Economic Growth)
- Minimum Wage Stagnation: No increase in minimum wage in Silicon Valley cities for three years.
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For Target 16.1 (Peace, Justice and Strong Institutions)
- Deaths in Custody: 10 deaths in police custody in Santa Clara county in 2024.
- Police Shootings: 5 officer-involved shootings in San Jose, an increase from 3 in the previous year.
- Use of Force Incidents: A decrease in police use of force incidents in San Jose is noted as a positive indicator.
4. Table of SDGs, Targets, and Indicators
SDGs | Targets | Indicators Identified in the Article |
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SDG 1: No Poverty | 1.4: Equal rights to economic resources and access to basic services. | 110,000 households have nearly none or no assets. |
SDG 8: Decent Work and Economic Growth | 8.5: Full and productive employment, decent work, and equal pay for work of equal value. | No minimum wage increase in 3 years; Hispanic workers earn 33 cents for every $1 white peers earn. |
SDG 10: Reduced Inequalities | 10.1: Sustain income growth of the bottom 40%. 10.2: Promote social, economic, and political inclusion of all. 10.3: Ensure equal opportunity and reduce inequalities of outcome. |
Wealth divide widened at double the US rate; 0.1% of residents hold 71% of wealth; 3% of Apple’s R&D employees are Black. |
SDG 11: Sustainable Cities and Communities | 11.1: Access for all to adequate, safe and affordable housing. | Renters must earn $136,532 to afford an apartment; Homelessness grew 8.2%; 54,582 households lack affordable homes. |
SDG 16: Peace, Justice and Strong Institutions | 16.1: Reduce all forms of violence and related death rates. | 10 deaths in police custody in 2024; 5 officer-involved shootings (up from 3). |
Source: theguardian.com