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Latinos in Omaha:
An Examination of Socioeconomic
Measures for Latinos in South Omaha

By

David A. Lopez
Creighton University

January 2000

 

Statistical Briefs of the Julian Samora Research Institute are designed to provide facts and figures on Latinos of the Midwest. The data presented are those of the author(s), are intended for use in further public policy research, and do not reflect the views of the Institute.

The Julian Samora Research Institute is a unit of the Colleges of Social Sciences and Agriculture & Natural Resources at Michigan State University.

Suggested Citation

Lopez, David A. (Ph.D.). “Latinos in Omaha: An Examination of Socioeconomic Measures for Latinos in South Omaha.” Statistical Brief No. 12, the Julian Samora Research Institute. Michigan State University, East Lansing, Mich. January 2000.

Latinos in Omaha: An Examination of Socioeconomic Measures for Latinos in South Omaha

Introduction

In less than a decade, Latinos doubled their population in numerous midwest states (Aponte and Siles, 1994; 1997). Latino settlement in Nebraska mirrors what has been occurring throughout the Midwest. Between 1980 and 1990, the Latino population in the Midwest increased by 35.2% (Rochín and Siles, 1996). Projections indicate that the Latino population will increase in Nebraska by 65% in the years 1990-2000, 94.7% from 1990-2005, and 140.6% from 1990-2015 (see Table 1). This study compares various social and economic indicators between Latinos and non-Latino Whites in the city of Omaha. Data is also provided on Latinos for selected census tracts in the ethnic community of South Omaha.

There have always been Latinos in Omaha, the largest city in Nebraska. However, it should be noted that Latinos are also populating very rural areas of the state. For example, in the rural town of Lexington, where IBP, Inc., opened a meatpacking plant in 1990, the Latino population increased from 4.9% of the population in 1990 to 24% of the population in 1993 (Gouveia and Stull, 1995; also see Gouveia and Stull, 1997).1 The opening of meatpacking plants can also explain the increase of Latinos in the rural areas of Madison and Dakota counties where, between 1980 and 1990, the Latino population increased by 248% and 113%, respectively (Muñoz, Lopez, and Stewart, 1998).

In recent years the combination of the availability of jobs and a good economy has led to a marked increase. The study of Latinos in Omaha is relevant given this increase and has ramifications for issues related to immigration, adaptation, and inter-ethnic conflict. Despite the growth of Latino numbers, relatively little is written about this emerging population. We do not have demographic profiles for Latinos as opposed to other local residents. Where do they locate, work, and “fit” in the socio-economic fabric of Omaha? This paper seeks to answer some of these questions.

Latino and Non-Latino Whites: City of Omaha

The Latino population in Douglas County (where Omaha is located), has increased by approximately 90% (Table 2). In 1990, in the City of Omaha, Latinos accounted for 2.9% of the population with the majority of them being Mexican (Table 3). However, in combined selected census tracts in South Omaha, Latinos comprised 21.2% of the residents resulting in a concentrated population and the development of an ethnic community (Table 4).

In addition to immigration, the birth rate of Latinos is a contributing factor to this population increase. Mexican births are increasing at a rate greater than that of non-Latino Whites. The Mexican birth rate more than doubled in the 11-year span from 1985 to 1996 while the rate for non-Latino Whites increased by only 2% (see Table 5).

More Latinos occupy “blue collar” types of jobs than non-Latino Whites. Conversely, more non-Latino Whites occupy “white collar” types of jobs than Latinos. This may be a function, in part, of not speaking English well which may limit job opportunities for Latinos (Table 6).

As seen in Table 7, Latinos have a higher rate of employment than non-Latino Whites, but they suffer from a higher rate of poverty than non-Latino Whites. Latinos also have a higher percentage of households headed by women and the median income for Latinos is lower than non-Latino Whites. The number of Latinos with bachelor’s degrees is slightly higher than the national trend, where 9.2% of the nation’s Latinos possess bachelor’s degrees (Rumbaut, 1996). However, more non-Latino Whites have bachelor’s degrees than Latinos.

Table 8 shows that more Latinos rent their homes than non-Latino Whites and Latinos tend to live in slightly older homes. Most Latino households have access to a vehicle and a telephone. However, compared to non-Latino Whites, Latino households lag slightly behind in access to such conveniences.

In sum, the Latino population in Omaha does not fare as well as non-Latino Whites. Although discrepancies exist on the majority of the measures, differences are most pronounced in occupational status, the poverty rate, and English skills.

“ South O”

The first stockyard was opened in South Omaha (or “South O” as it is called by the locals) in 1884 (Larsen and Cottrell, 1997). The Union Stock Yards Company of Omaha paid $100,000 to the South Omaha Land Company for 156.5 acres of land to serve as a transfer station enroute to Chicago. Refrigerated boxcars, improved freight service, favorable contracts, and an increase in beef production on the plains, all resulted in the growth of South Omaha as a center of livestock production. In 1885, Hammond & Co. opened the first slaughterhouse in South Omaha. The packing houses of Swift, Armour, and Cudahy soon followed. With the building of slaughterhouse’s and on site processing and packaging, Omaha was rivaled only by Chicago and Kansas City in terms of output.

Founded in 1886 as an independent city (until it was incorporated into Omaha in 1915), South Omaha was the hub of activity in the heyday of the meat industry. It soon evolved into the nation’s largest livestock market (Sorenson, 1923). South Omaha became known as the “Magic City” due to its rapid growth. In 1890, South Omaha had a population of over 10,000 people (Larsen and Cottrell, 1997).

The majority of the first immigrants to the area were of Eastern European descent. In 1900, 22% of the population in South Omaha was foreign born. Prior to being incorporated into Omaha, this increased to 31%, most being Russian (Larsen and Cottrell, 1997). Efforts were made by many immigrants to replicate their place of origin. Churches held services in Italian, Polish, and Czech. Ethnic festivals were established that celebrated immigrants’ heritage. Jobs were plentiful and upward mobility a reality; however, change came in the 1960’s.

Between 1967 and 1969, three of the big meat processing plants closed in Omaha (Cudahy in 1967, Armour in 1968, and Swift in 1969). The Wilson plant closed in 1976. These closings cost Omaha over 10,000 jobs and $500 million in annual revenue. Two main causes contributed to the downfall of the meatpacking industry in South Omaha (Larsen and Cottrell, 1997). One, outdated equipment and plants made competition with newer, rural plants difficult. Two, direct stock buying allowed buyers to purchase meat directly from producers and bypass terminal markets (such as Omaha). Many of the long time residents of the area moved to other parts of town looking for better opportunities and newer housing.

The meatpacking industry did make a slight resurgence. Greater Omaha Packing Co., Nebraska Beef, Northern States Beef, and others created some job opportunities. However, in the 1980’s, wages fell, benefits were eliminated, and a shortage of labor was created. Local applicants were hesitant to take work in the industry. Latinos, many of them new immigrants, were willing to take the work.

Latinos in South Omaha

Based on a map of the boundaries of the City of South Omaha prior to being incorporated into the City of Omaha in 1915 (Towle, 1911), South Omaha is defined in this report as running west from the Missouri river to 44th Street, bounded on the north by Grover Street/Hoctor Boulevard/Spring Lake Park Drive, and bounded on the south by Polk/Harrison Street (which is now the Sarpy County line).

Census tracts 26, 27, and 28 (Appendix A) were arbitrarily selected as being representative of the South Omaha Latino ethnic community. These tracts were selected because they lie in the “heart” of where the businesses and services that cater to the community tend to be located. The more west one travels from 24th Street, the less “Latino” the area becomes in terms of population and cultural markers (e.g., the use of Spanish, Latino stores and restaurants, Latino wall murals).

As indicated in Table 9, Latinos in South Omaha tend to be employed in low skill types of jobs. Comparing the tracts, slightly more Latinos from tract 28 are in precision production, etc., than in the other tracts and substantially more Latinos from tract 27 are machine operators, etc., than the other tracts. Also, a greater proportion of Latinos in tract 26 are handlers, etc. than the other two tracts.

Census tract 27 has the lowest English proficiency rate; tract 28 has the highest rate of employment and also the highest rate of poverty. About a quarter of the households for tracts 27 and 28 are headed by single females; tract 28 is the best educated and tract 26 has the highest income rate (see Table 10). Latinos who live in tract 27 live in older homes. One hundred percent of the houses occupied by Latinos in tracts 27 and 28 are rented. Those who live in tract 27 have the most access to a vehicle and a telephone (Table 11).

The variability in the type of low-skilled jobs occupied by Latinos by the different tracts may be a function of the type of companies in their particular areas. Latinos in Tract 28 work the most, have the highest rate of poverty, but are the most educated. It may be that those who are working are “working poor” and perhaps recent immigrants. The finding of tract 28 having the most educated Latinos is paradoxical given the high rate of poverty. Perhaps these are individuals who prefer to live in the ethnic community despite the economic conditions. Or, perhaps due to racism, they have not been able to convert their education into upward mobility in the way of higher paying types of jobs that would allow them to move out of the area.

The finding of 100% of the Latino households in tracts 27 and 28 being rentals is of interest. Rumbaut (1997:6) suggests that “home ownership is a telling indicator of economic stability and advancement.” On this basis, it seems that Latinos in the southeast sector of South Omaha are not economically stable and have not fully reaped the benefits of the “American Dream.” This may be due to discriminatory housing practices.

Conclusion

The Latino population in the Midwest has been substantially increasing and this increase is projected to continue. In Omaha, social and economic data suggest that Latinos occupy a lower strata relative to non-Latino Whites. This finding is consistent with national data (Rumbaut, 1996). South Omaha has been transformed into a Latino ethnic community and socioeconomic differences exist between census tracts within this community.

Although there have always been Latinos in Omaha, their numbers have grown to a point where they are influencing the character of the city. Latinos bring a fresh vibrancy, particularly in South Omaha. Given the opportunities available and the existence of an ethnic community, I see Omaha as continuing to be a place of destination for Latino immigrants.

References

Aponte, Robert and Marcelo E. Siles. 1994. “Latinos in the Heartland: The Browning of the Midwest.” JSRI Research Report No. 5. Julian Samora Research Institute. Michigan State University. East Lansing, Mich.

___. 1997. “Winds of Change: Latinos in the Heartland and the Nation.” JSRI Statistical Brief No. 5. Julian Samora Research Institute. Michigan State University. East Lansing, Mich.

Gouveia, Lourdes and Donald D. Stull. 1995. “Dances with Cows: Beefpacking’s Impact on Garden City, Kansas and Lexington, Nebraska” Pp. 85-107 in Anyway You Cut It: Meatpacking and Small-Town America, edited by Stull, Donald D., Michael J. Broadway, and David Griffith. Lawrence: University Press of Kansas.

___. (1997). “Latino Immigrants: Meat Packing Work and Rural Communities,” JSRI Research Report No. 26, Julian Samora Research Institute, Michigan State University, East Lansing, Mich.

Larsen, Lawrence H. and Barbara J. Cottrell. 1997. The Gate City: A History of Omaha. Lincoln: University of Nebraska Press.

Muñoz, Ed A., David A. Lopez, and Eric Stewart. 1997. “Misdemeanor Sentencing Decisions: The Cumulative Disadvantage Effects of Gringo Justice.” Paper Presented at the Annual Meeting of the American Society of Criminology. San Diego, Calif. Nov. 19, 1997.

Nebraska Department of Health. 1985. Nebraska Births 1985, Sex, Race and Plurality by Place of Residence, 1985 Vital Statistics Report. State of Nebraska: Lincoln.

___. 1986. Nebraska Births 1986, Sex, Race and Plurality by Place of Residence, 1986 Vital Statistics Report. State of Nebraska: Lincoln.

___. 1987. Births by Sex, Race and Hispanic Origin by Place of Residence Nebraska, 1987, Vital Statistics Report. State of Nebraska: Lincoln.

___. 1988. Births by Sex, Race and Hispanic Origin by Place of Residence Nebraska, 1988 Vital Statistics Report. State of Nebraska: Lincoln.

___. 1989. Births by Sex, Race and Hispanic Origin by Place of Residence Nebraska, 1989 Vital Statistics Report. State of Nebraska: Lincoln.

___. 1990. Births by Sex, Race and Hispanic Origin by Place of Residence Nebraska, 1990, Vital Statistics Report. State of Nebraska.

___. 1991. Births by Sex, Race and Hispanic Origin by Place of Residence Nebraska, 1991, Vital Statistics Report. State of Nebraska: Lincoln.

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___. 1993. Births by Sex, Race and Hispanic Origin by Place of Residence Nebraska, 1993, Vital Statistics Report. State of Nebraska: Lincoln.

___. 1994. Births by Sex, Race and Hispanic Origin by Place of Residence Nebraska, 1994, Vital Statistics Report. State of Nebraska: Lincoln.

___. 1995. Births by Sex, Race and Hispanic Origin by Place of Residence Nebraska, 1995, Vital Statistics Report. State of Nebraska: Lincoln.

___. 1996. Births by Sex, Race and Hispanic Origin by Place of Residence Nebraska, 1996, Vital Statistics Report. State of Nebraska: Lincoln.

Rochín, Refugio I. and Marcelo E. Siles. 1996. “Latinos in Nebraska: A Socio-historical Profile.” JSRI Statistical Brief No. 9. Julian Samora Research Institute. Michigan State University. East Lansing, Mich.

Rumbaut, Ruben G. 1996. “Immigrants from Latin America and the Caribbean: A Socioeconomic Profile.” Pp. 1-7 in Immigration and Ethnic Communities: A Focus on Latinos. Refugio I. Rochín (ed.) East Lansing: Julian Samora Research Institute, Michigan State University

___. 1997. “Passages to Adulthood: The Adaptation of Children of Immigrants in Southern California.” Report to the Russell Sage Foundation Board of Trustees.

Sorenson, Alfred. 1923. The Story of Omaha: From the Pioneer Days to the Present. Omaha: National Printing Company.

Towle 1911. Towle’s Indexed Maps of Omaha, South Omaha. Nebraska Historical Society: Lincoln.

U.S. Bureau of the Census. 1993. Race and Hispanic Origin, 1990 Census of Population and Housing: Population and Housing Characteristics for Census Tracts and Block Numbering Areas CPH-3-251. Washington, D.C.: U.S. Government Printing Office.

___. 1993a. Occupation, Income in 1989, and Poverty Status of Hispanic Origin Persons: 1990; Occupation, Income in 1989, and Poverty Status of White Persons: 1990 Census of Population and Housing: Population and Housing Characteristics for Census Tracts and Block Numbering Areas CPH-3-251. Washington, DC: U.S. Government Printing Office.

___. 1993b. Social and Labor Force Characteristics of Hispanic Origin Persons: 1990; Social and Labor Force Characteristics of White Persons: 1990; Occupation, Income in 1989, and Poverty Status of Hispanic Origin Persons: 1990; Occupation, Income in 1989, and Poverty Status of White Persons: 1990; General Characteristics of Hispanic Origin Persons: 1990; General Characteristics of White Persons: 1990, Census of Population and Housing: Population and Housing Characteristics for Census Tracts and Block Numbering Areas CPH-3-251. Washington, D.C.: U.S. Government Printing Office.

___. 1993c. Selected Structural Characteristics of Housing Units with an Hispanic Origin Householder: 1990; Selected Structural Characteristics of Housing Units with a White Householder, 1990 Census of Population and Housing: Population and Housing Characteristics for Census Tracts and Block Numbering Areas CPH-3-251. Washington, D.C.: U.S. Government Printing Office.

___. 1993d. Occupation, Income in 1989, and Poverty Status of Hispanic Origin Persons: 1990, Census of Population and Housing: Population and Housing Characteristics for Census Tracts and Block Numbering Areas CPH-3-251. Washington, D.C.: U.S. Government Printing Office. 1993e. Social and Labor Force Characteristics of Hispanic Origin Persons: 1990; Occupation, Income in 1989, and Poverty Status of Hispanic Origin Persons: 1990; General Characteristics of Hispanic Origin Persons: 1990, Census of Population and Housing: Population and Housing Characteristics for Census Tracts and Block Numbering Areas CPH-3-251. Washington, D.C.: U.S. Government Printing Office.

___. 1993f. Selected Structural Characteristics of Housing Units with an Hispanic Householder: 1990 Census of Population and Housing: Population and Housing Characteristics for Census Tracts and Block Numbering Areas CPH-3-251. Washington, D.C.: U.S. Government Printing Office.

___. 1994. In 1994 County and City Data Book: Summary Tape File 3C [CD-ROM]. 1990 Census of Population and Housing: Summary Tape 3C/State/County/City [1997, June 20].

___. 1998a. Projected State Population by Sex, Race, and Hispanic Origin: 1995-2025. http://www.census.gov/population/projections/state/stpjrace.txt.

___. 1986b. American Community Survey Profile-Douglas County. http://www.census.gov.

Endnotes

1 IBP, Inc., began as Iowa Beef Packers, Inc., in l961 with a single plant at Denison, Iowa. This plant was more than just a meatpacking facility, company officials claim; it represented an entirely new approach to both the mechanics and economics of producing fresh beef.




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