Black Workers Making Progress in the Workplace, but Challenges Remain

Brooklyn Tea
Photo Courtesy: Brooklyn Tea

Looking at the state of Black employment in America tells a mixed story: Much progress has been made in the age of Covid and beyond, but much is left to be done.

In the nearly four years that have passed since the pandemic upended the U.S. economy, the advancement for Black people has been unmistakable. An increase in earnings, a decrease in unemployment rates, and a greater focus on inequality in the workplace have all contributed to a feeling of optimism. However, there are still racial discrepancies that need to be addressed, particularly in high-end tech professions.

Encouraging Numbers

From a pay standpoint, the numbers are encouraging. For Black workers, weekly before-tax earnings have risen 24.8% since the first quarter of 2020. This increase surpasses that of white and Hispanic workers. The unemployment rate for Black workers in January was 5.3%, up slightly from December but still near the all-time low of 4.8% hit in April 2023. While progress has been made, the unemployment rate for white people remains significantly lower at 3.4%.

“This recovery really stretched the limits of what policymakers thought was possible for Black workers,” said Jessica Fulton, interim president at the Joint Center for Political and Economic Studies. “We were in a situation where folks accepted that Black unemployment was going to always be high and there was nothing that they could do about it. So I think this is an opportunity to continue to push the limits of what’s possible.”

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Focus on Tech

One area where significant discrepancies exist for underrepresented groups is technology. According to a McKinsey & Co. study, Black people hold just 8% of all tech jobs and a mere 3% of executive positions, despite making up 12% of the labor force. Efforts to address this disparity have faced challenges, including a backlash against diversity, equity, and inclusion initiatives.

Companies that prioritize diversity and build diverse teams benefit in the long run. Diversity brings different perspectives, improves decision-making, and helps address data bias. However, there is still work to be done to combat racial discrimination and promote diversity in the tech industry.

The Small Business View

Sometimes the answers to improving diversity and inclusion are found closer to home. Small businesses like Brooklyn Tea, co-owned by Ali and Jamila Wright, focus on hiring underrepresented groups who have various employment needs. By creating opportunities for actors in between shows or other workers who have been laid off, Brooklyn Tea is able to build a diverse workforce.

The surge in Black-owned businesses in recent years has been significant, with the fastest growth in 30 years. However, progress can be fragile, especially in the face of growing hostility towards diversity, equity, and inclusion initiatives. It is essential to continue working towards a more equitable future while navigating the challenges that arise.

“I think history has taught us that nothing, when it comes to race in America, blows over quickly,” said Jamila Wright. “So it’s just us trying to figure out how to be savvy in situations where we shouldn’t have to be savvy. That has been something that we have to become equipped to do.”

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Autumn Cox
Photo Courtesy: Autumn Cox

As progress continues to be made, it is crucial to address the remaining challenges faced by Black workers in the workplace. By promoting diversity, combating racial discrimination, and providing equal opportunities, the path towards an inclusive and equitable workforce can be forged.

Business Today