As Anti-DEI Legislation Increases, So Does Black Unemployment
While the overall labor market is strong and unemployment, generally speaking, is low, Black unemployment is still the highest in comparison to other racial and ethnic groups. Per the Economic Policy Institute as we look at the first quarter of 2024, here are the most recent Black unemployment rates ...
… compared to the overall national rate(s) …
Big note: Black unemployment, since the first quarter of 2023, has crept up steadily by more than 5 percent, from 5.7 percent in Q1 2023 to 6.0 percent now in Q1 2024. That’s significant and warrants both pause and further investigation.
Here’s everyone else from highest to lowest …
Still, 2023 was a strong recovery period in terms of employment and wage growth for Black workers as the Economic Policy Institute notes and shows …
The share of the population ages 25-54 with a job—the prime-age employment-to-population ratio (PA EPOP)—rose to 80.7 percent in 2023, surpassing the pre-pandemic high of 80.0 percent in 2019 and marking the highest level since 2000. Historically marginalized workers are hit harder than other workers in recessions. In tight labor markets like today’s, historically marginalized workers experience more improved labor market outcomes and faster wage growth. In fact, Black and Hispanic workers hit all-time high employment rates in 2023: The Black PA EPOP hit 77.7 percent in 2023, better than its previous high in 1999 (77.3%). The Hispanic PA EPOP reached 77.9 percent, better than its pre-pandemic high of 77.4 percent in 2019.
Here’s what wage growth looked like when comparing Black to Hispanic to White workers …
Anti-DEI Policy Increase
As Black unemployment - even in this strong labor market - rises, we see an explosion of legislative efforts against essential diversity, equity and inclusion policies (known as “DEI”) in various states and in the workplace. Could there be a correlation with rising Black unemployment? As Cecil Robinson in the Campaign for Southern Equality notes …
Since 2023, 84 bills have been filed targeting DEI initiative on public college campuses. Of those bills, 12 have been signed into law and 13 are awaiting state governors’ signatures. Anti-DEI policies differ from state to state. Some anti-DEI policies seek to defund university offices of diversity, equity, and inclusion, or prohibit the use of state funds for DEI initiatives. DEI offices and programs provide much needed resources to minority students; they are often a major source of funding and support for LGBTQ+ students groups. Other anti-DEI policies target diversity, equity, and inclusion training on college campuses for students, faculty and staff. Some policies prohibit colleges and universities from considering a student’s identity, such as their race, gender, or sexual orientation, when considering them for admission or scholarship programs.
ABC News provides a map with some explanation on impact …
As CNN reports …
After a DEI hiring spree that began in late 2020, data suggests some businesses are now in fact reversing course on their efforts.
The most recent data on hiring from the job site Indeed shared with CNN Friday illustrates a pendulum swing in postings for DEI-related roles on the site.
After a more than 29 percent uptick in job postings with DEI in the title or description between November 2020 and November 2021, the data shows a more than 23 percent decline in the amount of job postings with “DEI” in the title or description between November 2022 and November 2023.
Yet, a survey from employment and labor law firm Littler shows many mainstream companies still committed to DEI practices …
Is this really giving us a complete picture? What we are seeing overall is a slight uptick in Black unemployment over the past year that’s aligned with an uptick in successful legislative backlash to DEI efforts that are proven useful as a way to increase Black educational and economic opportunity. Advocates and impacted communities, along with policymakers on the local, state and federal level, will need to address it fast.