Bay Area

Higher Black Unemployment in California Distorts Rosy Picture of Job Recovery

A sharp drop in the national unemployment rate for all Americans — down to 3.6% in February — brings the number of people without jobs across the United States to just one tenth of a point above the pre-pandemic level of 3.5% (February 2020), according to data compiled by the Bureau of Labor Statistics at the U.S. Department of Labor

Published

2 years ago

April 19, 2022

Oakland Post

Cecilia Rouse is chair of President Biden’s Council of Economic Advisers. Commons Wikipedia.org photo.

By Aldon Thomas Stiles, California Black Media

Officials in Sacramento and Washington frequently point to the low unemployment rate in the state and around the country as proof that the U.S. economy has recovered from the downturn experienced during the global COVID-19 crisis.

But the total unemployment rate for Black Californians seems stuck at almost three times higher than the national rate — despite steady increases in overall hiring of African Americans in the state.

In February alone, the U.S. economy added a remarkable 431,000 jobs, bringing the number of jobs created since 2021 to 7.9 million.

Cecilia Rouse, chair of the President’s Council of Economic Advisers, told California Black Media that the nation’s Black unemployment rate has drastically decreased since the pandemic related recession.

“At the height of this pandemic, the unemployment rate for Black people was 16.8% and from what we saw this month, it is down to 6.2%,” she said.

Overall, unemployment in California is also down from a pinnacle in 2020 during the peak of the pandemic. The state’s seasonally adjusted unemployment rate declined 10.5 percentage points from April 2020 to February 2022, from 15.9% to 5.4%.

According to the California Employment Development Department (EDD), the state’s economy has added 2,405,900 non-farm jobs, “in effect, recovering 87.2% of the non-farm jobs it lost during the COVID-19 recession.”

Although Black unemployment in California has seen a decrease during the recovery period as well, it has not dropped to pre-pandemic levels, according to state officials.

Black unemployment was hovering at around 10% for the fourth quarter of 2021, according to the U.S. Department of Labor. At that time, California’s overall unemployment rate was 7.5%, about two points higher than it was for February.

Although the unemployment rate for Black Californians is higher than the state rate, it continues to move downward.

From April 2020 to February 2022, California increased its number of Black workers by 59,000, going from 1,009,000 in April 2020 to 1,068,000 in February 2022.

Before the COVID-19 recession from February 2020 to April 2020, there were 1,133,000 employed Black workers in California, according to the EDD.

Over the course of the COVID-19 recession, the state lost 2,758,900 non-farm jobs and the unemployment rate rose from 4.1% in February 2020 to 15.9% only two months later. Over this time period, the unemployment rate for California’s Black workers rose 8.2 percentage points.

Across the country, the unemployment rate for African Americans is also decreasing, dropping from 9.5% in March 2021 to 6.2% in March 2022, according to the U.S. Labor Department.

“What we’ve seen is tremendous improvement in the labor market status for Black Americans, Black workers,” Rouse says, attributing the improving numbers to the American Rescue Plan, the Biden administration’s pandemic recovery initiative.

“It provided the resources to help us get through this pandemic,” said Rouse. “The management of the pandemic is fundamental and so integral to this strong labor market recovery that we’re seeing.”

Since 2021, growth in employment for Black Californians has been significant in three industries: Transportation and utilities, services, and the leisure and hospitality industries.

According to the EDD, there has been an increase of over 50,000 Black employed workers in the transportation and utilities industry, over 14,100 in other services, and over 13,700 in the leisure and hospitality industry.

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Oakland Post: Week of April 24 – 30, 2024

The printed Weekly Edition of the Oakland Post: Week of April 24 – 30, 2024

Published

3 days ago

April 26, 2024

Oakland Post

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Alameda County

DA Pamela Price Stands by Mom Who Lost Son to Gun Violence in Oakland

Last week, The Post published a photo showing Alameda County District Attorney Pamela Price with Carol Jones, whose son, Patrick DeMarco Scott, was gunned down by an unknown assailant in 2018.

Published

6 days ago

April 22, 2024

Oakland Post

District Attorney Pamela Price with Carol Jones

Publisher’s note: Last week, The Post published a photo showing Alameda County District Attorney Pamela Price with Carol Jones, whose son, Patrick DeMarco Scott, was gunned down by an unknown assailant in 2018. The photo was too small for readers to see where the women were and what they were doing. Here we show Price and Jones as they complete a walk in memory of Scott. For more information and to contribute, please contact Carol Jones at 510-978-5517 at morefoundation.help@gmail.com. Courtesy photo.

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Bay Area

State Controller Malia Cohen Keynote Speaker at S.F. Wealth Conference

California State Controller Malia Cohen delivered the keynote speech to over 50 business women at the Black Wealth Brunch held on March 28 at the War Memorial and Performing Arts Center at 301 Van Ness Ave. in San Francisco. The Enterprising Women Networking SF Chapter of the American Business Women’s Association (ABWA) hosted the Green Room event to launch its platform designed to close the racial wealth gap in Black and Brown communities.

Published

1 week ago

April 20, 2024

Oakland Post

American Business Women’s Association Vice President Velma Landers, left, with California State Controller Malia Cohen (center), and ABWA President LaRonda Smith at the Enterprising Women Networking SF Chapter of the ABWA at the Black Wealth Brunch.

By Carla Thomas

The Enterprising Women Networking SF Chapter of the American Business Women’s Association (ABWA) hosted the Green Room event to launch its platform designed to close the racial wealth gap in Black and Brown communities.

“Our goal is to educate Black and Brown families in the masses about financial wellness, wealth building, and how to protect and preserve wealth,” said ABWA San Francisco Chapter President LaRonda Smith.

ABWA’s mission is to bring together businesswomen of diverse occupations and provide opportunities for them to help themselves and others grow personally and professionally through leadership, education, networking support, and national recognition.

“This day is about recognizing influential women, hearing from an accomplished woman as our keynote speaker and allowing women to come together as powerful people,” said ABWA SF Chapter Vice President Velma Landers.

More than 60 attendees dined on the culinary delights of Chef Sharon Lee of The Spot catering, which included a full soul food brunch of skewered shrimp, chicken, blackened salmon, and mac and cheese.

Cohen discussed the many economic disparities women and people of color face. From pay equity to financial literacy, Cohen shared not only statistics, but was excited about a new solution in motion which entailed partnering with Californians for Financial Education.

“I want everyone to reach their full potential,” she said. “Just a few weeks ago in Sacramento, I partnered with an organization, Californians for Financial Education.

“We gathered 990 signatures and submitted it to the [California] Secretary of State to get an initiative on the ballot that guarantees personal finance courses for every public school kid in the state of California.

“Every California student deserves an equal opportunity to learn about filing taxes, interest rates, budgets, and understanding the impact of credit scores. The way we begin to do that is to teach it,” Cohen said.

By equipping students with information, Cohen hopes to close the financial wealth gap, and give everyone an opportunity to reach their full financial potential. “They have to first be equipped with the information and education is the key. Then all we need are opportunities to step into spaces and places of power.”

Cohen went on to share that in her own upbringing, she was not guided on financial principles that could jump start her finances. “Communities of color don’t have the same information and I don’t know about you, but I did not grow up listening to my parents discussing their assets, their investments, and diversifying their portfolio. This is the kind of nomenclature and language we are trying to introduce to our future generations so we can pivot from a life of poverty so we can pivot away and never return to poverty.”

Cohen urged audience members to pass the initiative on the November 2024 ballot.

“When we come together as women, uplift women, and support women, we all win. By networking and learning together, we can continue to build generational wealth,” said Landers. “Passing a powerful initiative will ensure the next generation of California students will be empowered to make more informed financial decisions, decisions that will last them a lifetime.”