Business

Black Business Owners Concerned as Groups Step Up Attacks on Diversity

When the BeyGOOD foundation, led by Beyoncé Knowles-Carter, awarded Compton-based entrepreneur Veronica Clanton-Higgins $10,000 in August, the 46-year-old businesswoman says she felt empowered and recognized. Clanton, whose company, VCH Prosperity Consulting provides mental health consulting and socio-emotional wellness services to businesses and organizations, was one of 12 winners in the Los Angeles area who were awarded grants.

Published

7 months ago

October 3, 2023

Oakland Post

Beyoncé's BeyGOOD Foundation Awarded 12 Local BIPOC Businesses at the Black Parade Route Small Business Impact Luncheon during the RENAISSANCE World Tour Stop in Los Angeles. CBM photo by Lila Brown.

By Lila Brown
California Black Media

Clanton, whose company, VCH Prosperity Consulting provides mental health consulting and socio-emotional wellness services to businesses and organizations, was one of 12 winners in the Los Angeles area who were awarded grants.

Clanton is among hundreds of Black individuals and businesses who have benefitted from corporate Diversity, Equity and Inclusion (DEI) initiatives designed to empower African Americans.

These initiatives have gained momentum since companies intensified their commitment to addressing systemic racism and historical inequities in the wake of the tragic death of George Floyd and the subsequent protests that erupted nationwide.

However, if certain conservative groups opposed to DEI initiatives get their way, it would be illegal for companies to specifically allocate funding to Black individuals or Black-owned businesses.

The U.S. Supreme Court’s June decision banning affirmative action in college admissions could potentially pose a risk to corporate affirmative action programs.

Edward Blum, a conservative political strategist whose organization, The Project for Fair Representation, was instrumental in the lawsuits that ended the consideration of race in college admissions.

He is now suing the Fearless Fund, an Atlanta-based venture capital fund that supports Black women businessowners with $20,000, accusing it of unlawful racial discrimination.

The nonprofit American Alliance for Equal Rights, also established by Blum, claimed in its federal lawsuit, that the Fearless Fund is violating Section 1981 of the Civil Rights Act of 1866, a U.S. law barring racial bias in private business.

Clanton told California Black Media (CBM) she wants to improve the lives of people in her community.

“I will use the grant funding for general operations expenses, to provide programming such as a hygiene drive for youth at a local high school along with day of wellness events and workshops,” she said.

As Beyoncé’s Renaissance World Tour makes its way around the globe, the BeyGOOD Foundation supports small businesses affected by the global pandemic through a charitable initiative known as the Black Parade Route.

At each tour stop, the foundation hosts business impact luncheons where grant recipients are awarded $10,000 to support their business ventures, most of which are financially disadvantaged.

Both Goldman Sachs and the Fearless Fund are partners with BeyGOOD, which also counts major corporations as sponsors including Adidas, Mastercard, Grameen America, Cisco, Live Nation along with the National Minority Supplier Development Council (NMSDC), an organization that certifies companies as Minority Business Enterprises.

Last week, the Fearless Fund issued a 914-page response to the lawsuit, asserting that the case is baseless; that the plaintiff does not have the right to sue; and that supporting Black women does not harm others, among other claims.

NMSDC’s CEO Ying McGuire issued a statement on the ruling which she said will have significant generational impacts on the business community, particularly for supplier diversity and business diversity programs.

“I am deeply concerned about the ramifications of this decision which poses a direct threat to minority-owned businesses and their economic prosperity,” she said.

In July, the attorney generals of 13 states penned a letter to the CEOs of Fortune 100 companies warning them to “refrain from discriminating on the basis of race.”

“Racial discrimination in employment and contracting is all too common among Fortune 100 companies and other large businesses,” the letter reads. “In an inversion of odious discriminatory practices of the distant past, today’s major companies adopt explicitly race-based initiatives which are similarly illegal.”

Corporate social responsibility programs like the Black Parade Route, J.P. Morgan Chase’s Advancing Black Wealth Tour, and Goldman Sach’s One Million Black Women specifically focus on empowering Black entrepreneurs.

Other corporations have launched Diversity Equity and Inclusion (DEI) programs that aim to increase the representation of Blacks and other minorities at all levels of their corporate structures, while others have focused on Supplier Diversity Programs in procurement.

The J.P. Morgan Chase’s Black Wealth Tour was also established in response to the national reckoning that followed the death of George Floyd. The roadshow is part of a broader initiative that promotes equity and inclusion for the Black community.

This year’s tour features Golden State Warriors star and four-time NBA champion Stephen Curry.

At the Oakland stop in August, Curry shared his experience as a venture capitalist with over 300 attendees.

“Generational wealth is about possibilities and about rectifying 400 years of disadvantages since the system was designed to disadvantage Black people around the country,” Curry said.

Although Proposition 209, enacted in California in 1996, prohibited the consideration of race in college admissions and state contracting, advocates say DEI programs still benefit Black businesses in the state.

“I am not surprised by these attacks on diversity. America is in denial about our history – our treatment of minorities, especially Blacks,” said Jay King, president and CEO of the California Black Chamber of Commerce. “We have to come together as Americans of all races and fight for the humanity of each other or we are doomed. That is how we live up to our desire to fix historical wrongs and be truly inclusive.”

Earlier this year, there was a sudden exodus of Black women executives in Hollywood leading DEI initiatives, including Karen Horne, senior vice president of North America DEI at Warner Bros. Discovery; Jeanell English, executive vice president of impact and inclusion at the Academy of Motion Pictures Arts and Sciences; Vernā Myers, Netflix’s first head of inclusion; and LaTondra Newton, Disney’s chief diversity officer and senior vice president.

Additionally, Terra Potts, executive VP of worldwide marketing at Warner Bros., left the studio after 13 years.

Launching her National “Fight for Our Freedoms” College Tour at Hampton University last week, Vice President Kamala Harris characterized those opposing DEI initiatives as “extreme.”

“If we want equal outcomes, we must take into account that not everyone starts out on the same base,” noted Harris.

Antonio Ray Harvey contributed to this article.

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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

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16 hours ago

April 26, 2024

Oakland Post

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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

6 days 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.”

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Business

Black Business Summit Focuses on Equity, Access and Data

The California African American Chamber of Commerce hosted its second annual “State of the California African American Economy Summit,” with the aim of bolstering Black economic influence through education and fellowship. Held Jan. 24 to Jan. 25 at the Westin Los Angeles Airport Hotel, the convention brought together some of the most influential Black business leaders, policy makers and economic thinkers in the state. The discussions focused on a wide range of economic topics pertinent to California’s African American business community, including policy, government contracts, and equity, and more.

Published

6 days ago

April 20, 2024

Oakland Post

Toks Omishakin, Secretary of the California State Transportation Agency (CALSTA), answers questions from concerned entrepreneurs frustrated with a lack of follow-up from the state. January 24, 2024 at the Westin Los Angeles Airport Hotel, Lost Angeles, Calif. Photo by Solomon O. Smith

By Solomon O. Smith, California Black Media

The California African American Chamber of Commerce hosted its second annual “State of the California African American Economy Summit,” with the aim of bolstering Black economic influence through education and fellowship.

Held Jan. 24 to Jan. 25 at the Westin Los Angeles Airport Hotel, the convention brought together some of the most influential Black business leaders, policy makers and economic thinkers in the state. The discussions focused on a wide range of economic topics pertinent to California’s African American business community, including policy, government contracts, and equity, and more.

Toks Omishakin, Secretary of the California State Transportation Agency (CALSTA) was a guest at the event. He told attendees about his department’s efforts to increase access for Black business owners.

“One thing I’m taking away from this for sure is we’re going to have to do a better job of connecting through your chambers of all these opportunities of billions of dollars that are coming down the pike. I’m honestly disappointed that people don’t know, so we’ll do better,” said Omishakin.

Lueathel Seawood, the president of the African American Chamber of Commerce of San Joaquin County, expressed frustration with obtaining federal contracts for small businesses, and completing the process. She observed that once a small business was certified as DBE, a Disadvantaged Business Enterprises, there was little help getting to the next step.

Omishakin admitted there is more work to be done to help them complete the process and include them in upcoming projects. However, the high-speed rail system expansion by the California High-Speed Rail Authority has set a goal of 30% participation from small businesses — only 10 percent is set aside for DBE.

The importance of Diversity, Equity and Inclusion (DEI) in economics was reinforced during the “State of the California Economy” talk led by author and economist Julianne Malveaux, and Anthony Asadullah Samad, Executive Director of the Mervyn Dymally African American Political and Economic Institute (MDAAPEI) at California State University, Dominguez Hills.

Assaults on DEI disproportionately affect women of color and Black women, according to Malveaux. When asked what role the loss of DEI might serve in economics, she suggested a more sinister purpose.

“The genesis of all this is anti-blackness. So, your question about how this fits into the economy is economic exclusion, that essentially has been promoted as public policy,” said Malveaux.

The most anticipated speaker at the event was Janice Bryant Howroyd known affectionately to her peers as “JBH.” She is one of the first Black women to run and own a multi-billion-dollar company. Her company ActOne Group, is one of the largest, and most recognized, hiring, staffing and human resources firms in the world. She is the author of “Acting Up” and has a profile on Forbes.

Chairman of the board of directors of the California African American Chamber of Commerce, Timothy Alan Simon, a lawyer and the first Black Appointments Secretary in the Office of the Governor of California, moderated. They discussed the state of Black entrepreneurship in the country and Howroyd gave advice to other business owners.

“We look to inspire and educate,” said Howroyd. “Inspiration is great but when I’ve got people’s attention, I want to teach them something.”