Gap in US black and white unemployment rates is widest in 5 years

Published Jul 2, 2020

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The gap between the US unemployment

rates for blacks and whites widened further in June, to its

largest in five years, underscoring the uneven nature of the

nascent recovery from historic job losses triggered by the

coronavirus pandemic.

Jobless rates for both groups fell in June, but the rate for

whites came down at a much faster rate. The white unemployment

rate fell 2.3 percentage points to 10.1% from 12.4%, while the

rate for blacks dropped 1.4 points to 15.4% from 16.8%.

At 5.3 percentage points, the gap is now the widest since

May 2015 and exposes an important economic component of racial

inequality at a pivotal moment in US race relations. In recent

weeks, the country has witnessed protests over police brutality

against African Americans, particularly black men.

The coronavirus pandemic brought an abrupt end to the record-long US economic expansion just as it was creating better job opportunities for black workers and other minorities. Job losses fell hardest on women and workers of colour.

The overall drop in the black unemployment rate in June was

driven by a rise in the number of women returning to work as

bars, restaurants and retail stores re-opened, reversing some

job losses they suffered in March and April.

The unemployment rate for black men rose in June to 16.3%,

the highest level since the fall of 2011, from 15.5% in May. In

contrast, the unemployment rate for black women dropped to 14%

from 16.5% in May.

The widening spread between racial group jobless rates in

the last two months has undone years of gains that slowly

narrowed the gap in unemployment rates between blacks and

whites.

Last August, the unemployment rate for black workers dropped

to a record low of 5.4% and the gap between black and white

workers narrowed to 2 points, the narrowest since the Labor

Department retooled its measurement of employment by race in

1972.

Black workers now have the highest unemployment rate

compared to other racial or ethnic groups. The unemployment rate

for Hispanic workers dropped to 14.5% in June from 17.6% in May.

The unemployment rate for Asian workers dropped to 13.8% from

15%.

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