UCLA Report: Deepening Economic Instability

By Bo Tefu
California Black Media
Black Californians saw a sharp rise in unemployment and worsening job stability between 2024 and 2025, according to a May 2026 report from the UCLA Ralph J. Bunche Center for African American Studies’ Black Policy Project. The report links the shift to federal funding rollbacks, public sector job losses, reduced diversity, equity, and inclusion programs, and a broader economic slowdown.
Using Current Population Survey data, the analysis found Black unemployment increased from 5.6% in 2024 to 7.5% in 2025. That marked the largest one-year increase among racial and ethnic groups in California. That downturn left Black workers facing double the unemployment rate of White Californians by the end of the reporting period.
The report shows the impact was not evenly distributed. Black women experienced a steep rise in unemployment, from 3.5% to 7.1%. College-educated Black women saw one of the most dramatic increases, with unemployment rising from 2.7% to 8.5%. Black men also remained under pressure, with unemployment holding at elevated levels, including 15.9% among those without a high school diploma.
Overall employment levels changed only slightly, but the report said those numbers masked deeper shifts in job quality. Black women’s employment rate fell by about 6 percentage points, while Black men’s employment rose by about 5 percentage points, driven in part by increased part-time work rather than stable full-time positions with benefits.
A key concern in the report is the rise in involuntary part-time work. Among Black Californians, it increased from 39% to 49%, the largest jump of any group. College-educated Black men saw particularly sharp growth in involuntary part-time employment, rising by nearly 30 percentage points.
The study also found declines in public sector employment, long a key source of stable jobs for Black workers. Black Californians’ share of state government jobs fell by nearly 2 percentage points, while municipal employment dropped by nearly 3 points. Researchers pointed to funding cuts and reductions in DEI-related roles as contributing factors.
Institutional disconnection, defined as not being employed or enrolled in school, also rose by 3 percentage points, with the steepest increases among Black women and prime-age adults.
The report concludes that these trends reflect structural changes in California’s labor market and recommends stronger labor protections, expanded workforce programs, and sustained investment in education and Black-led economic initiatives.














