Black jobless rate soars to 7.5%, widening racial gap under Trump

By Al Mayadeen English
Source: Bloomberg
16 Sep 2025 15:46

Analysts say a slowing economy and steep federal job cuts are driving a sharp rise in Black unemployment, reversing years of progress in narrowing the gap.

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Job seekers listen to Logan Reed, left, a talent acquisition coordinator for Princess Cruise Line, at a job fair Thursday, August 28, 2025, in Sunrise, Fla. (AP)

Black unemployment in the United States is climbing at its fastest pace since 2020, reversing much of the progress made in narrowing the racial jobless gap over the past three years, Bloomberg reported.

The rate for Black workers has jumped 1.5% points in the past three months to 7.5%, twice that of White workers, erasing gains once touted as a hallmark of Donald Trump’s first term.

Researchers attribute the spike to two main factors. First, the broader slowdown in the labor market is following a familiar pattern, disproportionately affecting Black workers, who are often among the first to lose jobs in downturns. Second, Trump’s push to sharply reduce the federal workforce has hit Black Americans especially hard, given their strong representation in government employment.

“There are a number of ways the administration’s policies are slowing down the economy and hurting Black people in America, I would say, disproportionately hard,” Algernon Austin, director of race and economic justice at the Center for Economic and Policy Research, told Bloomberg.

“Black America is, I think, being hit first by the downturn,” Austin stressed.

Trump has long described himself as “the best president for the Black population since Abraham Lincoln.” During his first term, Black unemployment fell to 5.3% in 2019 before soaring to 16.9% amid the pandemic. Under President Joe Biden, the rate dropped to a record 4.8%. By the time Trump returned to office in January, it had climbed to 6.2%, and has since risen sharply, widening the racial gap once again.

A slowing labor market

Bloomberg notes that hiring slowed dramatically in 2025 as tariffs and a crackdown on immigration weighed on economic prospects. Employers added just 29,000 jobs per month on average in the three months through August, compared with more than 200,000 in late 2024. The White House argues that new tax cuts and mass deportations will ultimately support Black employment.

“President Trump is implementing the same America First economic agenda that delivered historic job and wage growth, including record-low Black unemployment rates, in his first term,” White House spokesperson Taylor Rogers said. She added that the “Working Families Tax Cuts” will stimulate growth through tax reform, deregulation, and private-sector job creation.

Austin disputed those claims, telling Bloomberg, “The Black unemployment rate has been increasing steadily over the past three months, so there are no positive signs from deportations there. Immigrant workers generally do not replace native-born workers. They help expand the economy and increase the number of jobs.”

Established patterns, intensified by cuts

Economist Michelle Holder of John Jay College said the current trend follows a well-documented pattern in which Black workers are hit first in downturns. What makes this episode distinct, she noted, is Trump’s aggressive downsizing of the federal workforce.

The Department of Education, once the federal agency with the highest share of Black employees, has seen its staff cut by about half, while the Department of Housing and Urban Development has also endured steep reductions.

The consequences are evident on the ground. Ashley Purnell, 37, reportedly lost her job at a nonprofit dependent on federal grants after being furloughed in April. Despite submitting about 70 applications, she has received only three rejections and no offers. “If they’re cutting all the funding, where do I go?” she told Bloomberg.

Others who have managed to secure new positions say the competition is intense. Jessica Jackson-Banks, 33, said she faced repeated rejections before finally landing a job offer last week. “I feel like the market is super saturated with individuals who are in the same boat as me,” she said. “Black women who have the same story as me, who are looking for roles and are stressed out and anxious at the lack of responses.”

Political implications

While Black voters overwhelmingly supported Kamala Harris in 2024, Trump made modest inroads, winning 15% of their support compared with 8% in 2020, according to the Pew Research Center. If dissatisfaction with his economic policies translates into higher turnout against Republicans in 2026, it could reshape key congressional races.

Trump’s trade policies are also fueling anxiety. A Federal Reserve Bank of New York survey last month showed workers giving themselves less than a 45% chance of finding a new job if laid off, the lowest reading since 2013. Rising labor force participation among Black workers is also contributing to the higher unemployment rate, as more people look for opportunities in a sluggish market.