In today’s world, it’s easy to get caught up in the hype of black capitalism or the focus on supporting black entrepreneurship. But if we want real, sustainable progress for the black community, we need to shift the conversation. Public employment, especially in unionized roles, is the real foundation of the black middle class.
As racial justice advocates, our energy should be spent fighting for public sector jobs, not just defending corporate diversity, equity, and inclusion (DEI) initiatives aimed at boosting black-owned businesses. This is especially crucial as we see attacks on public unions and the federal workforce, which disproportionately affects black workers.
Let’s dive into why black workers need public employment and why we should focus on defending unionized government jobs rather than promoting a misguided vision of black capitalism.
The False Promise of Black Capitalism
In January, civil rights activist Al Sharpton led a protest at Costco to show support for the company’s DEI policies. These policies had been under attack by the incoming Trump administration. While it’s understandable to want to defend corporate diversity initiatives, this type of activism can be problematic, especially when we look at the broader picture.
Costco was in the midst of a contract dispute with the Teamsters union, which made the buy-in protest feel like a misplaced effort. Black activism should focus on issues that directly impact black workers, not just corporate policies that often don’t trickle down to the working class.
The emphasis on corporate diversity as the solution to racial inequality often overlooks the fact that black workers are disproportionately affected by cuts to public sector jobs. The attacks on government workers—especially those in unionized positions—are a far bigger threat to black communities than corporate DEI programs.
The Importance of Public Employment for Black Workers
The real backbone of the black middle class has always been unionized public employment, not black entrepreneurship. The public sector workforce is where the bulk of black workers are employed, and this sector offers far better pay, benefits, and job security compared to the private sector. Federal jobs especially are a significant source of stable employment for black families, providing economic opportunities that don’t rely on the whims of a business owner or the market.
Key facts:
- Black federal workers make about 25% more than their private sector counterparts.
- They have higher homeownership rates and enjoy more economic stability.
- Public sector jobs offer important protections through union representation, which is critical for black workers facing discrimination or workplace exploitation.
Unfortunately, these good union jobs are under attack, particularly under Elon Musk’s Department of Government Efficiency (DOGE), which aims to slash the federal workforce and privatise key public services. If Musk’s vision for a smaller, privatized government comes to fruition, it would devastate black communities, where so many depend on public sector employment for financial stability.
The Dangerous Trend of Trickle-Down Black Activism
The focus on supporting black businesses—like the Target boycott led by Reverend Jamal Bryant—may seem well-intentioned but misses the mark. Target’s decision to cut a $2 billion pledge to black-owned businesses led to calls for boycotts, selling stock, and demands for reparations in the form of investments in black banks and HBCUs.
However, this activism is grounded in a trickle-down economic model, which has historically failed. The idea is that supporting black business owners will somehow result in wider economic benefits for the entire black community. The reality is that most black people will never own a business, and the profits of small businesses often stay within the hands of a few owners rather than being reinvested in the community. Furthermore, not all black entrepreneurs live in predominantly black communities, so the idea that their success will uplift everyone is flawed.
Instead of black capitalism, we need to support policies that ensure better public sector jobs for the majority of black workers who rely on the federal workforce. Government programs like Social Security, Medicaid, and the Veterans Administration are crucial lifelines for black communities, and they rely on a strong, well-funded public sector.
Why Defending Public Sector Jobs Should Be the Priority
Rather than focusing on corporate diversity initiatives, advocates for racial justice should direct their resources toward defending the public sector workforce, particularly unionized jobs. These jobs have long been a cornerstone of the black middle class, providing not just better wages but essential benefits like healthcare, retirement security, and job protections.
In 1964, the Civil Rights Act helped ensure that federal employment was open to black workers, and since then, federal jobs have played a central role in helping black families climb the economic ladder. But now, under the influence of anti-union policies and growing privatization efforts, the very foundation of these opportunities is under attack.
The Case Against Black Capitalism: A Shift in Focus
It’s easy to see why the idea of black capitalism holds appeal. The notion that black business owners could drive economic empowerment is a compelling narrative. However, the reality is far more complex. Black workers in the public sector—not black entrepreneurs—are the ones who need protection right now.
- Public sector employment has historically been the most reliable way for black Americans to gain financial stability.
- The fight to protect union jobs is a fight for racial justice because it ensures that black workers are not left behind in the race for economic equality.
- Public unions are a critical tool for addressing workplace discrimination and ensuring that black workers can access fair wages and benefits.
If we allow the public workforce to shrink, we risk deepening economic inequality in the black community, while corporate DEI policies offer limited, temporary benefits at best.
Why We Can’t Do Both: Focus on the Bigger Fight
It may seem like we can support both black entrepreneurship and the protection of unionized public sector jobs. However, the resources and energy needed to counter the privatization of federal jobs are immense. Musk’s campaign to gut the public sector and undermine union rights requires immediate, focused action. The wealthy elite are deploying resources at a rapid pace, and their agenda threatens not just black workers but all working people.
To effectively fight back against this threat, we need to focus on building a broad coalition to protect union jobs, defend the public sector, and push for policies that directly improve the lives of black workers.
Photo credit: Jacobin