Connect with us

Economics

Unemployment rate among Black Americans jumps in March

Published

on

We’re Hiring, Part-time heroes wanted, sign at entrance to Target Store, Queens, New York.

Lindsey Nicholson | Universal Images Group | Getty Images

The unemployment rate among Black Americans jumped in March, according to data released Friday by the Department of Labor.

Black unemployment rose to 6.4% last month, up from 5.6% in February. That’s higher than the overall unemployment rate, which edged lower to 3.8% last month, as well as the 3.4% jobless rate for white Americans, which held steady from February.

When accounting for gender, the unemployment rate for Black women aged 20 or older spiked to 5.6%, a big increase from the 4.4% rate in February. Black men’s jobless rates climbed slightly higher to 6.2% from 6.1%.

“That’s a concerning trend,” said Elise Gould, a senior economist at the Economic Policy Institute.

Gould pointed out that the unemployment rate for Black Americans has been steadily increasing since December. “I would say it’s not alarming yet, but I think it’s something that we really need to watch in coming months,” she added.

While March’s increase was primarily driven by the surge among Black women, Gould noted that in the past four months, the unemployment rates for both men and women has risen. However, she also cautioned that monthly data for demographic groups can be volatile by nature.

Last month, the labor force participation rate – the percentage of the population that is either employed or actively seeking work – among Black Americans inched lower to 63.6%, down from 63.7% in February.  For Black women, the rate ticked lower to 63% from 63.4%, while it inched down to 69.6% from 69.8% among Black men.

“People are looking for more opportunities, not all of them are getting them, and that’s why the unemployment rate is rising,” Gould added.

This compares to the overall U.S. labor market participation rate, which rose to 62.7% in March from February’s 62.5%.

Black Americans were the demographic group that suffered the most from Covid-induced business shutdowns. The unemployment rate for Black workers peaked at 16.8% in 2020, higher than the overall unemployment rate’s April 2020 high of 14.7%.

Hispanic Americans saw their unemployment rate drop to 4.5% from 5% last month. Similarly, Asian unemployment fell to 2.5% from 3.4% in February.

— CNBC’s Gabriel Cortes contributed to this report.

Don’t miss these stories from CNBC PRO:

Economics

Germany’s economy chief Reiche sets out roadmap to end turmoil

Published

on

09 May 2025, Bavaria, Gmund Am Tegernsee: Katherina Reiche (CDU), Federal Minister for Economic Affairs and Energy, takes part in the Ludwig Erhard Summit. Representatives from business, politics, science and the media are taking part in the three-day summit. Photo: Sven Hoppe/dpa (Photo by Sven Hoppe/picture alliance via Getty Images)

Picture Alliance | Picture Alliance | Getty Images

Germany needs to take more risks and boost its stagnant economy with a decade of investment in infrastructure, German Minister for Economic Affairs and Energy Katherina Reiche said Friday.

“The next decade will be the decade of infrastructure investments in bridges, in energy infrastructure, in storage, in maritime infrastructure… telecommunication. And for this, we need speed. We need speed and investments, and we need private capital,” Reiche told CNBC’s Annette Weisbach on the sidelines of the Tegernsee summit.

While 10% of investments could be taken care of with public money, the remaining 90% relied on the private sector, she said.

The newly minted economy minister also addressed regulation coming from Brussels, warning that it could hinder companies from investments and start-ups from growing if it is too restrictive. Germany has had to learn that investments comes with risks “and we have to kind of be open for taking more risks,” she said.

Watch CNBC's full interview with German Economy Minister Katherina Reiche

“This country needs an economic turnaround. After two years of recessions the previous government had to announce again [a] zero growth year for 2025 and we really have to work on this. So on the top of the agenda is an investor booster,” the minister added.

Lowering energy prices, stabilizing the security of energy supply and reducing bureaucracy were among the key points on the agenda, Reiche said.

Germany’s economy contracted slightly on an annual basis in both 2023 and 2024 and the quarterly gross domestic product has been flipping between growth and contraction for over two years now, just about managing to avoid a technical recession. Preliminary data for the first quarter of 2025 showed a 0.2% expansion.

Forecasts do not suggest much of a reprieve from the sluggishness, with the now former German government last month saying it still expects the economy to stagnate this year.

This is despite a major fiscal U-turn announced earlier this year, which included changes to the country’s long-standing debt rules to allow for additional defense spending and a 500-billion-euro ($562.4 billion) infrastructure package.

Several of Germany’s key industries are under pressure. The auto industry for example is dealing with stark competition from China and now faces tariffs, while issues in housebuilding and infrastructure have been linked to higher costs and bureaucratic hurdles.

Trade is also a key pillar for the German economy and therefore uncertainty from U.S. President Donald Trump’s changing tariff policies are weighing heavily on the outlook.

Continue Reading

Economics

Andrew Bailey on why UK-U.S. trade deal won’t end uncertainty

Published

on

Bank of England Governor Andrew Bailey attends the central bank’s Monetary Policy Report press conference at the Bank of England, in the City of London, on May 8, 2025.

Carlos Jasso | Afp | Getty Images

Bank of England Governor Andrew Bailey told CNBC on Thursday that the U.K. was heading for more economic uncertainty, despite the country being the first to strike a trade agreement with the U.S. under President Donald Trump’s controversial tariff regime.

“The tariff and trade situation has injected more uncertainty into the situation… There’s more uncertainty now than there was in the past,” Bailey told CNBC in an interview.

“A U.K.-U.S. trade agreement is very welcome in that sense, very welcome. But the U.K. is a very open economy,” he continued.

That means that the impact from tariffs on the U.K. economy comes not just from its own trade relationship with Washington, but also from those of the U.S. and the rest of the world, he said.

“I hope that what we’re seeing on the U.K.-U.S. trade side will be the first of many, and it will be repeated by a whole series of trade agreements, but we have to see that happen of course, and where it actually ends up.”

“Because, of course, we are looking at tariff levels that are probably higher than they were beforehand.”

Trump unveils United Kingdom trade deal, first since ‘reciprocal’ tariff pause

In Bank of England’s Monetary Policy Report released Thursday, the word “uncertainty” was used 41 times across its 97 pages, up from 36 times in February, according to a CNBC tally.

The U.K. central bank cut interest rates by a quarter percentage point on Thursday, taking its key rate to 4.25%. The decision was highly divided among the seven members of its Monetary Policy Committee, with five voting for the 25 basis point cut, two voting to hold rates and two voting to reduce by a larger 50 basis points.

Bailey said that while some analysts had perceived the rate decision as more hawkish than expected — in other words, leaning toward holding rates elevated than slashing them rapidly — he was not surprised by the close vote.

“What it reflects is that there are two sides, there are risks on both sides here,” he told CNBC.

“We could get a much more severe weakness of demand than we were expecting, that could then pass through to a weaker outlook for inflation than we were expecting.”

“There’s a risk on the other side that we could get some combination of more persistence in the inflation effects that are gradually working their way through the system,” such as in wages and energy, while “supply capacity in the economy is weaker,” he said.

Continue Reading

Economics

Trump knocks down a controversial pillar of civil-rights law

Published

on

IN THE DELUGE of 145 executive orders issued by President Donald Trump (on subjects as disparate as “Restoring American Seafood Competitiveness” and “Maintaining Acceptable Water Pressure in Showerheads”) it can be difficult to discern which are truly consequential. But one of them, signed on April 23rd under the bland headline “Restoring Equality of Opportunity and Meritocracy”, aims to remake civil-rights law. Those primed to distrust Mr Trump on such matters may be surprised to learn that the president’s target is not just important but also well-chosen.

Continue Reading

Trending