The overall U.S. labor market is challenging for everyone right now, but Black Americans in particuclar  are facing a growing jobs crisis. 

The national unemployment rate for Black workers has risen to 7.2%, its highest point since 2021, according to the Wall Street Journal (WSJ). By contrast, the overall unemployment rate sits at 4.2%, underscoring widening disparities.

Education, often seen as a safeguard, isn’t offering protection. Even Black college graduates are struggling, with their unemployment rate nearly doubling in recent months. WSJ data shows the unemployment rate for Black college graduates 25 and older jumped from 2.7% in February to 5.3% in July, widening the gap between Black and white workers.

Economists say the slowdown is hitting sectors where Black workers are concentrated, such as entry-level roles and federal jobs. These areas, once reliable for stability, have been destabilized by recent cuts. “I am in the fight of my life now,” said Kenya Jenkins, who lost her contract position with the Department of Health and Human Services. She moved in with relatives after falling behind on $12,000 in rent.

The personal toll extends across the country. Kirsten Bradford said she has applied to hundreds of jobs after losing her nonprofit communications role in Dallas. Now, she works part-time at Bath & Body Works for $14 an hour while juggling student debt and raising her son. 

“Thinking I did everything right, thinking that every movement I made was for the future, just kind of makes me feel so angry,” she said.

Experts caution these losses may signal wider cracks in the labor market. “It’s a canary in the coal mine for what may be coming,”  said Kenneth Couch, economist at the University of Connecticut.

WCNC noted that “families are falling behind on rent, and even people with advanced degrees say they can’t find steady work.” With diversity programs being scaled back, recovery for Black workers could take even longer, labor economists warn.