CRED Report criticised on jobs and pay

The Commission on Race and Ethnic Disparities Report continues to gather controversy. New research this week from the Resolution Foundation, and new work from the London School of Economics contradict the report’s optimistic picture of a closing gap in employment and pay between the various ethnic groups in the UK, leading the Independent’s Ben Chu to ask: “Is the jobs market racist?

Unemployment rates have been consistently more than double for black/African/Caribbean people in the last 20 years. The most recent figures which reflect the Covid pandemic show a spike to 14% for black people versus 4.5% for white people. Office for National Statistics (ONS) data also suggests that the unemployment rate of black people aged 16-24 has almost doubled from 24% in 2019 to 42% at the end of last year. For white people aged 16-24 the rate has increased from 10% to only 12.5%. Chu comments: “There’s really no room for doubt that black people suffered from higher unemployment rates than white people in the years before the crisis and that they were also hit much harder during the pandemic, especially the young.”

Similar disparities over pay are shown in the LSE research, which states: “It is clear there is no evidence for pay gaps being smaller for ethnic minorities now than they were 25 years ago, contrary to the impression given by the Sewell Report”. Chu concludes: “…when it comes to its analysis of the UK labour market, the unsubstantiated claims and apparent data cherry-picking of the CRED report have fatally undermined the credibility of its conclusions”.

​Read Chu’s full article here. Download the Resolution Foundation report “Uneven Steps”. Download the LSE report.

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