NORFOLK, Va. — Local economists are raising concern about rising unemployment rates that are disproportionately affecting Black workers across the country and here in Hampton Roads, with potential ripple effects throughout the regional economy.
"When we talk about unemployment its not just a jobs issue. Its an economic issue for the entire region," said Bebonchu Atems, Dean of the School of Business at Norfolk State University.
The data discussed in the article is from August 2025, due to the recent government shutdown new information has not been released.
Black workers are experiencing unemployment at 7.5%, the highest rate since the pandemic. This figure is double the unemployment rate for white workers, which stands at 3.7%.
Atems explained that the disparity extends beyond individual communities and could signal broader economic challenges ahead.
"It's not just a Black issue, because if it erodes consumer demand. Then that impacts the tax base. It impacts municipal revenue. It impacts social service burdens. And so everyone will feel it," Atems said.
In Hampton Roads, many Black workers hold positions in hospitality, retail, the private sector and entry-level roles. These jobs are typically the first to be eliminated when economic conditions deteriorate.
The unemployment gap creates additional long-term concerns for the region's economic health and competitiveness.
"These disparities in unemployment go on and reduce economic mobility which is something as a community we really care about. It'll exacerbate income inequality. And here is something a whole lot of people don't talk about that there will be a risk of brain drain in other words we could see talent leaving the region," Atems said.
The ongoing government shutdown adds another layer of uncertainty to the economic outlook, with no resolution currently in sight.
"And so with the government being shut down that's impacting salaries, impacting spending and impacting the overall economy," Atems said.
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