Covert Mechanisms in Economic institutions
We all recall the days
when overt racial discrimination characterized access and progress within
economic institutions. These obvious, observable, and easily
documented practices limited hiring and promotions to select groups while
denying such to others. Targeting marginalized groups was
codified into laws and baked into institutional policies and
procedures. These laws, practices, and policies were the most
obvious and easiest racism to spot and document. They
were deliberate acts of discrimination affecting racial
groups. Multiple examples of overt racism exist, including hateful
speech, derogatory remarks, insults, intimidation, and
terrorism. The objective of overt racism is to channel racialized
groups into career paths, typically at the lowest, most hazardous, dirty, and
least skilled occupations. These positions, often characterized as
the most precarious, are the last hired and first fired during times of
institutional distress. Presumptions of both worthiness and
appropriateness are explicitly associated with biologically determined racial
identities and groups. In the workplace, overt racism accounted for
all the top positions that white, elite males filled. For
marginalized people of color, this means unequal pay, lack of promotions, lower
wages, and more insecurity in employment. Several racial slurs come
to mind, such as If you’re White, you’re right. If you’re Black, you
gotta step back.” If you’re Brown, you gotta look down. “
Or “The only good Injun is a dead Injun.” Through these practices and policies,
the laws such as the Title VII of the Civil Rights Act of 1964, Affirmative
Action, and the Civil Rights act of 1991 provide monetary damages for instances
where employment discrimination was intentional or overt. Also
prohibited was discrimination against individuals with gender (Title VII), age
(age discrimination in Employment Act of 1967), and disabilities (Americans
with Disabilities Act of 1990).
The unfortunate reality
is that overt forms of discrimination are not a thing of the
past. Consider Ron Law’s story. While walking into his breakroom at
work, Ron Law found a noose hanging from the ceiling. He, and other
Black employers working at the Austal USA shipyard, reported finding eight
nooses on the job. They join countless other employees of color who
cite racist graffiti regularly appearing in men’s restrooms. Images
of hanging men, threats targeting specific employees, and references to the Ku
Klux Klan are written inside bathroom stalls, mirrors, and
walls. Law, who worked to build ships for the United States Navy,
also reported hearing a White supervisor referring to Black employees as
“monkeys.” Law and 18 other employees of color took their case to
the U.S. Employment Opportunity Commission, the agency investigating workers’
job discrimination complaints. Eight years later, their case was
still unresolved, so they took it to court, where they succeeded. Of
the thousands of racially discriminatory claims, only 15 percent receive any
resolution or compensation. (Animashaun 2019)
Most discrimination that
takes place in economic institutions is not overt but covert. Most employment opportunities are not advertised in the job market, as personal networks
(among both employers and employees) are utilized to fill open positions
(Dickler 2009; Kaufman 2011). Research has consistently demonstrated that candidates with ethnic-sounding first names, even among
European migrants, such as Irish, Italian, German, and Polish, with “American
sounding names” were more likely to have higher occupational
mobility. The only European group to benefit from
non-American-sounding names were Russian Jews. (Goldstein and
Stecklov 2016) These patterns are not exclusive to the U.S. but include other
English-speaking countries like the U.K. and Canada. Those candidates
with recognizably “white” or English-sounding names got more job opportunities
than those who did not. Further, new research coming out of Canada
demonstrates that among equally qualified applicants, those with “Asian” names
-those perceived as originating in Pakistan, India, or China - were 28 percent
less likely to receive an interview than those applicants with white or “Anglo”
sounding names. (Banarjee, Reitz, and Oreopoulos 2017) These
differences existed even when all candidates were educated and employed in
Canada. This is, although current research demonstrates in a wide
range of industries in Canada, Latin America, the United Kingdom, and the
United States that those companies with more diverse workforces perform better
financially. (Hunt, Layton, and Prince, 2015) In a massive study,
researchers completed more than 83,000 applications across 108 of the largest
U.S. employers. Those applicants with Black names had a reduced
probability of employer contact by 2.1 percentage points compared to
White-sounding names. The contact bias was highly concentrated, with
those firms in the top quintile of racial discrimination accounting for nearly
half of the racial gap. (Kline, Rose, and Walters, 2022)
These factors start
early, as Black and Latinx youth are at a much higher risk of not getting job opportunities. Youth employment
among these groups demonstrates that disparities in outcomes lead to stagnated socioeconomic
mobility throughout their lives. Black,
Hispanic, and Asian youth are employed at significantly lower rates than White
youths. And even if Black and Hispanic
youth were employed, they were paid less than their White peers. (Spievack 2019)
Employees of color also
experience more burnout as they deal with covert forms of racism, exclusion,
and marginalization. These can take the
form of covert verbal, behavioral, and environmental attacks on their physical
appearance, work ethics, and integrity and are at the heart of dissatisfaction and
job turnover. Research consistently
shows that covert racism in the workplace means that employees of
color are constantly discussing and venting their racial frustrations with
coworkers, mentally preparing to deal with anticipated racial offenses. A 2022
study highlights how three common forms of covert racism impact job dissatisfaction
and burnout. These common forms are 1) constantly
dealing with anti-Black stereotypes, especially relating to either intelligence
or social skills; 2) racialized assignments that typify lower status or more
work intensive (physically and mentally); and 3) interactional justice, where Black
employees confront a hostile work environment essentially. The result is creating a racially
hostile work environment where Blacks are treated as second-class citizens or, in many ways, treated with contempt. The cumulative effects of this are both
burnout and lower job satisfaction. (King et al., 2022)
Another covert mechanism
operant in work settings has to do with social isolation. A recent Cigna Work survey highlights how 37
percent of Hispanics and 3 percent of African American workers, compared to 25 percent
of White workers, are more likely to feel isolated, lonely, or abandoned. These feelings of alienation are more likely
to be associated with stressful work pressures. (Hunter-Gadsen 2020)
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