Pervasive Racial and Ethnic Disparities in the U.S. Petrochemical Workforce

Abstract

The burden of petrochemical pollution on communities of Color is well established, but the corresponding distribution of economic benefits is unclear. We evaluated employment equity in chemical manufacturing (NAICS 325) and petroleum/coal products manufacturing (NAICS 324) among U.S. states and core-based statistical areas (CBSAs) relative to racial education gaps, using data from the Equal Employment Opportunity Commission and Census Bureau. As a case study, we also examined local-level employment disparities and industrial tax incentives in Louisiana. People of Color were consistently underrepresented among the highest-paying jobs and overrepresented among the lowest-paying jobs in both subsectors. Disparities persisted on a local scale, including in Louisiana parishes providing large tax subsidies for job creation. For both subsectors, the strongest predictor of disparities in better-paying jobs was population diversity. Education gaps were not significantly correlated with observed disparities in either subsector. Collectively, our findings reveal systemic inequality in the United States’ petrochemical workforce. The observed disparities appear to reflect institutional racism and are not solely due to the racial education gap, as some have suggested. Regulators should consider that current approaches to industrial permitting, which typically ignore the distribution of economic benefits, are likely to perpetuate this pattern of racial injustice.