Worcester Business Journal

wbjournal.com | June 7, 2021 | Worcester Business Journal 25 e economy is bouncing back, unevenly V I E W P O I N T E D I T O R I A L T he steep economic downturn caused by the coronavirus pandemic hit hard and fast. e recovery is proving to be a lot more herky jerky, but signs of progress abound. Massachusetts vaccination rates are among the highest in the nation, pandemic restrictions are waning, and the $1.9-trillion federal stimulus pack- age approved in March is beginning to trickle its way into the economy. A sense of optimism is spreading across the state, and the Central Massachusetts business community is no exception. Signs of spring have merged with a number of awak- ening sectors, including the return of commercial flights to the Worcester Regional Airport. Travel rose over the Memorial Day weekend, the Worcester Red Sox now can fill Polar Park with fans, and the Hanover eatre and the DCU Center are bringing back live events. Yet, while the economy is moving in a positive direction, everything isn't universally great. Real estate has remained strong throughout the pandemic, but prices have reached astronomical levels with record low inventory. e price of steel and lum- ber are causing building prices to rise by double-digit percentages, and all of a sudden gasoline prices have hit their highest level in seven years. Ouch. Right when so many good things are happening with the recovery the inflation monster is rearing its ugly head. Companies looking to take advantage of the rising economy, including manufacturers and restaurants, are having a hard time finding enough staff to meet their needs. e good news is even this bad news is a sign of our economy heating up. Right now it's hard to tell how much pandemic-re- lated supply chain disruption is affecting the price spikes, or if those shortages will persist. Economists are predicting despite the real dangers, price volatility will stabilize and we are not entering a new stage of inflation. Let's hope not. e pandemic downturn caused countless medium- and long-term challenges in the economy, not the least of which is a disproportionate number of women were forced to leave the workforce. But sentiment counts, and area business people are feeling optimistic about what lies ahead. Most signs indicate we're beginning to operate from a position of strength to deal with the many challenges and opportunities lying ahead. e return of positive economic momentum is a welcome sign. T he COVID-19 pandemic has disrupted international markets, halted local and worldwide travel, effected the economic livelihoods of millions, and illuminated the stark reality of Black people across Massachu- setts: many were one disruption away from closing their business- es' doors or being laid off. As the U.S. Centers for Disease Control loosens mask guidelines for the vaccinated and as Go. Charlie Baker lis coronavirus restrictions, residents have begun to rebuild with the aim of helping things "return to normal." But normal never worked. Long before the pandemic, Black businesses, organizations, and people in Mass. faced barriers in receiving equita- ble access to resources and economic opportunities. A May report from the Massachusetts Taxpayers Founda- tion found closing the wealth gap in Black and Latinx communities would grow the economy by $25 billion over five years, the equivalent of adding 100,000 jobs. We at the Black Economic Council of Massachusetts firmly believe "normal" should not be the standard pol- icymakers and business leaders seek to achieve when passing legislation, enacting policies, and allocating state or federal dollars. BECMA's 2021-2022 Massachu- setts Black Economic Policy Agenda lays out our pri- orities to frame the discussions all business and policy stakeholders are having around the equitable recovery and growth. We first focus on the crucial investments needed for our businesses and entrepreneurs. Black and Latinx people own just 3% of Mass. businesses with employees, which is less than half the national rate. is low rate is partially due to the decreased provision of state contracts to Black and Latinx businesses in the past 20 years. To combat these significant discrepancies and level the playing field, funding resources available for Black businesses and entrepreneurs must increase. Policies to increase such capital include the creation of a Mass. public bank and competitive grant programs to facilitate financing, funding for small business technical assistance, and the strengthening and broadening of the state's provision of contracts to diverse businesses. Policy and advocacy must play a role in empowering our workers. MassBudget notes workers in Massa- chusetts, as in the nation generally, have seen little to no wage growth since the 1980s. is has dispropor- tionately affected Black workers. e commonwealth's workforce lacks ethnic diversity, especially those in the skilled trades. Workers need more information and opportunities to combat this reality. e compilation and release of wage and salary data from public and private employers would empower workers to fight for and receive better pay. e expansion of funding to Early College Initiative and the Career Technical Initia- tive would better prepare our workforce to address the needs of our economy today and tomorrow. Community investment facilitates the success of our workers and businesses. From sustainable and equitable climate infrastructure to expanded and modernized public transportation, our workers and businesses need clean air to breathe, safe roads to travel, and a prosper- ous consumer base to thrive. BECMA is committed to promoting our policy agenda and pursuing other opportunities to create a "new normal" truly upliing Black people, communities, and businesses. Courtney J. Brunson is a policy advisor at the Black Economic Council of Massachusetts and Samuel Gebru is BECMA's director of policy and public affairs. BY COURTNEY J. BRUNSON AND SAMUEL M. GEBRU Special to the Worcester Business Journal Samuel M. Gebru The above Editorial is the opinion of the WBJ Editorial Board. The Viewpoint column, the A Thousand Words cartoon, and the Word from the Web commentary represent the opinions of their authors and do not necessarily reflect the views of WBJ or its staff. WBJ welcomes letters to the editor and commentary submissions. Send them to bkane@wbjournal.com. A T H O U SA N D WO R D S B Y R A M Ó N L . S A N D O V A L e new normal must upli Black businesses Courtney J. Brunson W W

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