Former NFL running back now aims at the racial wealth gap Jason Wright, a McKinsey partner, co-authors new study detailing why black families are financially so far behind whites

Jason Wright always saw himself as more than a football player.

While playing at Northwestern University, the former running back led the local chapter of his fraternity, Alpha Phi Alpha. During his seven-year NFL career, he was a union leader who went on to launch a charter school network in Cleveland.

His football career ended in 2011, and Wright, 37, is now a partner with McKinsey & Co. And, no surprise, he sees himself as more than your ordinary management consultant.

Former NFL running back Jason Wright co-authored a report released Tuesday that lays out the broad scope and troubling implications of the racial gap.

McKinsey & Company

Wright, who has an MBA from the University of Chicago, is leveraging his company’s reach and expertise to tackle one of the nation’s most critical problems: the vast wealth gap separating African Americans and whites.

Wright co-authored a report released Tuesday that lays out the broad scope and troubling implications of the racial gap. The typical black family has a net worth of just $17,600, one-tenth of the wealth of the typical white family, which in 2016 had a median net worth of $171,000, according to the Federal Reserve’s Survey of Consumer Finances.

The gap widened significantly in recent decades, and it is showing no signs of closing. The biggest reason is that the typical African American family faces an array of obstacles that often work together to thwart wealth creation.

 

“There is a galvanizing case for change. When we look specifically at helping black folks across the country, the result is it helps everyone because the entire economy benefits.” — Jason Wright

For one, the report says, two-thirds of black families are concentrated in 16 states where, taken together, the overall economy is weak and educational options lag behind those elsewhere in the country. Most of those states are in the South, where economic opportunity, health care and even access to fast internet service is not always a given.

Meanwhile, black families in relatively prosperous urban areas or states tend to live in low-income neighborhoods where home values typically grow slowly, crippling one of the main sources of wealth creation. In addition, black families are far less likely than whites to own homes. More than 10 years after the Great Recession, the home ownership rate for black families continues to decline; it is down to just over 40%, while more than 73% of white families own homes. As recently as 2004, more than 48% of African American families were homeowners.

Another factor contributing to the gap is that African Americans tend to come from families with scant wealth to begin with, leaving them with little to build on. Just 8% of black families receive an inheritance, for instance, compared with 26% of white families. And when black families do inherit money, they get less: The typical black inheritance is just 35% of the average white inheritance of $236,000, the report said.

The lack of wealth hits hard at black college students. Blacks are much more likely than whites to incur student debt, and when they do, the debt is higher. Too often, it proves to be unpayable. Overall, nearly half of black undergraduate borrowers default on their student loans, some 2.3 times the white default rate, the report said.

Many other African Americans are living outside the nation’s financial mainstream, a troubling fact that impacts their ability to get mortgages, consumer loans or even credit cards. More than 1 in 4 African Americans do not have a credit score, and 17% do not have traditional bank accounts.

On top of all that, black workers typically have unemployment rates that are double the rates of similarly educated whites. Among those that are employed, blacks tend to earn far less than whites, in part because of lower educational levels.

If economic trends continue as they are now, the outlook is bleak for African American workers, who tend to be overrepresented in professions like truck driving, for instance, that face increasing competition from automation, the report said. Meanwhile, fast-growing fields like software programming and artificial intelligence have relatively few African Americans.

It is a gruesome picture but one that Wright believes can be improved. He noted that there were periods in the past when the gap had closed somewhat. He said improving educational opportunities, making consumer credit more widely available, ramping up consumer education and devising economic strategies to uplift lagging regions can all make a substantial difference in closing the wealth gap.

“There is a galvanizing case for change,” Wright said. “When we look specifically at helping black folks across the country, the result is it helps everyone because the entire economy benefits.”

Later this week, a group of more than 200 black executives and leaders will meet in Martha’s Vineyard for McKinsey’s annual Black Economic Forum to discuss the report’s findings. Afterward, Wright plans to lead an effort to turn out a series of follow-up documents going into more detail about approaches for closing the wealth gap.

Wright called the work every bit as exciting as his days playing in the NFL.

“When I played football, one thing I saw was an opportunity to influence on scale,” he said. “What I found at McKinsey is something that I thought I lost when I retired from football, and that’s another platform” to make change on a large scale.

Wake up! It’s the 30th anniversary of Spike Lee’s ‘School Daze’ In this #BlackLivesMatter era, the ’80s film is still very relevant

It was late summer of 1986. Jasmine Guy was standing on the streets of New York City, fresh out of a dance class at the Alvin Ailey School, when she heard a word unfamiliar to her: Wannabe.

She’d just run into director and eventual cultural purveyor Spike Lee. She first met him back in 1979, when she was a high school senior and he was a senior at Morehouse College who was directing the coronation at the school where she danced. Back then, he was telling folks that he planned to go to film school and had aspirations of being a director — although, at the time, Guy wasn’t entirely sure what that meant.

Spike had some news for her. “I just finished my first movie, you’ve got to see it,” she remembers Lee telling her. He was talking about 1986’s She’s Gotta Have It, which is now of course a lauded Netflix series of the same name. She saw the movie and was mesmerized by the very contemporary piece that was in black and white and dealt with sex, relationships and intimacy. She’s never seen anything like it before. With black people. And she was impressed.

She ran into him again on those New York streets, and this was the time that he added a new word to her lexicon. “I’m doing another movie, and you’re going to be in it, so send me your headshot. You’re going to be a wannabe.” She was confused. “You know how you all are,” she remembers Lee saying. She had no idea what he was talking about. Wannabe.

But she soon learned. As did everyone else who would consume Lee’s epic portrayal of a fictional historically black college in School Daze, a movie that altered how we publicly talked about blackness and historically black colleges and universities (HBCUs). For the uninitiated, the idea of a “wannabe” was a caricature of (for the most part) a high-yellow, lighter-skinned woman with long hair whose physical attributes look more European than African. “Wannabe” was also an attitude: Wannabe better than me.

School Daze. It’s been three decades to the day since theaters were lit up with a historically black campus waking up — this was when Nelson Mandela was still locked up, and students called for divestment from South Africa. Three decades since Spike Lee brought us a story of conflict, of when students pledging fictional Greek fraternities were pitted against those who desired global and local social change. The Gamma dogs. The Gamma Rays. The Fellas. The Wannabes. The Jiggaboos — oh yes, the Jiggaboos. School Daze was about the tensions between light-skinned black folks and dark-skinned black folks.

Everything was right there on a 50-foot screen. No escaping it. We had to consume it. And address it. “It was like, Wow, this guy’s really going to go there,” says renowned director Kasi Lemmons, whose first film role was in School Daze. “He’s really going to explore these issues. It occurred to me, when I saw it, how important it was because it explored so many things that you just hadn’t seen.”


In so many ways, School Daze was an extension of what was happening on campuses. It tapped into activations that were happening in the mid-1980s, and after it was released, it inspired and engaged other students, amplifying the work that was already taking place.

Darryl Bell — who was one of the “big brothers” in School Daze, his first role — was quite active as a real-life student at Syracuse University. He attended rallies where black and Latino students were mobilizing, much in the same way that Laurence Fishburne’s Dap did on Lee’s fictional campus of Mission College. In real life, Bell pledged Alpha Phi Alpha.

“I wanted to know more about these Alpha fellas,” says Bell. He remembers seeing them at rallies. “The idea that Alpha men were involved in, and on the forefront of talking about, issues that mattered — the divesting of South Africa — it encouraged me to be part of student government. All of these things … my experience at Syracuse, you saw in the film. … We were engaged in voter registration. We put on a fashion show to raise money to give scholarships to high school students. … That was the life I was living. That’s why I was so desperate to be in the movie. … This is all about me and what I’m living everyday. It was an extraordinary example of art imitating life.”

The film was more than entertainment; even before A Different World, it really illuminated HBCU campus life. It shed a light on colorism, one of the most uncomfortable and unspoken issues among black folks — something we’d been battling for generations and, in a lot of ways, still are.

“There was … division between the men and women,” says Joie Lee, who portrayed Lizzie Life in the film, “in terms of what constitutes beauty. I wasn’t ‘fine.’ I wasn’t considered that. I did not fit that standard of beauty, perhaps because I was brown-skinned. Perhaps because my hair was nappy, and natural. The women that are considered fine … were light-skinned or had ‘good hair’ — I’m using that term loosely. Those were some of the issues that [we were] grappling with.”

Thirty years later, the film still holds up. Replace School Daze’s international concerns with the Black Lives Matter movement and the activism, especially in this current political climate, most certainly feels familiar. “It does have a relevance to what’s going on today,” says Kirk Taylor, who portrayed one of the Gammas. “In terms of the look, in terms of the content, in terms of the final message about waking up … we need to wake up as much now as we did then — and stay awake. It’s easy to be lulled into a false sense of security, or false peace, and not be aware that things still need to be addressed. Things still need to be changed.”

Stay woke, indeed.