Locked Out of the Labor Market: A New State-Level Measure of Incarceration and Inequality

By Sarah Riley, Jacob Kang-Brown, Jessica Zhang, Jim Parsons, and Lauren Williams

It is widely recognized, if underappreciated, that incarceration physically separates people from their loved ones and communities. But there is far less attention paid to the intentional disappearance of incarcerated people from government statistics; this pernicious exclusion has profound ripple effects. Employment statistics are one key instance. Every month, the Bureau of Labor Statistics (BLS) releases an official employment report. This report details changes in average hourly earnings, industry-specific employment trends, and fluctuations in unemployment rates across racial groups. Each of these statistics disregards everyone in jail or prison, a population disproportionately made up of Black people and low-wage workers.3 These metrics matter. They provide a key frame for understanding economic opportunity and racial equity in the United States.

Brooklyn, NY: Vera Institute of Justice, 2025. 13p.