Published on Mar. 3, 2026

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California’s aggressive environmental policies have decimated industries like construction, manufacturing, and logistics that employ large numbers of Latino and African American workers, leading to lower incomes, homeownership rates, and educational outcomes for these communities compared to other states. Governor Newsom’s rhetoric on racial justice is seen as “pure rhetorical posturing” by critics, as the state’s policies have disproportionately harmed minority communities.

Why it matters

California has long touted its progressive stance on racial justice, but the state’s green policies have had a disparate impact on minority communities, destroying blue-collar jobs and undermining economic mobility. This highlights the disconnect between the state’s rhetoric and the real-world consequences of its regulatory approach.

The details

Latinos make up over 50% of California’s construction workers and the majority in logistics, but the state’s strict environmental rules have devastated these industries, hampering the ability to build affordable housing. Truckers also face challenges from state laws mandating expensive electric trucks. Manufacturing, another major employer of Latinos, has seen a steep decline in California. The state’s targeting of the oil and gas industry, where 30% of workers are “people of color”, has also hurt minority communities.

Between 1990 and 2021, California lost 795,879 manufacturing jobs.In 2023, Latino employment levels were higher in Texas than in California.
The players

Gavin Newsom

The Governor of California who has embraced policies like reparations and affirmative action, but whose environmental regulations have disproportionately harmed minority communities.

Jennifer Hernandez

An attorney who has described California’s environmental policies as “the green Jim Crow”.

Gloria Romero

A former California state senator who is running for lieutenant governor and has noted that California’s minority students perform worse than their counterparts in other states.

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What they’re saying

“The key difference in California has been the imposition of draconian environmental regulations, which have devastated industries like construction, manufacturing, and logistics.”

— Jennifer Hernandez, Attorney

“California minority students perform worse than their counterparts in Florida and Texas; California Latinos rank among the bottom 10 states in higher educational degree attainment in the nation.”

— Gloria Romero, Former California state senator

What’s next

The state legislature is expected to consider additional environmental regulations that could further impact blue-collar industries and minority communities.

The takeaway

California’s pursuit of ambitious environmental goals has come at a steep cost for the state’s working-class minority populations, undermining economic opportunity and social mobility. Policymakers must re-evaluate the disparate impacts of green policies and find ways to support vulnerable communities.