Speeches by Secretary Elaine L. Chao

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Remarks Delivered by
U.S. Secretary of Labor Elaine L. Chao
Minority Business Development Agency Luncheon Address:
Acceptance of the Ronald H. Brown Leadership Award
Washington, D.C.
Wednesday, August 30, 2006

Thank you, Chiling [Tong] and National Director Langston. I appreciate this recognition for the Department of Labor's efforts, under President Bush's leadership, to help traditionally underserved communities access opportunity in mainstream America. America's diverse workforce is one of our country's greatest competitive advantages. This Administration has launched many new initiatives to promote the rich diversity of America's workforce, which strengthens our nation's competitiveness in the worldwide economy.

Let me begin with a brief snapshot of our country's economic progress, which provides the backdrop for what we do. The national unemployment rate for July was a low 4.8 percent. To put that in historical perspective, that's lower than the average 5.7 percent unemployment rate of the 1990s.

Our economy is one of the most vibrant of all industrialized nations. Real GDP grew at a healthy 3.5 percent over the past four quarters. Our economy continued to post solid gains in July, which was the 35th consecutive month of net job growth. In fact, 5.5 million net new jobs have been created since August 2003. Contrast this with Europe where job growth has been half that of the United States and where two major economies — Germany and France — have unemployment rates nearly double that of the U.S. And gasoline prices in Europe are more than $6.00 per gallon!

As America's economy continues to grow, small and medium size employers have become important engines of job growth. In the last 13 years alone, firms with fewer than 500 employees have created 65.5 percent of the new jobs in our country. And firms with fewer than 100 employees accounted for 46.4 percent of employment growth.

This is great news for minority communities because entrepreneurship has traditionally provided a path to opportunity in mainstream America. In the decade ending in 2002, Asian American business ownership rose 24 percent. Hispanic American business ownership rose 31 percent. And African American business ownership rose 45 percent!

As our nation becomes part of a worldwide economy, diversity is emerging as one of America's greatest strengths. After all, America is the world — literally. People from every country in the world are represented in America. There is no other nation in the world that can make that unique claim. America's diversity gives our country an unprecedented advantage in interacting with the worldwide economy. It gives us the ability to understand other cultures, to build bridges of understanding and to develop new ways to work together so that Americans can succeed and create more jobs here at home.

During the past 5 years, the Department has launched many new initiatives to help traditionally underserved communities leverage their diversity and succeed in the 21st century economy. Let me share just a few.

As you may know, many of our nation's labor laws are very complex. So the Department has made a special effort to reach out to previously underserved communities who may not be familiar with them.

The Department sponsored the first-ever Hispanic Health and Safety Summit. Labor law materials have been translated into multiple languages, including Spanish, Chinese, Vietnamese and Korean. And the Labor Department is reaching out to the rapidly growing number of African American small business owners by distributing labor law materials through Historically Black Colleges and Universities.

The Department has also sponsored many programs to help traditionally underserved communities access opportunity in mainstream America.

We have sponsored leadership summits with Historically Black Colleges and Universities, to help the African American community learn about new opportunities, such as the ones presented at this conference.

The Hispanic Worker Initiative helps Hispanic American workers improve their English proficiency and gain the skills required in rapidly growing industries.

And the Department hosts an annual Opportunity Conference, which is open to the public. It is specifically designed with underserved communities in mind. These forums provide small employers and community leaders with a chance to network, learn new skills, meet other entrepreneurs and learn about federal grant and contacting opportunities. The fourth annual conference will be held in Philadelphia on October 17, 2006. You can find out more about it by going to www.opportunityconference.gov.

And this Administration is committed to ensuring that small employers from diverse communities have access to government contracting and grant opportunities. Small businesses received a record-breaking $79.6 billion in federal prime contracts in 2005. The Department of Labor more than doubled its small disadvantaged business goal for 2005. In fact, since October of 2005, the Labor Department's Office of Small Business Programs has awarded contracts of more than $163 million.

The Department of Labor is committed to ensuring that the doors of opportunity remain wide open for everyone — both entrepreneurs and workers alike. So the Department has also emphasized vigorous enforcement of the nation's anti-discrimination laws. Last year, the Department recovered a record amount for workers who had been subjected to unlawful employment discrimination — a 56 percent increase over what was collected just four years ago.

The Department has also targeted enforcement of our nation's wage and hour laws on low-wage industries, which often employ large numbers of vulnerable immigrants. As a result, the Department has recovered record back wages for immigrant workers.

These efforts reflect the leadership of President George W. Bush, who has done so much to reach out to traditionally underserved communities. The President's Cabinet includes many "firsts" that strengthen our nation's diversity: the first female African American Secretary of State, Condoleezza Rice; the first Hispanic Attorney General in our nation's history, Alberto Gonzalez; the first Hispanic Secretary of Commerce, Carlos Gutierrez; and the first two Asian Americans to serve simultaneously in a President's Cabinet — former Secretary of Transportation Norman Mineta and myself.

This Administration's commitment to diversity goes beyond outreach and enforcement to fostering the entrepreneurial spirit that has clearly aided traditionally underserved communities. Many of the President's economic initiatives, especially his tax cuts, have allowed small- and medium-sized employers to keep more of their hard-earned income, so they can reinvest, grow and create more jobs. In 2006, 25 million small employers will receive an estimated $93 billion in tax relief.

So I want to thank everyone in this audience for everything you are doing to create opportunity and hope for others. Your energy, enthusiasm and leadership are making important contributions to our country's economic security. And the diversity you represent will help ensure that our country remains a global leader in the 21st century worldwide economy.

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