Advancing Black Employee Wellness, Career Growth, and Equity at Work

Quick look: As Black History Month marks its 100th anniversary, it offers a time for employers to reflect on how they support the health, wellness, and long-term success of Black employees. From equitable pay practices to inclusive healthcare, mental health support, accessible PTO, and professional development, these strategies can help create a fairer and more welcoming workplace.

This year, Black History Month carries added significance, as 2026 marks its 100th anniversary. Established by Carter G. Woodson in 1926, what began as a weeklong observance has grown into a nationwide movement that celebrates the accomplishments, culture, and experiences of Black Americans throughout history.

This milestone also invites employers to consider how they support members of their workforce whose needs have historically been overlooked or marginalized. By strengthening health and wellness benefits and ensuring equitable compensation and career development opportunities, businesses can help every employee feel supported and empowered to perform at their best.

Here are several ways SMB leaders can begin strengthening support for Black employee wellness:

1. Review compensation practices for equity

One of the first steps business leaders can take to promote a more equitable workplace is to evaluate their compensation practices closely. According to the U.S. Department of Labor, Black employees earned a median weekly wage of $986 in 2025, compared to $1,231 for white workers. While pay differences can reflect a range of factors, these figures underscore the importance of regular, data-informed reviews.

Employers can make an impact by examining their pay policies and accounting for variables such as job descriptions and responsibilities, education, geographic location, years of experience, performance, promotions, and relevant skills.

Many small and midsized businesses (SMBs) can find these answers in their human resources information system (HRIS). For example, ExtensisHR’s DEI Dashboard compares data on turnover, promotions, pay equity, and more. These insights can help organizations to determine if their pay scale is weighted disproportionately toward or away from a particular group and make informed adjustments.

2. Take a closer look at benefit offerings

A one-size-fits-all employee benefits approach often falls short of meeting the needs of today’s diverse workforce. Reviewing benefits through an inclusion-focused lens can help confirm offerings are accessible, supportive, and responsive to a wide range of employee experiences.

Include inclusive healthcare providers

Recent research published in the Journal of General Internal Medicine reveals ongoing disparities in healthcare experiences across racial and ethnic groups:

• 49% of Black/African American adults reported experiencing discrimination in healthcare
• 39% of Hispanic/Latino adults reported discrimination
• 49% of multiracial individuals reported discrimination

The study also found that experiencing discrimination was associated with higher odds of poor self-reported health, underscoring how significantly the incidents can affect overall well-being.

These findings highlight the importance for business leaders to work with their broker or professional employer organization (PEO) to select coverage with diverse in-plan physicians when health plans are approaching renewal.

Consider coverage for at-risk individuals

Employers can also work with an insurance broker or PEO to identify health plans that offer additional support for individuals who may face greater health or access challenges. Per the Department of Health and Human Services, “at-risk individuals” refer to:

• Children
• People with disabilities
• Individuals with limited English proficiency or non-English speakers
• Those who live in institutional settings
• People with chronic conditions
• Older adults
• Pregnant women
• Others who may face systemic or logistical barriers to care

Benefits that support these needs may include fertility and adoption services, chronic disease and care management, and disability-inclusive medical coverage (e.g., speech therapy, physical therapy, hearing aids, and other accessibility resources).

Reevaluate PTO

Paid time off (PTO) has evolved over recent years from traditional vacation days to cover a wide range of situations, some of which are legally protected. However, not all employees have equal access to this flexibility. Research from the American Journal of Public Health shows that only 59% of Black workers have access to paid medical leave.

Under the Family and Medical Leave Act (FMLA), eligible workers can take time off for certain health-related matters affecting themselves or a loved one. While federal law doesn’t require private employers to provide paid sick leave, many states and cities have mandates, but not all employees are aware of these benefits.

Employers can promote equity by making PTO policies clear and accessible to everyone, and by encouraging staff to take time off when needed.

Promote mental health and emotional well-being

Experiences of racial bias and discrimination can have a serious impact on mental health. A Pew Research Center report shows that many Black adults report experiencing racial discrimination, which can contributes to feeling nervous, anxious, or isolated. At the same time, only 25% of Black Americans seek mental health treatment, compared to 40% of white Americans, often due to stigma and other barriers.

SMB leaders can help bridge this gap by offering healthcare plans with comprehensive mental health coverage. Employee assistance programs (EAPs), which provide free, confidential access to licensed counselors, are another valuable resource.

By informing employees about available mental health benefits and promoting stress reduction, businesses can create an environment where staff feel supported and more comfortable using these plans.

3. Invest in learning and development opportunities

Supporting Black employees’ long-term success also means providing professional growth opportunities. According to a DeVry University survey, 80% of Black employees that do not have access to company-paid skill training would be highly likely to use it if it were offered.

Equitable learning and development programs can help staff advance their careers and feel valued at work. To make professional growth more inclusive, SMB leaders can offer:

• Mentorship and sponsorship programs: Connect employees with mentors or sponsors who can provide guidance, advocacy, and career advice.
• Targeted training and upskilling: Workshops, courses, and certifications can help employees develop skills for current and future roles. Ensure that programs are accessible to all staff, including those who may face barriers like time constraints or technology limitations.
• Transparent promotion pathways: Share clear criteria for advancement so staff understand how to grow within the company.
• Support for external learning: Provide tuition reimbursement, conference stipends, or access to professional development resources that help workers expand their knowledge and network.

Prioritizing learning and development demonstrates that your organization is committed to every employee’s growth, not just their immediate role. And when staff see a clear path forward and feel empowered to reach their goals, it strengthens engagement and equity in the workplace.

4. Partner with experts to support long-term progress

Creating a diverse, equitable, and inclusive work environment requires ongoing effort. While Black History Month offers a meaningful time for reflection, creating lasting impact requires sustained attention throughout the year.

Many SMBs may not have the internal capacity to develop and maintain robust equity-focused initiatives on their own. As a result, they often turn to a PEO company or other experienced HR specialists who can provide guidance, tools, and compliance support.

ExtensisHR helps SMBs strengthen their people practices by offering:

• Access Fortune 500-level employee benefits, including mental health coverage and EAPs, at an affordable rate through large-group pricing
• Data-driven insights into pay equity, promotions, and turnover with our DEI Dashboard
• Compliant employee handbooks that clearly outline PTO and other leave policies
• A dedicated support team, including our Employee Solution Center that answers your staff’s questions quickly and reliably
• SHRM-certified HR experts who can help you implement professional development programs designed to empower your entire workforce to learn and grow

With the right partner, SMBs can take meaningful steps to support employee wellness, promote fairness, and create a workplace culture where everyone has the opportunity to succeed.

We’re here to help you move that work forward. Take our quiz to see if ExtensisHR is the right fit for your business, or contact us today to start a conversation.