This study is the first to examine the effects of affirmative action programs on public sector employment in California before the passage of Proposition 209, which banned the use of affirmative action in hiring, university admissions and contracting by state and local government. Ironically, California, whose first anti-discrimination policies, adopted in 1934, predated federal policies by almost a decade, is at the forefront again. This time, however, California is at the forefront because of the number of discrimination complaints. The central question one must ask now is about how ending affirmative action will impact California. Ong and his colleagues said that it is one question they cannot answer.
Discrimination is still a serious problem.
This study also found that affirmative action has increased employment and business opportunities for minorities and women in California, primarily by offering increased positions in the public sector. Minority and women-owned businesses also saw increased hiring through public contracting. Those most likely to be affected by the elimination of affirmative action are California's largest and most successful minority-owned firms. This is because they tend to be more dependent on revenue from sales to the government than smaller firms. Depending on the ability of the private labor market to absorb displaced public-sector workers, eliminating affirmative action programs could result in lower wages for women and people of color, the study said.