3.2.4

Benefits

Test yourself

Social Security

Social security in America discriminated against black people.

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The Federal Relief Administration (FERA)

  • The FERA was created in 1933 and was under the leadership of Harry Hopkins.
  • The FERA spent $4000 million to help the unemployed through work relief projects but this was not enough to effectively help everyone.
    • It gave roughly $25 a month to a family when the average monthly wage was $100.
  • Traditional views remained amongst the authority that poverty was due to laziness and people had brought it on themselves.
  • In 1935, 3.5 million black people received help from the administration.
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Racism in FERA

  • Racism existed within FERA.
  • Subsidence wages were almost a third lower for black families compared to those of white families.
    • In Atlanta, white families received $32.66 a month and African American families received $19.29 per month.
    • The FERA was closed down in 1935.
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Social Security Act 1935

  • The Social Security Act established welfare payments for those who were in need, such as people who had lost their job or who were too old or sick to work.
  • Social Security also established aid programmes for the physically disadvantaged and for families with dependent children.
  • Although the system of social security discriminated against black people and the relief that it offered was too little, the Social Security Act showed a change in the way the government operated.
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Limitations to Social Security

  • Social security was not a total cure for the economic deprivation shared by so many Americans during the depression.
  • The pensions given to the elderly were not paid until 1940 and varied massively depending on how much people had paid into the scheme (like a tax).
  • The unemployment benefits that people received were very low and were only given for 16 weeks.
  • The amount given to families with children varied massively depending on where the families lived.
  • Certain jobs were not eligible for the scheme, especially the ones that many black people had.

Jump to other topics

1‘Free at Last’ 1865-77

2The Triumph of ‘Jim Crow’ 1883-c1890

3The New Deal and Race Relations, 1933–41

4‘I have a dream’, 1954–68

5Obama's Campaign for the Presidency, 2004–09

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