BASED ON THE FINDINGS OF THE TAYLOR REPORT, WHICH REPORTS RESEARCH CONDUCTED IN CONNECTION WITH THE CHICAGO LABOR MARKET STUDY, THIS PAPER DISCUSSES THE SITUATION OF THE UNSKILLED NEGRO WORKER IN CHICAGO. DESPITE SOME EMPLOYMENT GAINS FOR NEGROES IN WHITE-COLLAR AND PROFESSIONAL OCCUPATIONS, EMPLOYERS IN THE UNSKILLED MARKET CONTINUE TO DISCRIMINATE, AND MANY FORMAL AND INFORMAL SOURCES OF JOB INFORMATION ARE NOT AVAILABLE TO NEGROES. IF A NEGRO IS HIRED, HE OFTEN WORKS FOR SUBSTANTIALLY LESS PAY THAN HIS WHITE COUNTERPART. UNSKILLED NEGRO WORKERS, MANY OF WHOM COME FROM POVERTY AREAS, ARE HANDICAPPED BY HOUSING DISCRIMINATION AND SCHOOL SEGREGATION EVEN BEFORE THEY ENTER THE LABOR MARKET. THE TAYLOR REPORT IS APPENDED TO THIS PAPER. THIS DOCUMENT IS ALSO AVAILABLE FOR 25 CENTS OR $1.00 FOR 5 COPIES FROM RESEARCH DEPARTMENT, CHICAGO URBAN LEAGUE, 4500 SOUTH MICHIGAN AVENUE, CHICAGO, ILLINOIS 60653. (AF)