This qualitative study explores how employees at Aequitas University, a social justice-oriented institution in the U.S., experience paradoxical tensions between institutionalized inclusion rhetoric and enduring marginalization tied to race and gender. Through critical ethnography with faculty and staff, findings surface an “inclusion-exclusion paradox.” Many talents initially felt a sense of homecoming and attraction toward the university’s espoused mission of empowering marginalized communities. However, over time, profound doubts emerged given durable representation divides on campus, racialized (mis)trust in authentic systemic commitments, and constraints on advancement and expression that disproportionately impacted minoritized groups, especially Black and Brown women. While both marginalized and privileged voices felt initial resonance, recurring marginalization was most acutely felt at the intersection of race and gender. Findings contribute to paradox theory by demonstrating the intertwined nature of power and enduring systemic tensions. Practical implications suggest the need for critical consciousness and collective action targeting root determinants perpetuating inequities counter to proclaimed social justice ideals.