I don't actually know if he is racist or not. I'm not a huge fan of MM, but I think it pretty cruel to post something like that about a new baby.
I agree with Nonnie. I think that at the very least he made a stupid mistake in putting up that picture. He must have known it had racist connotations, given his background. Perhaps he was drunk and not thinking properly (to give him the benefit).
But afterwards, he didn't offer a genuine apology initially, it was quite sarcastic. If he'd been totally unaware, surely he would have been horrified to realise what he'd done.
He has lost his job deservedly in my opinion. If I had done something at work like that, I'm pretty sure it would be grounds for instant dismissal.
I understand his old mate Chris Evans has already bailed him out several times over the years. Perhaps he'll move to Virgin.