If you are not familiar with the term Diversity Hiring, here are some reasons you may want to get up to speed.
The definition of diversity is:
- the state of being diverse; variety.
- the practice or quality of including or involving people from a range of different social and ethnic backgrounds and of different genders, sexual orientations, etc.
So, when it comes to diversity, do you know the true value this represents in your business? Understanding diversity hiring and implementing a strategy to address this has many benefits to your business, studies show.
If you do not have a strategy for diversity and inclusion when hiring in your business, here are a few reasons you may want to re-evaluate your processes.
- Statistics show that diverse companies perform better
- Studies have shown that revenue increases on average by 3% for every 1% increase in gender diversity
- Ethnically diverse companies are 15 % more likely to see an increase in revenue
- 67% of jobseekers say that diversity is important to them when researching prospective employers
- 47% of millennials say that diversity and inclusion is key to their job search
- Increasing workplace diversity can boost the UK economy by £24 billion a year
- Studies have also found diversity is crucial to creativity in the workplace
On average, men earn a 24.1% higher base pay than women, however having women in leadership positions aligned with a 15% increase in profitability. Employees who work for a female manager are six times more engaged, on average, than those who work for a male manager.
78% of companies focus on diversity to improve work culture, 62% to improve company performance, and 49% to better represent customers.
Companies that have been recognised for their commitment to diversity and inclusion include:
Accenture – state “no one should be discriminated against because of their differences, such as age, disability, ethnicity, gender, gender identity and expression, religion or sexual orientation”. The company commits to diversity training to help employees understand the benefits of working with diverse teams, equipping executives to manager diverse teams, and enabling professional development of all employees to build skills for success.
Mastercard – they believe “diversity is what drives better insights, better decisions, and better products. It is the backbone of innovation”. One initiative that addresses generational barriers, is to provide a one-on-one mentoring programme to older employees who want to become more familiar with social media platforms.
J&J – their vision is “to maximise the global power of diversity and inclusion, to drive superior business results and sustainable competitive advantage”. Investing in their employees through mentoring as well as creating a ‘diversity university’ website to educate employees of the benefits of inclusivity and collaboration are just a couple of examples of putting their vision into practice.
Diversity and inclusion policies, and hiring strategies are not limited to large corporations, however, companies can learn a lot from those who have implemented initiatives and worked to change the culture and education of their employees and teams.
It simply is not enough to state you have a diversity and inclusion policy, to reap the benefit of a diverse and inclusive business your policy needs to become part of your inherent culture. JMR Global can help you improve your executive search and recruitment processes, whether internal or external, and increase diversity in your business – get in touch to find out more.