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Diversity in the Workplace

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Presentation on theme: "Diversity in the Workplace"— Presentation transcript:

1 Diversity in the Workplace

2 Overview How Diverse Are We and Why Is Diversity Important?
Types of Diversity Laws and Executive Orders Prohibiting Discrimination Challenges of Diversity Strategies for Managing Diversity Programs for Managing Diversity

3 US Workforce is More Diverse than Ever Before
More women are working than ever before The workforce will continue to get older The number of immigrants has increased Ethnic and racial diversity is increasing

4 Why is Diversity Important?
The service economy Interactions between people are key Customer base is more diverse Similarities between people ease process Globalization of business Doing business with people from around world The changing labor market Company mergers and buy-outs

5 Types of Diversity Gender Diversity Age Diversity Cultural Diversity
Sexual Orientation Family Situations Physical and Psychological Disabilities Political Views Personal Idiosyncrasies

6 Proportion of Women in the Workforce 1950-2000
Percent Year Source: U..S. Bureau of Labor Statistics

7 Gender Diversity: Nonstandard work
More women in workforce today than ever Better educated than ever Most “nonstandard” workers (those who do not hold regular, full-time jobs) are women 55% of workers paid by temporary agencies are women 70% of part-time workers are women Stereotypes still remain Glass ceiling, etc.

8 Gender Diversity: Wages and Income
In 2000, women who worked full-time, year round earned 74.3 cents for each dollar earned by men Over a lifetime of work, the average 25-year-old woman who works full-time, year round until she retires at 65 will earn $523,000 less than the average working man 58% of the workers who benefited from the last minimum wage increase were women

9 Age Diversity As population ages, more older workers are available
Re-entry of middle-aged women to work Retirees returning to supplement pension Internships bring in more younger employees

10 Cultural Diversity Affects values, view of the world
More than 40% of new entrants into U.S. workforce from non-“majority” groups About 22% new immigrants About 20% African-American or Hispanic Growing international business Employees maintain ties to national and cultural heritage

11 Cultural Diversity (Hofstede)
Managers and employees vary on 5 dimensions of national culture: Individualism vs. collectivism Power distance: extent to which a society accepts the fact that power in institutions and organizations is distributed unequally Uncertainty Avoidance: The extent to which a society feels threatened by uncertain and ambiguous situations and tries to avoid them Quantity vs. Quality of Life (also masc/fem) Long term orientation

12 Comparison of US vs. World Average on Hofstede’s Dimensions
Power Distance Long term Power Distance Long term Masculine Masculine Individualism Uncertainty Avoidance Individualism Uncertainty Avoidance

13 Sexual Orientation Diversity
Approximately 10-14% of the US workforce is lesbian, gay, or bisexual (LGB; Powers, 1996) Disclosure of sexual orientation is a critical and complex decision that is affected by many factors (Ragins et al., 2001)

14 Sexual Orientation Diversity
Most discrimination laws (e.g., CRA of 1964) do not protect sexual identity Discrimination against employees who are or who are perceived to be LGB is legal in most workplaces (Button et al., 1997; van der Meide, 2000) 25-66% of LGB employees report discrimination. This number is likely much higher due to low disclosure rates (Badgett, 1996; Driscoll et al., 1996; Schneider, 1987)

15 Other Types of Diversity
Family situations Single employees (mothers and others) Physical and psychological disabilities Americans with Disabilities Act Political views Personal idiosyncrasies

16 The pay gap, median weekly earnings of full-time workers, as a percentage of those of white men Source: U.S. Census Bureau, Statistical Abstract of the United States, 2000, Table 696, p. 437.

17 Where Women and Minorities Manage
Percentage of total, 1999 Female Black Hispanic All occupations % 11.3% 10.3% Managerial and professional Executive, administrative and managerial Public officials and administrators Financial managers Personnel and labor relations managers Purchasing managers Marketing, advertising, and PR Educational administrators Health care managers Property and real estate managers Management-related occupations Source: U.S. Census Bureau, Statistical Abstract of the United States, 2000, table 669, pp

18 Federal Laws and Executive Orders Prohibiting Job Discrimination
Equal Pay Act (1963) Civil Rights Act (1964; amended 1972, 1991) Executive Order (1965) Age Discrimination in Employment Act (1967) Equal Employment Opportunity Act (1972) Pregnancy Discrimination Act (1972) Americans with Disabilities Act (1978) Family and Medical Leave Act (1993)

19 Challenges of Diversity
Availability Challenge In past employers could control diversity More people than jobs Qualified employees have become scarce Employers must become more flexible Realize “Different does not mean deficient” Fairness challenge In past, typically viewed as equal treatment Equal Employment Opportunity Now employers must embrace new diversity Essentially focus on “differences”

20 Challenges of Diversity
Synergy challenge More and more group-based work Diversity can create positive and negative conflict Can facilitate creative problem-solving Can close down communication Can derail group processes Group leaders must minimize destructive conflict and maximize diversity of input

21 Strategies for Managing Diversity
Articulate a clear diversity mission, set objectives, and hold managers accountable. Spread a wide net in recruitment to find the most diverse possible pool of qualified candidates. Identify promising women and minorities and provide them with mentors and other kinds of support. Set up diversity councils to monitor the company’s goals and progress toward them.

22 Programs for Managing Diversity: Diversity Training
Providing managers with training How to recruit/hire diverse employees How to orient/integrate new employees Providing all employees with training Realizing the differences that exist Learning how differences affect working environment How to maximize productivity without ignoring employee differences

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