MAKING THE BUSINESS CASE FOR MANAGING DIVERSITY

BETTER

BUSINESS JUSTIFICATIONS

FIRMS OBSERVE THAT

• EXPANSION TO GLOBAL MARKETS• GROWING DOMESTIC MARKETS• REACHING STRATEGIC HR GOALS• PROJECTING POSITIVE IMAGE• REDUCING COSTS, IMPROVING

PERFORMANCE– WILL ALL BE SIGNIFICANTLY AIDED BY

BETTER MANAGEMENT OF WORKFORCE DIVERSITY

WORKFORCE DIVERSITYHUDSON INS. PROJECTIONS

• 85% OF NET NEW ENTRANTS TO WORKFORCE WILL BE W&M IN 2000

• WHITE MEN ARE, AND WILL BE, THE SINGLE LARGEST MAJORITY

• 66% WILL BE NON HISPANIC WM&W IN 2020

• 14% LATINOS

• 11% BLACKS

• 6% ASIANS

• AGING OF THE BABY BOOMERS (Major HR challenge)

WORKFORCE DIVERSITY IN 2000

.41% WM

.34% WW

.12% LATINOS

.12% BLACKS

.4% ASIANS

.53 MILLION AGED 45 & OLDER

.59% WOMEN AND MINORITIES

WORKFORCE DIVERSITYJAN 26, 2007

• 36.2% WM• 32.2% WW• 16.1% MINORITY MEN• 15.5% MINORITY WOMEN

• 6.4% BLACK MEN• 7.7% BLACK WOMEN• 5% ASIAN

OVERALL WORKFORCE DIVERSITY BEG. 2008

• 63.8% MINORITIES AND WOMEN• 36.2% WHITE MALES

• DOES NOT MEAN THAT THIS IS THE HR DIVERSITY THAT FIRMS SHOULD HAVE

• IT IS THE HR DIVERSITY WE HAVE OR WILL SOON HAVE IN OUR FIRM

• QUESTION: ARE WE BETTER PREPARED THAN OUR COMPETITION TO MANAGE THIS DIVERSITY?

MANAGING DIVERSITY MEANS:

• Managing a heterogeneous workforce so that;– Everyone performs to their potential– In a fair and equitable environment– With no special/disadvantaged group or

individual– Working in harmony and hopefully learning

from each other

MANAGING DIVERSITY GOES WAY BEYOND MANAGING AA

• IT IS PROACTIVE• PRODUCTIVITY DRIVEN• OPPORTUNITY FOCUSED• INTERNALLY AND EXTERNALLY

FOCUSED• VOLUNTARY• REQUIRES INTEGRATION• QUALITATIVE

FORCES THAT REQUIRE FOCUS ON MANAGEMENT OF DIVERSITY

• WORKFORCE DIVERSITY• GLOBALIZATION OF MARKETS• TEAMWORK BASED MANAGEMENT

PRACTICES• DOMESTIC AND INTERNATIONAL MERGERS,

ACQUISITIONS AND STRATEGIC ALLIANCES• GROWTH OF THE SERVICE ECONOMY

CHALLENGE: WIDESPREAD PERCEPTIONS OF RACIAL AND SEXUAL

DISCRIMINATION

• 60% PERCEIVE DOUBLE STANDARD

• 40% PERCEIVE HOSTILE ENVIRONMENT

• RESULT: LOWER PRODUCTIVITY– LESS COMMITMENT– LESS INITIATIVE– MORE TURNOVER

WHAT DO IDENTITY GROUPS WANT?

• UNDERSTANDING, LESS STREOTYPING, CULTURAL NEUTRALITY

• INCLUSION

• ENCOURAGEMENT

• FAIR OPPORTUNITY

CULTURAL IDENTITY GROUPS

• AFRICAN AMERICANS• HISPANICS• WHITE MALES• ASIAN AMERICANS• WOMEN• AGE BASED DIVERSITY• GENERATIONAL DIVERSITY• DIVERSE SEXUAL ORIENTATIONS

MANAGING RACIAL AND ETHNIC DIVERSITY

• FOCUS ON HIRING THE BEST TALENT. NOT NUMBERS

• OFFER MENTORING PROGRAMS, FOR EVERYONE, SAME RACES AND MIXED

• HOLD MANAGEMENT TO DIVERSITY AND PRODUCTIVITY GOALS

• CAREER PLANNING AS PART OF PERFORMANCE EVALUATIONS

• PROMOTE DESERVING MINORITIES TO LINE AND STAFF POSITIONS

• DIVERSIFY TOP MANAGEMENT

MANAGING FEMALE EMPLOYEES

• ALTERNATIVE CAREER PATHS• CHILDCARE, ELDERCARE ASSISTANCE• EXTENDED LEAVE• FLEXIBLE SCHEDULING• FLEXITIME• JOB SHARING• TELEWORKING• SAFE AND DECENT WORK ENVIRONMENT

MANAGING GENERATION X AND Y

• OFFER CASH, PERFORMANCE BASED COMPENSATION, SIGNING BONUSES. ALLOW VOLUNTEERISM.

• OFFER CUSTOMIZED CAREER PATHS• USE PARTICIPATIVE STYLES• OFFER HIGH TECH WORK TOOLS• SHARE INFO• USE PUBLIC PRAISE• ALLOW EXPERIMENTATION

MANAGING OLDER WORKERS

• WORK COOPERATIVELY ABOUT JOB DESIGN WITH WORKERS OLD AND YOUNG

• AVOID MID-CAREER PLATEAUS. TRAIN AND RETRAIN• IDENTIFY JOBS WHERE YOU NEED THE SENIORS THE MOST• WORK WITH CLEAR AND PRECISE JOB SPECIFICATIONS, FOR

BETTER SELECTION, PLACEMENT AND TRAINING• AVOID AGE GRADING. AUDIT INTERNAL CULTURE• CONDUCT WORKFORCE INTEREST SURVEYS. • PREPARE EARLY RETIREMENT PLANS• PREPARE PHASED IN RETIREMENT PLANS• PREPARE SUCCESSION PLANS. LINK TO HRD PLANS

A RECENT AGE DISCRIMINATION AWARD

• $241,119 awarded in age bias suit

• Associated Press / February 4, 2008

• BURLINGTON, Vt. - A Topsham man has won an age discrimination lawsuit in which • he said he was passed up for a job as the town road foreman.

• An Orange County Superior Court jury has awarded James • "Bucky" Spooner $241,119. Spooner was 60 years old and had worked for 15 years • in road maintenance when he applied to become Topsham's road foreman in 2001.

• According to court papers, the Selectboard hired a 32-year-old man who had less • experience after two board members decided Spooner was "too old" and could • retire in a few years. After three days of testimony, the jury reached a verdict • on Jan. 25.

• The award represents the salary Spooner would have made since 2001 if he had • been hired for the job.• The town is considering whether to appeal the verdict.• Edwin Hobson, Spooner's Burlington lawyer, said he thinks his client would • rather have been road foreman than have won the award.

MANAGING WORKERS W/ DISABILITIES

• FIND OUT WHAT THEY CAN DO (SKA)• REVISIT YOUR JOB SPECIFICATIONS• FIND OUT THE REAL COST OF REASONABLE

ACCOMODATIONS• CAPITALIZE ON THEIR COMPETENCE, DILIGENCE

AND GOODWILL

MANAGING GAY AND LESBIAN WORKERS

• PART OF THE EFFORT TO ATTRACT, RETAIN AND UTILIZE HR

• 75% FORTUNE 1000 FIRMS ADD “SEXUAL ORIENTATION” TO EEO POLICIES

• 1/8 TO ¼ FIRMS PROVIDE DOMESTIC PARTNER BENEFITS

• SOMETIMES A MARKET DRIVEN BUSINESS NECESSITY– TARGET MARKET– LABOR MARKET