Professional Documents
Culture Documents
8 Executive Summary
Chapter 2: "It all starts from the top.” A Korn Ferry analysis of senior executive
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leadership in hospitality, travel, and leisure
Chapter 3: The Statistics. An analysis of the data relating to gender diversity at Board
32
and Ex Co level in the Hospitality, Travel and Leisure Sectors
Chapter 5: “Not enough” female talent? A review by the Centre for Diversity Policy
48
Research & Practice, Oxford Brookes University
78 Contributor List
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Foreword
Diversity in the workplace is a hot topic and We spoke to over 100 chairmen, CEOs, NEDs,
has been on the agenda of boards across and group HRDs as well as executive search
the country for many years, becoming more firms working within the sector and surveyed
high profile following the publication of Lord attitudes and expectations of millennials
Davies' report in 2011. Every day there is a new entering the world of hospitality. The need and
article, perspective, or a piece of research that desire to do more in the area of diversity and
shows that while progress has been made, it inclusion and to amplify the efforts currently
is too slow and there is still much to do. While being undertaken by individual organisations
the broad diversity agenda (including gender, for the benefit of the whole industry have
BAME (Black, Asian, and Minority Ethnic), resulted in the development of the Diversity in
country of origin, and LGBT+) is recognised Hospitality, Travel, and Leisure Charter.
as being important, many executives are
I hope that this review will inspire all
uncomfortable addressing the underlying
companies in our sector to sign up to the
issues. This includes focusing on the largest
Charter, seize the opportunity to collaborate,
"minority" group: women. This is true across
and create an environment where diversity
many sectors and is also the case across the
and inclusion are embraced and embedded
hospitality, travel, and leisure (HTL) sector.
to create value in both societal and financial
There is plenty of research and analysis on terms for our industry.
gender diversity in a variety of different
I would like to thank all the contributors for
industries (financial services, technology, and
making the WiH2020 Review happen and
retail being primary examples), but very little
the members of the Working Group for their
has been written about how the hospitality,
exceptional guidance, counsel, and support.
travel, and leisure sector is preparing to meet
the challenge set by the 2016 Hampton-
Alexander Review to fill 33 percent of its senior
roles with women by 2020. We decided to
shine the light on the sector and enlisted the
help of a number of willing and resourceful
people and organisations including Korn Tea Colaianni
Ferry, PwC, Oxford Brookes, People1st, and Chair, WiH2020
many others to try to identify best practices
and challenges, assess reputational risk, learn
from the best, be inspired by role models, and
inspire future generations to pursue a career in
one of the most dynamic and exciting sectors
in this country.
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The WiH2020 Working Group
Tea Colaianni, Sarah Lim,
Chair, WiH2020 Managing Director and
Head of UK Consumer,
Korn Ferry
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The Diversity in Hospitality, Travel and
Leisure (HTL) Charter
In 2017 a group of leaders and opinion formers across hospitality, travel and leisure
decided to take action to accelerate progress towards an inclusive culture within our
industry and seize the opportunity to come together as an industry to amplify the
impact of individual initiatives. We want as many companies as possible to sign up
to The Diversity in Hospitality, Travel and Leisure Charter and actively contribute to
making a difference in this area.
Our vision
A truly Diverse and Inclusive Hospitality, Travel and Leisure Industry
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“Creating the environment where fabulous talent from all genders and diverse
backgrounds can flourish will be the key to success for any future leader.”
Charles Gurassa, Chairman, Channel 4; Deputy Chairman easyjet PLC and Senior
Independent Director Merlin Entertainments PLC
“Gender diversity is a well-worn topic but I am excited about the next phase. The
issue has moved beyond the idea that this is about giving a few more women
a seat at the top table; smart leaders now appreciate that diverse teams are
improved teams, more dynamic, creative, and better at solving problems. This
is now about solving for the whole, not just one group. It’s hard, though, for any
individual company to achieve great strides alone; collaboration is key. We’re
working together towards a shared goal; many men and women taking even
small steps together in the same direction can create powerful momentum and
accelerate progress.”
Helena Morissey, Founder of the 30% Club and of the Diversity Project
“The single biggest issue and the one that needs our greatest attention is that
of the pipeline of female executives. Sadly, this is more a trickle than a torrent.
Without a healthy flow, there is no hope of getting more senior female executives
onto the boards and executive teams of British businesses."
Alison Brittain, CEO, Whitbread PLC
7
Executive Summary
There is rightly considerable scrutiny diversity and the talent pipeline for CEO
into diversity in boardrooms, the media, and top leadership roles;
government, regulators, customers, and A significant number of small- to medium-
public at large, with a number of high size businesses do not think there is an
profile reviews and reports, and bodies issue regarding gender imbalance, nor see
such as the 30% Club that have led the it as a priority;
way in this ongoing debate. The second Progress on diversity in the sector is seen
Hampton Alexander Report published as ‘simplistic’, and slow in comparison to
in November 2017 was right to stress other sectors;
the improvements made across all A legacy perception of a ‘blokey/laddish’
industries to date but acknowledged the culture hinders the sector’s attempt to
pace of change will need to accelerate attract the best talent generally;
to hit the target of 33 percent female The sector attracts a high number of
representation across boards & executive female graduates, but it is not doing
committees by 2020. The report states enough to retain them;
that industry sector has marginal impact A lack of flexibility in working conditions
on whether a company has good gender and/or support for women balancing
diversity, but attributes the main driver careers with family is systemic;
to be whether the topic is given top- Larger businesses do tend to be
down business priority. more progressive in gender balance.
The report, which reveals the representation of Shareholders demand it, and most
women in Hospitality, Travel, and Leisure (HTL) recognise that their board and executive
stands at 25.5 percent and has, in many ways, management need to reflect their customer
mirrored some of the cross-sector findings of base;
the Hampton Alexander Report. The report Appointments from outside of the HTL
also highlighted a number of specific key sector have helped to increase the pipeline
trends and perspectives for the Hospitality, of talented women;
Travel, and Leisure sector, namely:
The regulatory landscape is now forcing
There are very few female role models, businesses to take diversity more seriously
CEOs and Chairmen in the sector; to change the status quo;
More female Executive Committee There is a general lack of appetite to
members reside in HR rather than engage in the debate.
Commercial or Finance, giving a false
view on the sector’s progress on gender
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Sarah Lim,
Managing Director and Head
of UK Consumer, Korn Ferry
9
Chapter 1:
Gender Diversity: The Business Case
There are numerous authoritative better able to win top talent and improve their
sources that outline the business case for customer orientation, employee satisfaction,
and decision making, and all that leads to a
diversity and inclusion.
virtuous cycle of increasing returns. This in
Fortune 500 companies in the top quartile for turn suggests that other kinds of diversity—
female representation outperform those in the for example, in age, sexual orientation, and
lowest quartile by at least 53 percent return on experience (such as a global mindset and
equity. cultural fluency)—are also likely to bring some
level of competitive advantage for companies
Recent McKinsey research highlights that:
that can attract and retain such diverse talent.
Companies in the top quartile for racial
When looking specifically at the HTL industry
and ethnic diversity are 35 percent more
compared to other industries, there is a
likely to have financial returns above their
much higher degree of customer interface
respective national industry medians.
and reliance on customer service. In the
Companies in the top quartile for gender manufacturing industry, profit is significantly
diversity are 15 percent more likely to have driven by operations and plant, and in the
financial returns above their respective technology industry, profit is driven by
national industry medians. technology, but in service industries, profit is
predominantly driven by people. Additionally,
Companies in the bottom quartile both
in service industries people (customers and
for gender and for ethnicity and race are
staff ) are diverse, hence the imperative to
statistically less likely to achieve above-
get diversity management right in the HTL
average financial returns than the average
industry is amplified.
companies in the data set (that is, bottom-
quartile companies are lagging rather than As highlighted recently in a piece of American
merely not leading). academic research1, diversity is central to
financial success in the HTL industry. While
In the United Kingdom, greater gender
diversity management is important in all
diversity on the senior executive team
industries, it is mission-critical within the HTL
corresponds to the highest performance
industry, given the diversity characteristics
uplift in the data set: for every 10 percent
of customers and staff and the high level of
increase in gender diversity, EBIT rose by
interpersonal interaction between customers
3.5 percent.
and staff. In HTL, service by staff generates
According to McKinsey’s research, the a higher proportion of the “business value”
correlation between greater gender and purchased by customers. According to
ethnic diversity in corporate leadership and this study, higher investment in diversity
profit indicates that when companies commit management will lead to improved financial
themselves to diverse leadership, they are performance.
more successful. More diverse companies are
10 1
Singal, M. (2014), The business case for diversity management in the hospitality industry, International Journal of
Hospitality Management, 40, pp. 10–19.
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Companies in the HTL sector must do more collated by Oxford Brookes University found
to take full advantage of the opportunity that 53 percent of respondents thought
that diverse leadership teams represent and their organisation was not doing enough to
create talent pipelines that are able to attract, encourage diversity.
develop, mentor, sponsor, and retain the next
generations of global leaders at all levels of The operational nature of the
organizations. sector
Work-life balance is one of the biggest
The issue challenges for those working in hospitality.
Despite the wealth of career opportunities The operational nature of the sector itself, with
it offers, the HTL sector is plagued by its ensuing high demands on employee time,
underrepresentation of women in senior roles. is a major barrier to women’s progression.
Research by Korn Ferry reveals that women Multi-site operations, travel, both nationally
make up 25.5 percent of executive committee and internationally, and long working hours
members across the sector and occupy 28 are the norm in the sector. It is clear that
percent of places on FTSE-listed boards.2 talented female staff leave the industry to start
Whilst on first impression, this appears families. There is an incompatibility of high-
reasonably good, dig beneath the surface stress, high-demand senior roles with caring
and it is clear that it masks a more systemic responsibilities of all kinds. Many women are
issue, given that a significant number of these not given enough support or encouragement
women reside in the HR function, rather than in to return to the workplace. Whilst women-
wider business leadership roles. returners programmes targeted at those who
have taken career breaks are taking off in
This dearth of women in senior roles is due to a
other sectors, they have not yet been widely
number of factors, including skills shortages at
introduced in the hospitality industry.
managerial levels, all-male or male-dominated
boards, and a large gender pay gap. There
is a high labour turnover in the sector, and Lack of role models
a prevalence of low pay, seasonal, and zero- Role models create a positive narrative
hours contracts. Women are disproportionately about women in leadership positions and
represented in lower skills and lower paid opportunities for others. They can help tell a
areas of the industry, and underrepresented in story, and attract and retain talented women.
technical areas and sectors, such as aviation. As Debbie Hewitt, Chairman of The Restaurant
Culturally, there is a need for promoting Group, puts it: “We’re just not getting our
diversity and inclusion in all forms as a way message across very well as a sector. We’re
of life. An in-depth analysis for this review by not telling the story very well about how
PwC found firms across the sector to have exciting our sector is.”
a “limited” focus on diversity and inclusion, The aim of this review is to contribute to a key
lagging behind other sectors. Few companies target: achieving 33 percent female executive
in the sector disclose their diversity and leadership by 2020.
inclusion strategies, sending the message
that it is not a clear priority, and few disclose We know that championing women’s equality
gender-diversity targets, such as board at work has a number of positive benefits
membership. including better corporate performance and
stability, a more innovative working culture,
This is brought into sharp focus when it helping to close the growing skills gap, better
comes to research looking at the views connections between organisations and their
of recent graduates. Data for this review customers, and improvement of the image
2
According to Boardex data for FTSE 350 hospitality companies 11
of the brand. Yet it goes without saying “I think a team of different people
that businesses should always be focused can make better decisions than a
on recruiting and rewarding the best talent. sole person or a team of the same
These two points are not mutually exclusive.
kind of people. The more views or
This review aims to raise not only specific
challenges that the hospitality, travel, and options we put on the table the
leisure industry will need to overcome, but also better the outcome the decision-
to provide some practical action points that making process will yield.”
companies can adopt to attract, retain, and
József Varadi, Chief Executive, Wizzair
reward employees to ensure greater gender
PLC
diversity. By implementing initiatives like these,
and the others detailed in this review, the “As a modern customer-facing
HTL sector will develop and retain top talent company, we wanted a boardroom
capable of becoming the female CEOs of
that naturally reflected our customers
tomorrow.
and hence we sought to recruit
"We have outstanding female leaders women to make up our board. We
in hospitality, yet they are still in a are now seeking to improve gender
small minority at executive level, balance in senior-management
despite countless studies proving positions for the same reason.”
that companies with female board
Richard Baker, Chairman, Whitbread PLC
members are more successful
than those without. Today's “The more we can make visible
board representation must reflect our role models, the more we can
the changing demographics of encourage and attract more talent at
workplace and workforce. Success all levels into our industries.”
and growth depend on it." Simone Roche, Founder, Northern Power
Jane Sunley, President of HR in Women
Hospitality, and Founder of HR “Our recent white paper
consultancy Purple Cubed demonstrated that access to female
“The days of relying on only a handful role models is a major source of
of leaders or ‘a few good men’ to inspiration for 74 percent of women,
make decisions is, and deserves to who agree that role models have
be, a thing of the past. In every role inspired them to develop their
and in every sector, women offer a careers. Furthermore, 75 percent
level of intellect, insight, and ability of those who regularly access role
that needs to be recognised. These models expect to further progress
skills know no chromosome bias, at their existing organisations … and
they are the simple traits that have are 42 percent more likely to achieve
made businesses successful since promotions.”
commerce began.” Karen Gill, MBE, Co-founder, Everywoman
John Kelly, Chairman, Ladbrokes Coral
PLC
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“In a recent piece of research "One reason for the slow progress
undertaken by the Work Foundation, in achieving workplace diversity,
it was recommended that changes despite its documented benefits, is
need to be made both culturally and that discrimination in the workplace
organisationally to remove barriers today is largely implicit, embedded
in place for career progression, within an organisational culture that
especially if women took time out cultivates and maintains unconscious
of their employment for caring bias. It is critical that organisations
responsibilities. Women are still identify and tackle any sources of
viewed as primary caregivers, and bias that might influence selection,
our research found a number of recruitment, and promotion
barriers when returning to work, decisions, preventing women
including being perceived by from having the opportunity to
colleagues as being less competent demonstrate their capability at this
as a result of their period of level."
leave and not being given the Dr. Zara Whysall, Head of Research, Kiddy
same opportunities as their male & Partners
counterparts. For some women
even returning to work was seen as
difficult, due to the lack of flexibility
offered by their employers or
because of the cost of childcare. It
is clear that organisations must do
more to enhance the retention of
women post-caring responsibilities,
and provide them with equal
opportunities to progress. Simple
interventions such as discussing
flexible work requirements,
communication with employees
throughout their leave, and
mentoring and support could all aid
in the retention of women.“
Dr Zofia Bajorek, the Work Foundation
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SODEXO - TOP 50 EMPLOYER FOR WOMEN FOR 4 YEARS IN A ROW
Sodexo, the global hospitality and facilities management operator, is the first business in the sector to be
listed on the Times Top 50 Employers for Women. This is important external recognition for a company that
has worked hard over the past eight years towards ambitious targets to achieve more gender-balanced senior
management teams.
In 2009, Sodexo’s global CEO, Michel Landel, on the back of increasing evidence of the business benefit
of gender-balanced senior teams and in the spirit of Sodexo’s strong values, wanted to better understand
women’s experience in senior positions. Research was conducted across the business and the Sodexo Women’s
Forum for Talent (SWIFt) was established, made up of 30 men and women from across the global business.
In order to drive the agenda across the business, SWIFt set ambitious targets. It set a goal for women to
represent 36 percent of the Sodexo senior management team by 2020, rising to 40 percent by 2025.
These targets provided the impetus and energy around an action plan devised by SWIFt. As Megan Horsburgh,
head of diversity and inclusion for Sodexo UK and Ireland, describes it: “what doesn’t get measured doesn’t get
done”.
The action plan set up activities across a number of work streams, including:
• Leadership development
• Promoting a female pipeline
• Increasing employee networks
Critically, Sodexo’s focus is on achieving a gender-balanced senior management team. Sodexo UK and Ireland
is well on its way to meeting its targets—currently, 33 percent of the senior-management team members are
women.
Horsburgh believes the focus on a gender-balanced team, rather than female progression alone, is critical in
order to get the buy-in from the business. She believes that the momentum achieved at Sodexo could not have
been achieved if it was perceived simply as a “zero-sum game for women”.
Horsburgh does not believe that any one specific workstream accounts for their progress to date, but rather
that it is the result of the sum of all the parts and the momentum this brings.
The benefits of focusing on gender-balanced leadership can be seen in the results of research Sodexo
conducted with 5,000 managers across 90 sites. It found that:
Whilst this external recognition is welcome, the business benefits of pursuing a gender-balanced senior-
management board are much more important, and Sodexo continues to make sure its agenda is inclusive.
It also continues to innovate, with initiatives such as rolling out podcasts for women to talk about their
experiences as a way to communicate and hear one another’s experience across multi-site operations.
When asked what advice she would give to other businesses starting out in this area, Horsburgh stresses two
points:
• Be inclusive: Target men and women and ensure that it is not seen as a zero-sum game
• Ensure that, whilst the agenda is driven by senior management, it permeates across all levels and parts of
the business
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Chapter 2:
"It all starts from the top.” A Korn Ferry analysis of senior executive
leadership in hospitality, travel, and leisure
Public versus private / private equity The key issue: HR versus the
ownership
rest
Within the sector there was great variation—
some companies had significant levels of Whilst the overall statistics for the sector
women in senior management roles, while on first impressions appeared encouraging,
others had no representation at all. Perhaps closer investigation revealed a more worrying
as a result of public scrutiny and mounting picture. Past research has shown that the route
pressure requiring publicly quoted companies to become CEO requires senior managers
to be more transparent, or indeed due to to have gained broad career experience in
the size and maturity of these (larger-scale) commercial, finance and/or operations/general
organisations, a greater percentage of women management roles, and our findings showed
existed in senior roles in listed companies (in that whilst the overall numbers of women on
particular at Board level) than those in private the executive committee looked encouraging,
/ private equity backed companies. if one were to strip out those residing in the
HRD seat, then the overall percentage of
women in executive committee roles in wider
Sub-sector analysis commercial, general management, or financial
Numbers of female senior executives in leadership positions drops to 20.7%.
subsectors within Hospitality, Travel and
Leisure Qualitative research: views
from the top
Travel
Companies
29.5% Interviews with Chairmen, CEOs and board
members in the Hospitality, Travel, and
Tech 28.1% Leisure industry
An emotive topic
Leisure 28% When it came to the in-depth interviews,
the topic of gender diversity proved to be
Casual an emotive one in many cases. Some felt
Dining
27.2% that despite advances in the past decade,
the legacy of the sector’s ‘old boy’s network’
remained. Others felt that the sector was not
Transport 26.8%
unique in facing this challenge: “Women face
unconscious bias all the time and in all sectors,
Hotels 25.5% and will continue to do so until there is a more
equitable representation at all levels,” said
a senior executive. One female interviewee
Pubs 25% warned of the danger of “alienating men” over
the issue and objected to any portrayal of
women as pawns of institutional sexism: “I get
Gaming 24%
really angry when women start complaining
about being victims [and] martyrs. I’ve worked
Food
Service
21.7% in travel, financial services, and software
sectors and there are more women in this
sector than there are in the others”. Some
Airlines 20.9% interviewees had never experienced any
form of sexism or discrimination, such as
17
Alison O’Connor, director of corporate affairs strong feeling of team, but also the ability to
at Arriva. “I’ve been in the transport sector have the difficult conversations more easily.”
for 16 years and I can honestly say that I’ve
But a number of respondents questioned the
never seen any discrimination, although the
focus on gender diversity as opposed to other
sector undoubtedly needs to attract more
forms of diversity, which they felt to be equally
women into senior roles and support their
important. “I would say that ethnic diversity
development,” she said.
is a far greater challenge for us in the pub
The majority of our interviewees, however, sector,” said the HR director of a leading pub
acknowledged that gender parity was an issue. chain. This view was echoed by one chairman:
Only a handful were unaware of the lack of “I’m not sure why gender is more important
senior female talent in the sector, and very few than race or age.” And Debbie Hewitt,
felt that the industry was no worse or better chairman of The Restaurant Group, said “All
than others. Neil Gallagher, the chief executive elements” of diversity mattered to a high-
of the hotel group GLH spoke for many when performing board, citing youth as an often-
he said: “There is an indisputable issue with overlooked element: “It is a narrow-minded
gender parity in the sector and the equal board that does not find a way of bringing the
representation of men and women, which disruptor’s mentality that many young digital
needs to be addressed. In an industry that natives bring to today’s consumer offering.”
is so focused on looking after the individual
However, as Susan Hooper, former CEO at
and delivering high levels of customer
Saga PLC and non-executive director of Wizz
satisfaction, we need to ensure we look after
Air and Rank Group said: “On the face of it,
our talent in the same manner—nurturing
no one could disagree that gender-balanced
and supporting great people, regardless of
teams are a good thing. It’s getting people to
gender.” This reflection on the workforce being
do something about it that’s the issue.” Simon
representative of the customer base was one
Vincent, executive vice president and president
picked up by Roeland Vos, president and CEO
EMEA at Hilton, added: “Raising awareness of
of Belmond Hotels who said, “It is important
the issue is half the battle.”
to us that our organization is representative
of the wider population, both in the overall
workforce but also at our leadership level. It Barriers to progression
will help us understand our employees, guests, When it came to barriers to progression
and the world better.” at a senior-executive level, a number of
No one interviewed disputed the benefits of contributory factors and themes were explored
gender-balanced senior-management teams, by our interviewees.
with one HR director pointing to the well- The sector’s focus on operations, with the
documented positive commercial and cultural ensuing high demands on employee time
impact that this can have: “Having a balanced
senior team bonds the team in a different Work-life balance is one of the biggest
way—it’s more like a family with a range of challenges for all those working in hospitality.
approaches, which leads to a healthy friction.” The nature of the industry and its focus on
multi-site operations is inescapable. Whilst
Emma Woods, customer director of career opportunities are versatile, senior
Wagamama echoed this idea: “I work for a executives are required to be flexible about
business with a new female CEO who insists job locations—and about putting in long
on collaboration and communication among hours once they arrive. The practical, on-
us, and designs meeting structures and team the-ground nature of hospitality was cited
away-days that facilitate this. The result is a by several of our interviewees as having a
knock-on effect on gender diversity. However,
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Male chairmen and chief executives hiring The perception of a ‘blokey’ or ‘laddish’
in their own likeness culture within the sector
To some degree, this is related to unconscious This is an issue for many firms and subsectors.
bias, as Susan Hooper suggests, “The ease As Karen Myers, group human resources
of hiring within one’s comfort zone has director of betting firm William Hill said,
perpetuated the inequality.” With men still “We’ve worked hard to overcome the ‘blokey’
holding most senior roles, it is unsurprising reputation that our sector has, in order to
therefore that organisations have tended attract more senior female talent.” The culture
to prefer masculine leadership styles and in some organisations is still, however, based
behaviours because it is what they are used on male leadership style and behaviours.
to and what often feels more comfortable. Women are often not well served if they
However, as Susan Hooper also notes, “As men try to adopt these behaviours, and a toxic
are in situations where there are more women culture can see women leaving the workplace.
than before, their comfort levels will change.” Organisations need to work hard to develop
inclusive, meritocratic, and collaborative
The role of unconscious bias in
working cultures to help achieve their
recruitment decisions
business’s goals.
As one managing director said, “There has
A lack of celebrated female role models
been a traditional male bias in our industry.” It
is now uncommon for organisations to display This was a perennial theme amongst our
overt bias in hiring, developing, or promoting interviewees. “We think we’re OK and pat
employees, but subtle bias can be harder to ourselves on the back for a diverse workforce
identify and prevent. Setting internal targets, at entry level, but we can on occasions
measuring progress, and analysing results can overlook the lack of senior female role
create a more transparent recruitment process, models,” said Debbie Hewitt. We need to
as will empowering people to challenge bias champion female role models that are an
when they find it. example and encouragement to others, but
we also need to look more broadly at business
The sector’s poor record in managing
sponsors and board mentors who can provide
the talent pipeline, resulting in a smaller
insight and support and who can help women
female talent pool
manage their careers more proactively.
Opportunities for women to progress to CEO
A lack of confidence amongst women
roles are limited. Many interviewees pointed to
when it comes to a push for promotion
issues with the ‘talent pipeline’ as a reason for
underrepresentation of women. We know that Women need to be more proactive in
some women leave the sector, often around seeking out roles and projects that equip
middle-management level, but often women them for senior leadership. They need to
can get ‘stuck’ at a particular level. Women take on challenging and difficult roles that
perform well in areas like HR, which bolsters a give them more visibility in an organisation.
strong company culture, builds talent, engages Said Karen Caddick, of over-50s travel firm
employees, and collaborates. Men have Saga: “I have noticed that women are not
traditionally dominated in the areas of finance always as proactive in pushing for promotion
and strategy, which have been perceived as opportunities as men are. [Women are often]
more important skills in senior roles. driven by a desire to be recognised on what
they deliver, rather than to lobby for a bigger
job, but also sometimes that’s due to a lack
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21
of confidence. I see a part of my role, as provide equal opportunities to all,” said Craig
group HR director, to ensure that we develop Cochrane, the senior vice president of HR at
a culture in the business where we find ways Movenpick.
to compensate for this and level the playing
field through the use of proactive talent review All talk and no action?
discussions, mentoring, and ensuring that
our senior women’s skills and capabilities are When it comes to changing the status quo, the
recognised and discussed.” way forward for the sector is more nebulous.
The vast majority of our respondents were
None of the above will be surprising to anyone adamant that the best person should get the
who has ever looked at the subject of gender job, irrespective of gender. As one chairman
in the workplace. Many of these are societal- succinctly remarked, “Companies need the
wide issues, and are by no means unique to the best people. Fullstop.” This was a view echoed
hospitality, travel, and leisure sector. However, by many. Very few interviewees—only two out
critical factors for the industry appear to be of a hundred—were in favour of the imposition
the importance of operational experience, and of quotas. Simon Laffin, the chairman of Flybe,
the tendency for male dominated boards to spoke for the majority when he said: “I don’t
appoint in their own likeness. When it comes believe in imposing quotas to diversify a
to the latter, male dominated boards need company's board. In looking for the right next
to send a clear message to both current and Flybe chief executive, we simply chose the
would-be female employees about how their best candidate."
contributions will be valued and recognised.
“It all starts from the top and that attitude Interestingly, a different perspective is held
permeates throughout the business,” notes by Ufi Ibrahim, the chief executive of the
Simon Vincent, the Executive Vice President British Hospitality Association, who told us:
and President of Europe, Middle East and “If genuine change is desired it needs the
Africa, Hilton. introduction of quotas. It will take far too long
if we wait for change to happen gradually.”
And many of the above factors are inextricably This is also the perspective of many leaders in
linked: a limited talent pool means fewer role other industry sectors.
models, for example. This is particularly true
of homegrown talent – that is senior female Where specific interventions have been made
leaders who have worked their way up from to address obvious issues, such as a lack
the bottom. Whilst the appointments of Chief of female pilots, these were seen as long-
Executive Carolyn McCall at easyJet in 2010 term solutions. Initiatives such as working
and, more recently Alison Brittain at Whitbread with schools and colleges, or apprenticeship
in 2015, were positive news stories, both came schemes, for example, were too recently
from other sectors, so did little to further the introduced to have produced tangible results.
argument that hospitality provides robust and The majority of our respondents were
positive career paths for women. chairmen, CEOs, and HR directors, all of whom
One chief executive of an online travel have a natural interest in the internal and
company pointed out that whilst the weekly external perceptions of their business, and
commute is now commonplace for men, the concern for its strategic direction. Many shared
number of women prepared to travel long their frustrations at what they sensed to be
distances seems to be lower, possibly due to a general apathy and resistance to any sort
family commitments or personal choice. “I of flexibility within the sector. Martin Shuker,
believe that decisions about travelling long the managing director at KFC UK, summed
distances for work are a matter of personal up these views when he said: “There are many
choice. The only thing a company must do is barriers for female employees. There needs
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Perspectives
“Recognising top retail, operational, or commercial talent, identifying positive case studies at all levels, and
celebrating the achievements being made by women in our industry is critical to promoting gender diversity
as well inspiring our workforce of the future.
It not only shows what can and is being done, but crucially it helps to bust some of the common myths that
are out there about the type of roles and work practices that lend themselves to flexible working, highlight
that operational or senior roles are not incompatible with motherhood and tackle the perception, particularly
prevalent in the pub and bar sector, that a solely operational career history is essential to board or leadership
positions.”
Most BBPA members’ boards have women directors, and women have been reaching roles traditionally
taken by men, such as at London Brewer Fullers, where the head brewer is now a woman. Good progress has
been made, but we need to build on this, to reflect our society, and acknowledge the importance of women,
whose role as consumers and decision makers is increasingly important."
Brigid Simmonds OBE, Chief Executive, British Beer & Pub Association
Over the past eight years through the Women 1st campaign we have supported hundreds of businesses in
the hospitality sector and in other parts of the economy to identify barriers to progression, create the right
culture and systems and put in place bespoke support to help more women progress into senior roles. A lot
has been accomplished, but as the WiH2020 research highlights, there is much more to do. Too often efforts
to promote inclusion and diversity in the hospitality travel and leisure sectors have been hampered by a lack
of real co-ordination, which has potentially stunted our collective impact. I hope this research stimulates a
real sense of partnership in the sector to address the challenge head on.
But it is important that women are represented equally at all levels of the sectors, reaching up to chief
executives, directors, and board members. This is important not only for the prospects of individual women
leaders, but to highlight the potential of all women and to build further momentum for equality in our sector.
It’s great to see reports and initiatives that support this objective, and I’m happy to join all the other leaders
supporting this vital initiative.
Gloria Guevara, President & CEO, World Travel & Tourism Council
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to be an acceptance that they can take their and poor engagement survey results across
foot off the gas to have a family and not be the business. “Coming from another sector,
signalling that they’re not committed to their I would say that there is a distinct lack of
careers.” investment in the development and coaching
of senior managers. This might be due to the
At the other end of the spectrum, a number
highly tactical nature of the sector, but still it is
of senior executives—mostly chief executives
quite a marked difference compared to other
of smaller, more entrepreneurial businesses
sectors,” said Anne Françoise Nesmes, the
and/or those that were private equity
chief financial officer at Merlin Entertainments,
backed—thought gender was a non-issue,
who made the move to leisure from the
and maintained they only recruited the best
pharmaceutical industry in 2016.
candidate for the job, regardless of gender, or
race and sexual orientation. “As a business, gender equality is
something Hilton is fully committed
Beyond quotas to. We are a global company that
Some solutions were offered by our welcomes guests from all over the
interviewees, including balanced shortlists, world, and we are acutely aware of
inclusion of women on interview panels, and our responsibility to help lead the
a greater willingness to look outside of the way in terms of gender balance
usual suspects. Others called on recruiters in the hospitality sector. We strive
to embrace a far greater degree of creativity
to see talent and innovation, not
and risk-taking in recruitment, for example, by
gender.”
championing job sharing. Many interviewees
were cautious, and were keen to stress that Simon Vincent, Executive Vice President
gender diversity was a balancing act. The and President, Europe, Middle East and
HR director of a leading pub chain said: “Our Africa, Hilton
starting principle is always to take the best
person for the job, but we made it clear to the Conclusion
headhunters that we would be very interested
Unsurprisingly, there were very diverse views
in seeing compelling female talent. We did
on this topic from those interviewed, although
not go as far as saying that we needed an all-
nearly all were in agreement that whilst
female shortlist, as that would not have been
applauding progress made to date, there is still
right.”
much to be done. Many good examples and
ideas were put forward by those interviewed
Perception and reality to help address the issue, although legislation
Many of those recruited from outside the to drive quotas to encourage more gender
sector expressed surprise at the dearth of diversity was not a popular solution. What was
senior female talent in what they perceived apparent was that change starts at the top,
as a fun, flexible, and consumer-focused and businesses within the HTL sector need to
sector. Many HR directors had been brought think harder about how they recruit, develop,
in—notably from financial services—to promote, and reward women; build the
specifically look into the issue of diversity. pipeline (and retain women within it); embed
Several commented that some early initiatives the right culture; and lead by example to effect
had not landed well. For example, female- industry change.
only development programmes were seen
to exclude male talent, and often resulted in
large groups of disaffected male colleagues,
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INTERVIEW WITH FLYBE CEO CHRISTINE OURMIÈRES-WIDENER
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INTERVIEW WITH EMMA WOODS, CUSTOMER DIRECTOR, WAGAMAMA
Wagamama is one of the very few companies in the sector with 60 percent female representation at
executive-board level. How did that happen?
There has been a 50 percent representation of women on the board for the last 18 months. The new
executive board moved to 60 percent female when Jane Holbrook was promoted from chief operating
officer role to chief executive, and I joined as customer director in April 2017.
Are the team dynamics different, and if so, in what way? What works well? What works less well?
It’s hard to pinpoint the differences because they are all subtle. But if I had to characterise it, I would say the
discussions are more honest and we combine robust challenge with a strong sense of collaboration.
Is there any advice you would give to boards that are trying to become more diverse?
The management textbooks all tell us that diversity of thought helps businesses grow, so I’d ask the question
back to the board: “What’s holding you back?”
Any words of wisdom for women who want to progress within the sector?
This is a fantastic sector for women to flourish in. It’s a sector that weeds out the average, but massively
rewards real innovation and strong people leadership. So, if you care about delighting customers plus
motivating young teams to deliver great service, which I know many women do, you are likely to be hugely
successful. Just be prepared to bring your passion for it.
Together with a group of high performing general managers, we opened up a discussion around diversity
within Odeon and any perceived barriers to progression for women in the business. We held a number of
listen-and-learn sessions with female leaders to explore the barriers and find solutions to help support the
current and future female leaders.
We identified a number of areas to focus on: instilling confidence, or the feeling an employee has earned
her place within the business; refreshing our maternity information and package to ensure it is user-friendly;
providing paths for education and learning; simplifying business jargon; and teaching how to challenge
constructively.
We delivered a development programme for female leaders across our cinema-operations business and
support-office functions. The key areas of focus for the programme were based on issues raised through our
working groups:
• Being assertive
• Lacking confidence in leadership abilities
• Not being heard in meetings or conversations
• Establishing authority with tricky teams
Our delegates have reported they feel more supported by other female colleagues from the programme,
have taken responsibility for their own careers, and improved self-awareness.
Since we launched this initiative, our promotions have been equally split between men and women.
In addition to the work done so far, we are offering diversity training, additional development programmes,
mentoring opportunities, and events that will unite the business to champion diversity.
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Chapter 3:
The Statistics. An analysis of the data relating to gender diversity at
Board and Ex Co level in the Hospitality, Travel and Leisure Sectors
The Hampton-Alexander Review FTSE 100
published its second report in November
Overall the Hampton-Alexander Review shows
2017. In this section, we have looked at
there has been little change in the overall
the data from its report and highlighted representation of women in the combined
the gender representation of listed executive committee and direct reports of
companies in the HTL sector. We listed companies. The percentage remains only
also conducted our own research on slightly up from 25.1 percent to 25.2 percent
companies in the HTL sector that are in 2017. There has been greater movement in
either listed outside of the UK and have a the representation of women on the executive
committee, which has risen to 19.3 percent this
significant workforce in this country and
year compared to 18.7 percent in 2016. The
companies that are privately owned. direct reports layer, which given its relative size
skews the overall percentage on a combined
FTSE 100 basis, is slightly up at 26.1 percent.
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33
female CEO in the HTL FTSE 100). There are Pizza Group PLC) hold the position of senior
only 14 women senior independent directors independent director in the HTL FTSE 250
(SIDs) in the FTSE 100 and 57 on the FTSE group.
350 overall. Given that some 600 women have
In October 2017, there were only eight all-male
been appointed to FSTE 350 Boards since
boards in the FTSE 350, down from 152 all-
2011, the expectation in 2018 and beyond must
male boards in 2011 and down from 11 in 2016.
be that many more women are appointed
The Hampton-Alexander Review notes that
into chair and SID roles. Debbie Hewitt at The
interestingly, the all-male boards represent six
Restaurant Group is the only woman chair in
different sectors of industry and cites poor
the HTL sector, and four women (Elizabeth
leadership and lack of commitment as likely
McMeikan at Wetherspoon JD PLC, Dawn Airey
barriers to women's progress.
at Thomas Cook Group PLC, Carolyn Bradley
at Marston’s PLC, and Helen Keays at Domino’s
FTSE 100
International Consolidated
18.2% 20.5% 11 0 2
Airlines Group SA (IAG)
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FTSE 250
NO DATA
Wetherspoon (JD) PLC 37.5% 8 1 3
SUBMITTED
NO DATA
Marston’s PLC 25% 8 0 2
SUBMITTED
NO DATA
Wizz Air Holdings PLC 20% 10 0 2
SUBMITTED
New Entry to
888 Holdings PLC 0%* 5 0 0
Index
* 888 Holdings PLC has since appointed a woman non-executive on its board.
35
It is fair to say that the picture is rather HTL FTSE 100 ExCo/DR
mixed. The FTSE 100 companies seem to be Average of
doing well in terms of non-executive women 24.95%
directors (with three exceptions), but rather female
poorly in terms of the executive committee
HTL FTSE 250 ExCo/DR Average of
and direct reports level. The FTSE 250 appears
to have focused more on the female leadership 31.21%
pipeline with some very pleasing results, and female
significantly less on women on boards with
HTL Non-Listed Average of
the overwhelming majority having to take
Organisations ExCo/DR
serious and urgent action to meet the target 25.69%
set by the Hampton-Alexander Review. It is female.
rather disappointing that three companies in
HTL Non-Listed Average of
the HTL sector did not submit their executive
Organisations ExCo/DR
committee and direct reports data. Still, two
excluding HR Directors 21.47%
of them have a woman senior independent female
director on their boards. This is encouraging,
and hopefully they will participate in the However, it is notable that if one were to
Hampton-Alexander Review survey next year strip out those residing in the HR seat, the
and report positive figures. overall percentage of women in executive
committee roles drops to 21.47 percent. This
Companies that are not listed in the UK is a positive reflection on the standing of the
(either listed elsewhere or privately owned) HR community in the HTL sector. However, it
We reviewed female representation at does reinforce the point that there is work to
executive committee/direct-report-to-the-CEO do in the sector to develop women in broader
level across companies that have a significant commercial, general management, or financial
workforce in the UK but are listed outside of leadership positions, as past research tells us
this country, and those companies that are that the path to CEO roles is often via these
privately owned. The statistic for this group functional routes.
at 25.69 percent is comparable to those of
the HTL companies in the FTSE 100 executive
committee/direct report group, although
clearly less progress has been made in this
group than in the FTSE 250 companies.
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Chapter 4:
Magnet for talent or employer of last resort? PwC assesses diversity &
inclusion in the hospitality, travel, and leisure industry, and its effect on
brand and reputation
A company’s reputation when it comes by discouraging women to take up careers
to diversity and inclusion is increasingly within the industry, or choose to work for
important in attracting and retaining rival companies within it. It can also put off
customers, many of whom may be friends or
both customers and employees.
family members of employees.
Analysing how the diversity and inclusion
objectives and records of leading At the other end of the spectrum, positive
perceptions of diversity and inclusion can help
hospitality companies are publicly
make organisations stand out. A company
perceived,5 consultants PwC looked at that has a good reputation for diversity and
how companies come across, and how inclusion can inspire confidence among
they can turn their reputation into a women, who can be sure they will get the
source of strength and credibility. support they need, with tangible initiatives
such as access to training and flexible hours.
Introduction: Diversity and They also know that they’ll have a fair chance
of gaining promotion and reaching the top
inclusion matters echelons of the organisation.
The hospitality, travel, and leisure industry has
The reputational benefits don’t just apply to
much to offer able and ambitious people. Yet,
women. PwC research shows that more than
fair or otherwise, public perceptions shaped
80 percent of millennials—generally defined
by the prevalence of low pay, seasonal, and
as those born between the mid-1980s and the
zero-hours contract work create challenges
mid-1990s—believe that an employer’s policy
for recruitment, motivation, and retention
on diversity, equality, and workforce inclusion
within the industry. Analysis carried out
is an important factor when deciding whether
by training organisation People 1st in 2015
or not to work for that company6. This belief
points to a ‘revolving door culture’ within
held true for both genders.
many hospitality companies, which has led to
severe staff shortages and productivity falling Getting this right will improve hospitality,
behind other sectors7. There is early evidence travel, and leisure companies’ ability to
that the consequences of the vote on the EU select from the best talent, boost motivation,
referendum are being felt in the sector, and the and reduce turnover. The workforce and its
fall in net migration means that service-sector leadership will also better reflect the diversity
companies that rely on large-scale recruitment of the customer base and understand its
of skilled workers is becoming more difficult. demands.
Therefore, the need to tap into existing and
new talent pools is more critical than ever.
Leading
Advanced
Defined
Simplistic
‘Simplistic’ scores 1 out of 4 (25%), ‘defined’ scores 2 out of 4 (50%), ‘advanced’ scores 3 out of 4
(75%) and ‘leading’ scores 4 out 4 (100%)
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Few companies disclose their strategy on Whitbread promotes female role models
diversity and inclusion; meaning that even and mentoring as part of its public
if they have a strategy, it’s clear that it’s not commitment to bringing more women into
a priority within their communications. This leadership; eventually aiming for 50/50
can create a perception that equality itself representation. Clear signs of progress
isn’t a priority. include a female chief executive.
41
Most companies we analysed are aware other responsibilities, and as part of this have
of the 33 percent target for female innovative arrangements for working flexibly
representation on boards, advocated in and providing support with childcare and
the Davies Report.8 They’re either working parental leave.
actively towards achieving the target,
What’s working well
or have set their own internal targets on
female progression. Many are making Thomas Cook seeks to ensure gender
strong progress. Some have achieved balance in recruitment shortlists.
female board representation of over
Yum! Brands advertises job openings in
40 percent, and most have at least 20
online networks used by diversity groups
percent. But neither this good news, nor
and associations.
the targets that underpin it, are sufficiently
communicated or promoted. Mitchells & Butlers runs a well-promoted
women’s returner scheme for staff who
What isn’t working
have taken career breaks. Successes
A common and critical weakness across include encouraging women targeted for
the industry is a lack of ownership or senior management to come back to work
sponsorship of diversity and inclusion at least part-time.
strategies from the board. Instead, strategy,
What isn’t working
development, and execution are largely
left to HR. But diversity and inclusion can Lack of programmes to target and support
be more effectively addressed and aligned recruitment from diverse talent pools and
with overall business strategies if clear lack of information on what companies can
oversight and direction come from the offer women returning to work.
board.
Absence of detail on flexible working and
What other sectors are doing part-time working that makes it easier to
attract those with care responsibilities.
Executives take charge of diversity and
inclusion strategy, sponsoring initiatives Non-existent or limited disclosure on the
and publicly commenting on progress gender pay gap, although this may change
and planned developments. Some with incoming regulations9.
have extended their roles and become
Non-existent or limited public
advocates for diversity and inclusion within
commitments on embedding diversity and
their industry.
inclusion goals and targets within standard
Using role models to create a positive HR processes. This is vital in ensuring that
narrative about women in leadership HR interventions work in a coordinated
positions and opportunities for others. way.
Role models include women in executive
What other sectors are doing
positions who are working flexibly.
Promoting a range of recruitment
HR processes
programmes and initiatives, including
The aim: Organisations show that they have ensuring diversity of both candidate
comprehensive diversity and inclusion policies shortlists and hiring panels.
and supporting processes in place in areas
Looking beyond minimum compliance
such as recruitment and career progression.
with gender pay disclosures. For example,
They regularly report on progress and act on
presenting strategies for closing the pay
this information. They articulate a compelling
gap, and linking this to wider diversity and
employee value proposition for women with
42 8
UK Government media release, 29 October 2015 (https://www.gov.uk/government/news/lord-davies-ftse-350-boards-should-be-33-female-by-2020)
9
Equality Act 2010 (Gender Pay Gap Information) Regulations 2017 requires employers with more than 250 employees to publish information about their
gender pay gap results. (http://www.legislation.gov.uk/ukdsi/2017/9780111152010).
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inclusion programmes in areas such as Four key questions that will allow firms to
recruitment and talent development. take the initiative
Promoting and advocating shared parental Our analysis highlights large gaps when it
leave; reviewing flexible working and work- comes to diversity and inclusion, and shows
life balance programmes to attract a more there is a need for progress in the industry.
diverse workforce. Hospitality companies can’t ignore how they
come across on the issues of diversity and
Other diversity and inclusion initiatives
inclusion: These issues are a key basis for
The aim: Organisations demonstrate that how stakeholders judge them. But by actively
initiatives such as employee networks or managing their reputation companies can
unconscious bias awareness training are in turn this scrutiny to their advantage. With
place and built into the wider strategy and this is mind, we believe that there are four key
management of the business. questions that organisations need to actively
address.
What’s working well
1. How are you perceived across the four
Merlin Entertainments and British Airways
areas of strategy, leadership, HR processes,
are among the companies making strong
and other initiatives?
progress when it comes to promoting
affinity and network groups. 2. What risks and opportunities do these
perceptions open up?
Many companies are entering awards and
celebrating achievement. 3. What is your strategy for addressing these
risks and opportunities?
Many companies are disclosing information
on mentoring/development opportunities. 4. How do you measure and communicate
progress?
Training for executives is well promoted.
44 9
UK Government media release, 29 October 2015 (https://www.gov.uk/government/news/lord-davies-ftse-350-boards-should-be-33-female-by-2020)
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ACTION POINTS On an organisational level
Consider analysing pay gap figures from Ensure that existing industry wide
firms across the sector, and, as the picture groups and initiatives are current and
emerges, identify the root causes of the used by individual firms to enhance
gap (which is likely to be common for most any internal initiatives. For example, HR
firms). programmes and employee networks
may make more impact on a sector-wide
Focus on the narrative of what is being basis—this is particularly relevant for
done at the industry level to address the smaller organisations. Review the goals
issue. and progress of those in place to ensure
maximum impact, and consider if and how
new initiatives should be put in place where
significant gaps are identified.
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Pizza Express
Nando’s Ltd
Punch Taverns
47
Chapter 5:
“Not enough” female talent?” - Views from the world of executive
search by Professor Simonetta Manfredi and Ksenia Penchukova of the
Centre for Diversity Policy Research and Practice at Oxford Brookes
University
49
Positive action in recruitment and promotion generally, more prepared to apply if they meet
only part of the criteria. A few consultants
The 2010 Equality Act contains provisions that
suggested that some women should take
allow employers in a tie-break situation to
a more proactive approach to their career
appoint a candidate from an underrepresented
management.
group (e.g., a woman or minority). However, it
is clear that this is currently underutilised and One gender difference noted by many
possibly poorly understood. Most consultants consultants is that women are more likely
had not come across this provision being used to refer to commitments as a team effort:
or considered by their clients, and a few did “We did this,” as opposed to men, who are
not seem to be aware of its existence. more likely to provide an individual account
of their achievements: “I did this”. And even
Only two interviewees had examples of clients,
fewer engage with networking, putting at a
who when faced with two equally competent
disadvantage those “who aren’t in the right
and experienced candidates, had chosen to
ecosystem to be picked out”.
appoint the female or minority candidate.
“Achieving more diverse leadership
Gender differences: myth or reality?
can’t just be solved at board level
Most interviewees observed some differences without first removing the blockers
between male and female candidates. These to female talent progressing through
related to the way men and women engage
the organisation. Simply, the available
with executive search firms, namely their
confidence in putting themselves forward for candidate pool of female and black
more senior roles and the way they present and minority ethnic candidates at a
their achievements. A few consultants, senior level remains too small; the
however, felt these differences were more likely leisure sector in the UK needs to take
to relate to individuals’ personalities rather a long-term view and really invest in
than their gender. growing, mentoring, developing, and
“The selfless executives who puts the business retaining diverse talent.”
first”
Elliott Goldstein, partner and head of
Several consultants reported that when they retail and leisure practices,
approach potential candidates, men tend to The MBS Group
be more responsive than women. Anecdotally, Conscious or unconscious bias?
they added that if they are not actively looking
for a new job, women tend to be very focused Most interviewees acknowledged that bias—
and committed to their current role. As one both conscious and unconscious—may
consultant put it, women are more likely than influence the recruitment process. As trusted
men to be the “selfless executive who puts the advisers to clients, consultants can play an
business first”. important role in challenging preconceptions
and stereotypes, and can, as one consultant
Are women less confident? put it, ask “powerful questions” throughout
Several interviewees felt that women tended to the recruitment process such as “why is
be more self-critical than men. One interviewee that important to the role?” and “why is that
noted that women “expect to be recognised, relevant?”
rather than push for recognition.” Others noted The importance of using inclusive language
that, generally, women only consider applying in job adverts was also noted, along with the
for a new role if they think that they can meet need to tread carefully when using specific
all the job criteria, as opposed to men who are, words to define candidates’ qualities, for
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example, ‘impressive’ or ‘presence’, which candidates. It is also important that interview
may be difficult to articulate and could reflect panels are made up of a diverse group of
subjective judgements and unconscious bias. individuals, to reflect different points of view
and perspectives. If organisations cannot find
The interview process itself was described by
a senior woman to be included on an panel,
one consultant as a potential “bias minefield.”
as one consultant put it, “[it] says something
It was suggested that panel interviews, which
about the team”.
can be subjected to ‘group think’, be backed
up by a strong, in-depth assessment of
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ACTION POINTS
Interviewees identified a number of action points for organisations in the hospitality industry and
for executive search firms themselves.
For Leaders
Be less prescriptive about job requirements. As one interviewee said, “If you always go for the
same option, you are always going to get what you always got.”
Adopt more agile and flexible working styles. These are equally important to both men and
women with family responsibilities, especially, as one interviewee noted, among younger
employees: “Millennials coming into the business…[will] have a different take on life.”
Raise gender diversity with clients, even if it is not on their agenda. “Push the boundaries within
the specifications and requirements for a role,” said one interviewee. This can help to widen the
talent pool and include more women at the long-list stage.
Be proactive and look for talented women. Said one consultant:“Who are the women to watch?
Who are the ones that we think have potential? [If ] a client has not asked you to do it… go out
and do it anyway”.
Host networking and social events for women who aspire to senior roles.
Publish anonymous gender statistics. It helps to keep track of the work being done to promote
women as part of the search process.
Encourage culture change. Talk to clients about ways their organisations can be more inclusive
and diverse.
Fraser Giles
Russell Reynolds
Partnership
53
Chapter 6:
Reasons to be optimistic: recruiting and retaining female graduates
By Angela Maher, Acting Head of the Oxford School of Hospitality
Management – Oxford Brookes University
10
Oxford Brookes University wishes to thank the 30% Club and KPMG for kindly allowing to use some of the questions from
the Think Future Study (April 2016) https://30percentclub.org/assets/uploads/UK/Research/Think_Future_Study_Final.pdf
54 to survey Hospitality graduates and students
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Where are female graduates working? These are the same five factors for male
graduates in our sample, although they place
The majority of graduates are working in the
slightly more emphasis on the first two (80
UK (57 percent), with the rest dispersed fairly
percent and 71 percent respectively). It is clear
widely across European and other international
that opportunities for career progression is
locations. By far the largest employment
the number one factor for graduates when
sector for these graduates is in hotels, which
choosing an employer, closely followed by
employ almost 60 percent of respondents,
competitive salary. It is unsurprising that
followed by travel (14 percent), foodservice/
graduates are also seeking employers who
contract catering (8 percent), and events (7
will offer excellent training and development
percent). Other graduates are spread across
opportunities, as not only is this linked to
a diversity of hospitality sectors in smaller
promotion and salary, but this often adds
numbers.
meaning to work, resulting in higher levels of
What attracts female graduates to employers? job satisfaction. The importance of flexible
working correlates with previous research that
The five most important factors cited by
suggests that millennials and generation Z
female graduates are:
put a high emphasis on work-life balance and
1. Opportunities for career progression (72 flexibility.
percent)
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advance their careers as far as they want (84 employers are too male-biased (22 percent
percent), and 79 percent believe they will have and 21 percent respectively) and 33 percent of
the opportunity to do so. This gives employers respondents felt their gender has played a key
a positive platform to build upon if they wish role in them missing out on a raise, promotion,
to attract and retain female talent. With this key assignment, or chance to get ahead.
in mind, what does the research suggest they
Flexibility, work-life balance, and making the
need to focus on?
work meaningful
Diversity matters
All of our female graduates and students
It is clear from our research that both female made it clear that work-life balance was a top
graduates and students are seeking to work priority: 88 percent of graduates said it was
for employers with a strong record on equality ‘very important’, and it is also top of the list
and diversity. Almost all graduates—93 for current students. However, 59 percent of
percent and 67 percent of students state that graduates report that the demands of their
an employer’s policy on diversity, equality, current job significantly interfere with their
and workforce inclusion is important when personal life.
deciding whether to work for them.
The results of the study indicate that whilst
“When I look at joining a new the majority of employers offer some sort
company, I Google the most of flexibility initiatives, 35 percent of female
influential people i.e., managing graduates do not believe these are available
to them in practice, and a further 30 percent
directors, directors, C-suite and I note
believe taking advantage of such programmes
how many are female.”
will have negative career consequences.
When asked how much of a priority gender This is clearly worrying, and it indicates that
diversity was in their current workplace, the employers could be doing more to promote
results indicate that graduates themselves see uptake of such initiatives, as well as to give
gender diversity as more important than their women the confidence that flexible working
chief executive or direct-line manager. There is will not negatively impact their careers.
clearly work to be done here, especially as 79 Although only a small percentage of women
percent of graduates believe gender-diversity in our survey are mothers, it is clear that
programmes to be a ‘good thing’ to have in the as women progress, children can have an
organisation. important impact on their careers.
Our findings also show that more can be done “My view is that women
in regard to equal opportunities at work; 60 unfortunately still often have to
percent of respondents agree that whilst
choose between career and building
organisations talk about diversity, they don’t
feel opportunities are really equal for all, and a family.”
53 percent believe their organisation is not It is not only women returners that employers
doing enough to encourage diversity. need to focus on, and indeed this issue may
be overplayed. Women of all ages and in
“It is male-dominated, and doesn't all circumstances are looking for greater
look like it will change any time soon flexibility in their lives, and employers would
… they will… continue to employ do well to look closely at career breaks and
males at the top, regardless of international opportunities. One respondent
females being more qualified or able.” said she “always resigned” from jobs in order
to travel; another said she left in order to move
When it comes to promotion and
geographically.
development, some women feel that
57
Employers also need to consider how to
keep work both meaningful and interesting,
namely through training, development, and
challenging projects and assignments.
Summary
Whilst the research reveals some depressingly
familiar scenarios, including the lack of women
in senior roles, the lack of career progression
opportunities, and a mismatch between
how hard women work and their level of
compensation, the findings do suggest many
reasons for optimism. For example, there is
great potential for mobilising role models
to support development of women. There
is also a high proportion of women who are
not actively seeking other employment, or
who intend to stay with current employers, so
employers have an opportunity to capitalise
on this stability. What was surprising from the
study was the degree to which employers'
reputation for equality and diversity is
important to both students and graduates
when seeking to work for an organisation—this
really matters. The research also reveals high
levels of self-belief among female respondents
that they can reach the highest levels in an
organisation. If employers can capitalise on
this by providing more support to help women
reach the most senior roles, then the HTL
industry will be a much better place to work
for female graduates.
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Chapter 7:
Supporting Female Leadership
1. ‘Female Leadership: Emotional Having coached many female leaders and
Intelligence to the Fore’ – Personal aspiring leaders, I see two common themes.
reflections from James Hyde, founder, Firstly, chief executives are often slow
Fresh Limits Coaching Consultancy to realise the power of diversity in their
leadership teams, and the balance between
Much has been written about gender
traditional intelligence (IQ) and emotional
inequality in the workplace, and it will no
intelligence (EQ) is frequently overlooked.
doubt remain as a top agenda item until more
Secondly, female leaders often underestimate
balance and equality has been achieved. In
their ability to leverage their EQ skills to
my earlier incarnation as a headhunter, I must
develop more open, loyal, and cohesive
admit to being oblivious to any undercurrents
environments.
of frustration that female colleagues held.
During my 30 years in business, I have
Throughout my career, I have worked
consistently seen women display stronger
alongside highly successful and high-earning
empathy, better listening, and greater
female colleagues. Why did I miss the nuances
collaboration than men.
and, with hindsight, the obvious bias that
existed? Whilst female leaders can be encouraged
to express and assert themselves in a more
In my current role as a leadership coach, my
proactive way, it is clearly a two-way street.
awareness and insight are thankfully much
I have heard several female leaders talking
sharper, and I am aware of inequality, and the
about ‘imposter syndrome.’ They do not feel,
frustration that it causes.
or are often made to feel, as though they don't
Whilst gender inequality has reduced, we still belong within their male-dominated teams in
have a long way to go to address imbalances. the boardroom.
And although attitudes towards gender
This is self-deprecation at best and, arguably,
stereotyping are deeply rooted, we must all
insecurity at worst. However, it can be
work hard to call out bad behaviour.
neutralised easily by the higher-EQ chief
I believe that in most developed societies, executive, who sees the obvious benefits of
there is an acceptance that men and women inclusive, relaxed, and open debate that is
think, act, and feel differently—and we should not dominated by over-eager, big-ego alpha
all recognise, celebrate, and utilise these males or females. After all, the quieter, more
characteristics if we truly believe in building observant team member is often the one with
and developing diverse teams. Children are the most valuable insights. High-performing
stereotyped—for example, the caring and leadership teams need diverse opinions and
nurturing elements of girls’ toys contrasts with working styles to enable effective decision
the macho action and war gaming of boys’. I making.
am convinced that these formative years are
often overlooked in the gender debate.
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I try to eradicate imposter syndrome when I 2. The right development opportunities are
see it. Winning teams demand diversity, and key. By Jamie Wilson, Managing Director,
leaders who develop teams based on biases Group Services, Criticaleye
of loyalty and gender rather than merit and
The benefits of greater gender diversity within
plurality do so at their peril. Chief executives
any organisation are now well documented
need to eradicate tokenism, and ensure that
and unquestionable. No matter what type of
they have strong and meritocratic teams
business or sector you work within, a more
whose skills, values, and personalities are fully
varied and diverse workforce has been shown
utilised.
to have a positive impact on the bottom line,
The dinosaur days of overlooking female talent especially for firms with women in leadership
due to maternity leave and ongoing parental roles.
duties are thankfully less prevalent, although
But while most businesses and executives
work is still needed to change this wasteful
recognise the benefits of diversity in theory, as
and illogical attitude. Flexible working is a
well as see the success of organisations that
valued and essential part of a progressive
do champion and support the progression
working environment. Employers recognise
of women in their businesses, the problem
this as a key weapon in attracting, developing,
of gender inequality in the workplace
and retaining talent.
and unequal pay continues unabated.
When it comes to coaches and leaders, there Organisations might be saying all the right
is a need to continue to encourage women things when it comes to gender equality,
to “lean in”, in the words of Sheryl Sandberg. but this goodwill isn’t translating into equal
Leaders continuously need to demonstrate opportunity and equal pay, not to mention
assertiveness, clarity, confidence, and strong how they support and transition women into
communication skills. This often requires leadership roles.
uncomfortable change. Women are often much
Of course, some progress has been made.
slower to push for this, something that is, in
There are, for example, now no all-male
my opinion, mainly driven by fear of not being
boards in the FTSE 100, which is a good step
liked.
in the right direction. There are also many
Another important factor is learning to different organisations campaigning for and
withstand criticism. Making decisions that are supporting women in business, whether that
unpopular are a business necessity and this is encouraging younger women into industries
requires authentic and courageous leadership. they might not have previously considered or
Combining this with the more nurturing those further on in their career who wish to
aspects that women often possess can be a break through the glass ceiling of management
powerful combination. I am a believer in the into leadership roles.
adage that when you need to change things,
In today’s fast-paced and disruptive
you cannot please everyone. If you do, you are
environment, exposure to ideas and different
arguably not making enough progress.
ways of thinking from cross-industry sources
These essential ingredients of emotional is fundamental. With competition no longer
intelligence need to be asserted more restricted to your own industry or sector,
powerfully by women, and recognised and leaders and future leaders of any business will
rewarded by all if we are going to truly need to have a broader understanding of the
encourage female leaders to fulfill their market than ever before. Similarly, the role of
potential and close the gender gap. mentors, especially in terms of bringing more
women up the ranks and into leadership roles,
will become increasingly important. Equal
61
pay aside, if organisations want to benefit The power of networks
from gender diversity, they must be prepared
In today’s environment, executive and
to look in the mirror and honestly challenge
leadership development must have a two-
themselves on their approach to diversity.
pronged approach. On the one hand, it
The value of mentoring should promote better skills and capabilities
within an executive’s own business, and on
Access to a mentor is important at many
the other, it should broaden their views and
different stages of a leader's career. For
understanding of the outside world, as well as
women in business, especially those with
what constitutes best practice in other sectors,
aspirations to progress to leadership roles, an
so that both they and the business as a whole
effective mentor is invaluable. Mentorships
are continuously learning and improving. The
provide an opportunity for executives to
most powerful networks and communities are
discuss and debate ideas and challenges
broad and wide-ranging. It’s no longer enough
with an impartial and experienced sounding
to network with other executives from your
board. A good mentor should be a guide
own industry; there are huge benefits to be
rather than an instructor, drawing on years of
gained by learning from peers from outside
experience to make suggestions and impart
your immediate circles and experience.
advice that is untarnished by hidden bias or
personal agenda. By asking questions and Giving female talent within your business the
offering ideas rather than simply telling a opportunity to mix with communities of cross-
mentee what approach they should be taking, industry peers will undoubtedly improve their
a good mentor helps executives find their own confidence and performance. Our community
solutions to challenges. of senior executives and leaders is purposefully
broad because we believe the fundamentals of
Having access to experienced and inspiring
great leadership and performance transcend
role models is a great opportunity for women,
industry, sector, and discipline. This is not
as well as provides an effective development
to say that we don’t have sector-specific
tool. Within the confines of the organisation
discussions, but there are immeasurable
and the daily pressures of their roles, they
benefits to understanding how other types
rarely have the chance to have an open
of organisations are approaching similar
and honest conversation about themselves,
problems and challenges.
where they would like to progress within the
business, and what they need to do to get Promoting women’s participation in groups
there. Mentorship also enables the mentee to and networks outside of the company and
have confidential conversations that would their areas of specialism opens doors, expands
not be possible within the business or with their horizons and, again, demonstrates a
their manager, and to try and find solutions, commitment from the company to their
in a professional and constructive way, to development. Not only this, but the company
challenges they are facing. Individuals who benefits from new ideas and promotes
use a mentor find the experience of freeing employee loyalty from individuals because of
up their thinking highly valuable. Additionally, the development opportunities available to
from the organisation’s perspective, a them.
mentoring programme that exemplifies
diversity in many areas including gender,
thought, and experience will demonstrate a
real and tangible commitment to a diversity
agenda.
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A shift in culture: practical steps to gender 3. A lesson for the hospitality industry? The
equality Importance of Returner Programmes for
Women. By Julianne Miles, Co-founder
Three key points recur within discussions
and Managing Director of Women
at Criticaleye on gender diversity and its
Returners
subsequent impact on women in business and
leadership: firstly, that businesses looking to A 2016 PwC study conducted with Women
achieve gender equality must be self-aware Returners and the 30% Club identified that
of their strengths and shortcomings to be there are over 550,000 UK professional
successful; secondly, change must be led from women on extended career breaks for caring
the top down; and finally, that organisational reasons. Around 75 percent of women on
culture is vital to achieving true gender career breaks intend to return to the workforce
equality in the workplace. when the time is right; however, most face
significant barriers when they try to resume
Gender equality must be led by an executive
their careers.
team that recognises and embraces the
invaluable benefits of diversity at all levels One of the biggest challenges is the bias from
of the business, and looks to implement the employers and recruitment agencies against
types of development opportunities we have candidates without up-to-date skills and
already covered. That said, everyone has a experience; they see returners as too risky
role to play; ideally, the leadership team has to bring into experienced roles. As a result,
to demonstrate greater diversity through highly-qualified and experienced women rarely
their executive appointments, as well as by make it past an initial CV screen if they apply
implementing practical measures to foster directly for advertised jobs. Many women who
a more supportive and inclusive culture. As have taken multi-year breaks also lose their
gender equality increasingly becomes a key professional identity, reducing their confidence
indicator of present and future success for in their professional abilities and their value
businesses, businesses are going to have to in the marketplace. The combination of these
take rapid steps to address equality if they factors means that many women returners
want to attract and retain the best talent. decide that they will never be able to pick up
their previous career, and take a lower level
The issue of gender inequality and unequal
role or decide to retrain. Apart from the loss
pay won’t be solved overnight. Gender pay-
of skilled talent, this also exacerbates the
gap reporting is a positive step forward
gender pay gap. A 2016 report by the Institute
but real and lasting change should not rely
of Fiscal Studies found that people lose an
on legislation. Everyone can play a role in
average of 4 percent of salary for each year
promoting gender equality, but the leadership
out of the workforce.
team must fully understand and support the
benefits of creating a more diverse board Creating solutions for returners and
and workforce through tailored development employers
opportunities. Organisations that don’t
Returner programmes have grown rapidly
address this crucial issue will ultimately fall
in the UK since 2014. They have started to
behind those who do. In a global, digital
change the conversation around returners
world, businesses that encapsulate diversity of
in a variety of sectors, including financial
thought, flexibility, and innovation will stride
services, construction, telecoms, IT, PR, and
ahead of those who, willingly or unwillingly,
government. Employers are recognising that
maintain an environment that fails to attract
this high-calibre and motivated group can help
and retain the best talent.
to fill talent gaps and to increase gender, age,
and cognitive diversity.
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Central to this change of employer mindset inevitably break down as organisations see
has been the introduction of ‘returnships’; increasing numbers of experienced women
higher-level paid internships tailored to create with long career breaks coming back in mid-
a supported route back to mid-to-senior level to-senior roles. As Julie Thornton, head of
roles. The majority of participants are women human resources at Tideway, the London
who have taken a break for childcare reasons, infrastructure project, which has run annual
however programmes are open to anyone who returnships since 2015 said: “We’ve learned to
has taken a long career break. Returnships look past the gap to the skills”.
range from 3 to 6 months, with a strong
As yet, returner programmes have not reached
possibility of an ongoing role at the end.
the HTL industry. However, their success across
Employers get access to an untapped high-
other sectors demonstrates that they could
calibre candidate pool, with the opportunity of
help to address the fallout of women at more
a built-in trial period to reduce the perceived
senior roles in this sector, too.
risk. Returners take on professionally paid
work using their existing skills and experience, Women Returners (www.womenreturners.
and receive support from the employer com) is a consulting, coaching, and
in terms of training, mentoring, and often networking organisation that works with
coaching to enable them to rapidly rebuild individuals and organisations to enable the
their professional confidence and skills. return to work of experienced professionals
after a long career break.
The UK returnship market has grown rapidly
from three companies in 2014 to over 35 in
2017. Typically, the majority are employed in
ongoing roles at the company at the end of the
programme. One example is O2, which brought
12 women from its 2016 career-returners
programme into their operations and tech
functions, made offers to another 10, and took
on eight in ongoing roles. Samina Malik worked
for over a decade at Reuters and a mobile
tech company before her 10-year break. Now
back at O2 as a supplier manager, she says: “If
it wasn’t for the programme, I’d probably still
be applying for jobs I’m over-qualified for and
not even getting them.” Judith Hunt, O2’s UK
diversity and inclusion manager described “the
amazing talent of women looking to return to
the workplace”.
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Chapter 8:
The regulatory framework
1. Gender pay-gap reporting: An overview caregivers (both for their own children or as
by Sara Abbonizio and Joanne Keatley, unpaid carers) and as a result, a much higher
DfE Government Equalities Office proportion work part-time, generally earning
less per hour than their full-time counterparts;
The overall UK gender pay gap now stands
there is a lack of well-paid part time positions
at 18.4 percent, with the full-time gap being
available, for both men and women.
the lowest since records began, at 9.1 percent.
However, at the current pace of change, that Shouldering the majority of caring
gap will not close until 2050. That is why in responsibilities also means women are more
April 2017, the UK became one of the first likely to take time out of the labour market,
countries to introduce mandatory gender which can similarly have an adverse impact
pay-gap reporting; the government wants to on their career progression. Women are
accelerate the rate of year-on-year progress less likely to occupy senior roles within an
and close the gap. organisation, making up only 35 percent of
managers, directors, and senior officials in the
There is still confusion between the ‘gender
UK. This may also be the result of conscious or
pay gap’ and ‘equal pay’. Men and women
unconscious biases within business cultures.
who carry out the same work, similar work, or
work of equal value should be paid the same; The hospitality industry
it has been unlawful to pay men and women
The hospitality industry has a variety of sectors
differently since 1970: That is equal pay. The
and roles, so a number of different factors
gender pay gap shows the difference between
come into play affecting its gender pay gaps.
the average (mean or median) hourly earnings
Analysis by Fourth of their clients’ operational
of men and women within a workforce,
data in March 2017 showed that women’s
expressed as a percentage of men’s earnings.
average pay was a little higher than that of
Nearly all employers will have a gender pay
men’s across the quick-service restaurant
gap this year and for most, those gaps will
sector and the hotel-restaurants sector, but
not be the result of paying men and women
across the pub sector and restaurant sector,
differently for comparable work.
women typically earn less on average than
Causes of the gender pay gap males.11
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https://www.fourth.com/sites/default/files/pdf/Britten's%20Info.pdf
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69
proportion of male and proportion of Action plans
female employees that received a bonus
Employers are strongly encouraged to
proportion of men and women working at publish a narrative alongside their data. They
different pay quartiles should use this as an opportunity to highlight
underlying causes of their gender pay gap (for
The mean gender pay gap reflects an
example, female employees could make up
employer’s full range of earnings. It is useful
a small proportion of senior employees) and
because women are often over-represented
any steps that they have in place, or will put
at the low earning extreme and men over-
in place, to improve gender equality and their
represented at the high extreme. The median
future gender pay gap.
gender pay gap is the best representation of
‘typical’ earnings, because it represents the The government recognises that, at this point
midpoint in the pay range and is unaffected in time, many employers will have gender
by a small number of very high earners. pay gaps; the most important thing is that,
Calculating the mean and median gender after taking the initial step to analyse their
bonus gap is important because over £46 gaps, employers are taking action to address
billion was paid out in bonuses in 2016/1712. them. The best employers will use this as an
The proportions of male and female employees opportunity to tackle barriers holding their
that received a bonus shows whether bonuses staff back.
are being allocated fairly. Lastly, publishing
Business benefits
the proportions of men and women working
in each pay quartile will show if there are Mandatory reporting gives HR teams and
blockages to women’s upward progression other champions a really good reason to put
within an organisation. gender equality on the radar of their senior-
leadership teams. By transparently identifying
How and when?
and tackling gender pay gaps, employers
Employers can publish these figures at any can enhance their reputation as fair and
point during each 12-month period, but they progressive; this can help attract a wider talent
must use information from the same date pool and address skill shortages. When staff
every year—31 March for the public sector and feel valued and supported, retention rates
5 April for the private and voluntary sectors. improve which lowers costs; staff productivity
Employers must publish their pay-gap figures is also boosted. A diverse workforce can
on their own website and on the government’s also better meet the needs of customers and
online reporting service. Registering on the suppliers. McKinsey Global Institute has said
government’s website is easy and can be that the UK could add £150 billion to its GDP
done here: www.genderpaygap.campaign. by 2025 by bridging the gender gap in work.
gov.uk. The government has also produced
By publishing their figures and taking prompt
user-friendly guidance with ACAS to help
action, employers will be making a real
employers calculate and report their data. This
difference to their female employees. They will
can be accessed online here: www.acas.org.uk
also get their customers and investors talking
and via ‘Closing it together,’ the government’s
about their innovative actions to reduce their
gender pay gap reporting campaign page:
gap rather than just the metrics themselves.
www.genderpaygap.campaign.gov.uk.
Research by Business in the Community
showed that at least two-thirds of employees
surveyed would ask what actions their
employers are taking to close any gender pay
gaps. Publishing early and taking action allows
employers to get on the front foot.
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ONS Average Weekly Earnings, bonus payments in Great Britain: 2017
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Next steps
The causes of the gender pay gap vary
between organisations and so the steps
to help close it will also be varied. Some
considerations may be supporting flexible
working for all, introducing unconscious
bias training, setting internal targets for
the recruitment of women at senior levels,
encouraging employees to take up the
Shared Parental Leave offer, and supporting
employees back into the workplace after
maternity/paternity leave or career breaks.
71
2. Gender equality: A legal perspective, By some issues that are specific to the sector.
Christina Morton, Professional Support A 2013 study, International Perspectives on
Lawyer, Withers Worldwide Women and Work in Hotels, Catering and
Tourism by Thomas Baum of the University
The current environment in of Strathclyde, notes that longitudinal data
generally points to increasing levels of
the UK and Europe female participation in the hotels, catering,
The figures are stark. According to a 2015 and tourism workforce, but concludes that:
Women’s Business Council report13 women "Women are disproportionately represented
in the UK have 71 percent of the economic in lower-skill and lower-paid areas of
opportunity men have, and only 69 percent of [hotels, catering, and tourism] work, notably
working-age women are employed, compared housekeeping and some customer-contact
to 78 percent of men. Forty-two percent of areas. They are underrepresented in kitchen
women are likely to work part-time, compared work and in areas such as engineering and
with just 12 percent of men. This likelihood security. Furthermore, there are widespread
increases as women get older, with half disparities in terms of the extent to which
of women over 50 working part-time. For women access senior technical and managerial
women who wish to return to the workplace, roles within the sector.”
evidence gathered by the UK Parliament's
The study says women are also more likely to
All-Party Parliamentary Group on women
play flexible roles than their male counterparts,
returners suggests that there is a lack of
by undertaking part-time, seasonal, agency,
support available to make this happen. Some
and casual work in the sector. They are
of the issues identified include outdated skills,
also overrepresented within informal and
CV gaps, the cost of childcare, and a lack of
marginalised areas of work, and are thus
confidence. The report finds that for many
subject to disproportionate exploitation.
women, barriers such as these lead to them
dropping out of the labour market altogether. Inequality and discrimination
72 13
2015 report of the Women’s Business Council funded by the UK Government Equalities
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practices and individual behaviours such as The equality legal framework
lack of training, promotion, and mentoring
Sex discrimination and equal pay law in the
for women; long working hours or after-work
UK and Europe have evolved in parallel. The
socialising that are disadvantageous to women
current framework of legislation in the UK is
with caring responsibilities; marginalisation of
contained in the Equality Act 2010 (the 'Act'),
pregnant women and those on maternity leave;
which replaced previous anti-discrimination
failure to appoint or promote women of child-
laws with a single act.
bearing age; and harassment, sexist language,
sexist dress codes, stereotypical assumptions, The Act prohibits direct and indirect sex
and patronising attitudes. discrimination, sex-related harassment, and
sexual harassment, and includes specific
Sex discrimination claims in the UK
measures to protect women during the period
Government statistics on sex discrimination beginning with the start of pregnancy and
and equal-pay claims have to be understood ending with the return to work after maternity
against a backdrop of a dramatic (80 percent) leave. The Act also prohibits victimisation of
fall in the number of claims brought against women who exercise their rights under the
employers following the introduction of Act. Separate measures protect the health
employment tribunal fees in 2013. Those and safety of women who are pregnant or
fees have now been ruled unlawful by the breastfeeding.
UK Supreme Court because of their adverse
Positive discrimination and positive action
impact on access to justice and their particular
impact on women. Positive discrimination is generally unlawful
in the UK, for example, where it consists of
Figures for 2015/6 and 2016/7, however,
deliberately favouring one group over another
show a sharp increase in the number of sex
on grounds of a protected characteristic
discrimination claims brought (5,371, rising to
including sex, race, age, pregnancy and
8,836). Only a fraction of those would have
disability.14
resulted in a final hearing, and a still smaller
fraction in an award against an employer—the But the Act contains provisions on ‘positive
vast majority of cases brought to the tribunal action’, which is potentially lawful. These
settle before a final hearing and only a small provisions apply where persons who share a
number are decided in favour of employees. protected characteristic suffer a disadvantage
connected to the characteristic, or have
The number of claims presented to
particular needs or are disproportionately
employment tribunals is the tip of the iceberg
underrepresented. Employers can take certain
of complaints. All claims have to be referred in
actions to address these problems without
the first instance to the Advisory Conciliation
exposing themselves to discrimination claims.
and Arbitration Service (ACAS), and a very
high proportion of these are settled at that Employers may take proportionate measures
stage. The number of claims resulting in not merely to train or encourage members of
an actual award against employers for sex underrepresented groups to apply for jobs, but
discrimination is far from representative of also to overcome a perceived disadvantage or
the scale of discrimination to which women to meet specific needs based on a protected
in UK workplaces are subject. Women going characteristic. It could, for example, cover such
on maternity leave or returning from it are things as prioritising female hotel managers
particularly vulnerable, and the impact of with caring responsibilities for flexible working
tribunal fees on them has been particularly arrangements if there have been more
harsh. requests than the business can accommodate.
14
The nine characteristics that are protected by the Equality Act 2010 areage, disability, gender reassignment, marriage or
74 civil partnership (in employment only), pregnancy and maternity, race, religion or belief, and sex.
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Positive action in recruitment and promotion listed companies. In March 2015, the German
is permitted where an employer reasonably parliament voted to implement a new law
considers that persons with a particular requiring over 100 listed companies to allot
protected characteristic, such as women, 30 percent of seats on non-executive boards
are disadvantaged or are disproportionately to women. Given this and other European
underrepresented in the organisation, examples and the fact that the European
perhaps at a specific level such as senior Commission has contemplated a directive
management. The permitted action would be for a mandatory 40 percent gender quota,
treating a female candidate more favourably campaigners in the UK have argued for similar
in connection with recruitment or promotion measures.
than a male candidate. However, this would
With fewer than a third of seats on FTSE
only be permitted where the female candidate
100 boards in the UK and similar numbers of
is as qualified as the male candidate; the
seats in Parliament currently held by women,
employer does not have a policy of treating
supporters of quotas argue that, whilst
women more favourably in connection with
equality law and individual tribunal claims have
recruitment or promotion than men; and
restrained (but not eliminated) much official
where the action is a proportionate means of
discrimination in the workplace, quotas are
achieving a legitimate aim, which means that
‘an unfortunate, but necessary’ instrument to
there is no other way of achieving the same
tackle discrimination at the upper echelons of
objective that would have a less discriminatory
public and private sector organisations, and
impact on men.
to enhance the goals of social equality. Many
The supplement to the EHRC Code states proponents of quotas are convinced that they
that: “This provision essentially allows positive will also lead to better decision making and
action in recruitment and promotion in relation better-run organisations by forcing the issue of
to a 'tie-breaker'. It allows an employer faced gender balance.
with making a choice between two or more
Opponents of quotas argue that enforced
candidates who are of equal merit to take into
measures can have a detrimental effect,
consideration whether one is from a group
leading to the promotion of unmeritorious
that is disproportionately underrepresented
candidates due to a need to meet targets,
or otherwise disadvantaged within the
and scepticism towards women who have
workforce.”
acquired high-level roles through quota
The legal constraints on positive action are systems. These factors have a tendency, they
such that the provisions are used with great argue, to undermine the very goal they seek
caution by employers, who fear operating the to achieve, that of greater gender equality
provisions incorrectly and running the risk in senior positions. Critics also argue that
of discrimination claims. There are examples gender quotas do not in practice provide a
of them being used in the context of high- wider social benefit. They point to a so-called
profile public appointments, for example for ‘golden skirt’ phenomenon in which only a
politicians and judges, but little evidence of small minority of female executives benefit
their uptake in the private sector. from quota initiatives, and cause resentment
in the process. Quotas, they argue, are inimical
Are quotas the answer?
to meritocracy. There is further scepticism
In order to tackle inequality in the workplace, about the impact on quotas on the overall
governments across the world are stepping in gender pay gap, the argument being that as
to introduce quotas, which set a fixed number the causes of the pay gap are so complex,
or percentage of women, usually in particular promoting small numbers of women at board
positions such as public office or the boards of
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WiH2020 Contributor List
Jamie Wilson, Criticaleye
Professor Simonetta Manfredi and Ksenia Penchukova, Centre for Diversity Policy Research
and Practice at Oxford Brookes University
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