Diversity and

Change
CMOD – Week 6

PRESENTER:
Activity

Think Think about what Diversity means to you. Try and define it
about as a group.

Spend 10 minutes debating on how diversity has changed

Spend in the last 5 years and in what way has this impacted
organisations.
What Diversity?

Ethnicity / Sexual
Disability Religion Nationality
Race Orientation

Trade Union Criminal

Age Marital Status Parental status
Membership Convictions

Social and
Physical
Economic Mental State Political Views Postcode
Appearance
Background

Accent Likes / Dislikes

Diversity Statements
▪ “Create the kind of working environment
and culture that recognises and values
people’s differences, draw on individual
talents and viewpoints” (www.bbc.co.uk).

▪ “Reflect and serve the communities in

which we operate; create a company where
employees’ different perspectives are
valued and their talents are fully employed”
(www.careers.barclays.co.uk).
Why Diversity?
▪Equal opportunities was seen as not sufficiently
holistic.
▪ Some disadvantaged groups were not included
or not adequately represented.
▪ Those represented were seen as homogenous
groups.
▪ Research suggested that culturally diverse
teams were more creative.
The Ultimate Aim?

Valuing

Managing

Complying

(Lafasto,1992)
A Framework for Analysis
Aspect Equal Opportunities Managing Diversity
Utilise employee potential to
Purpose Reduce discrimination
maximum advantage
Approach Operational Strategic
Case argued Moral and ethical Business - improve profits

Whose responsibility? HR/Personnel All managers

Focuses on Groups Individuals

Perspective Different needs of groups Integrated
Opportunities improved for Opportunities improved for all
Benefits for employees
disadvantaged groups employees

Remedies Changing systems and practices Changing the culture

Monitoring success Changed processes Business outcomes

Equal Opportunities Legislation
Rights and freedoms set out with regard to race, sex, language,
The Universal Declaration of Human Rights, 1948
property, birth, national or social origin, political or other opinion.

Equal Pay Act, 1970 Equal pay if carrying out like work or work rates as equivalent.

Sex Discrimination Act, 1975 Forbids discrimination on the grounds of sex or marital status.

Unlawful to discriminate on the grounds of colour/race, nationality,

Race Relations Act, 1976
ethnic/national origin.

The law offers protection to people with a disability – make reasonable

Disability Discrimination Act, 1995
adjustments.

Employment Equality (Sexual Orientation and Makes discrimination on the grounds of sexual orientation and religious
Religious Belief) Regulations, 2003 belief unlawful.

Aim - prohibit direct/indirect discrimination at work on the grounds of

Employment Equality (Age) Regulations, 2006
age.
Equality Act 2010

Different
‘discrimination’:
Protected characteristics
• Direct
Consolidates (age, disability, gender Gender pay
previous reporting; no • Indirect
reassignment, marriage,
legislation pregnancy, race, religion, secrecy • Harassment
sex, sexual orientation) • Associative
• Perceptive
Highest Ever Awards? Statistics
from 2015
Age Discrimination: £144,100

Disability Discrimination: £729,347

Sex Discrimination: £1,762, 130

Unfair Dismissal: £3,402,245

(See http://www.bbc.co.uk/news/business-32514908)

Race Discrimination: £4,445,023

(Michalak v Mid Yorkshire Hospitals NHS Trust ET/1810815/08)
Proportion of staff in receipt of bonuses for
2020 to 2021

Ethnic Group 2020 / 2021

White 69.8%

Black 63.2%

Asian 62.2%

Mixed 66.7%

Other 70.0%

All Ethnic Minority Groups 63.6%

 GENDER
PAY GAPS
– EU 2020
But Why?
What are the possible causes for such pay gaps in the
21st century?
– “Women’s work” is undervalued.
– More women work part-time.
– The “motherhood penalty”.
– Discrimination has not gone away.
(Fawcett Society, 2014)
Barriers to Achieving Equal Opportunities (EO)?

▪Stereotyped jobs.
▪ Jobs of parents.
▪ Flexibility of employment.
▪ Aptitude.
▪ Roles in society – equality not always coveted.
▪ Attitudes and values.
Barriers to Achieving Gender-based Equal Pay

▪ Starting pay is frequently individually negotiated (men often have higher previous
earnings, so can negotiate a higher starting rate).
▪ Length of service (men generally have fewer career breaks).
▪ Broadbanding (can lead to a lack of transparency).
▪ Market allowances (not evenly distributed).
▪ Different pay structures and negotiating bodies (some jobs are done primarily by men
and some by women, so direct comparisons are hard to make).
▪ Job evaluation (may perpetuate old values and be subject to managerial
manipulation) (Torrington et al., 2009).
▪ CIPD (2008) suggest the historical notions of man as the main bread winner,
concentration of women in certain job roles and in part-time roles, and women
missing out on promotion due to maternity leave and childcare requirements.
Drivers of Diversity
▪Number of over 65s is expected to rise by 60% in the next 25
years (in the Western societies).

▪ By 2031, 23% of England’s population will be 65 and over

(Personnel Today, 2008).

▪ 37% of those aged 50+ remain unemployed for 12 months,

compared to 27% of those aged between 25-49 (Employers
Forum on Age, 2008).

▪ Skill shortages (e.g. social workers, engineering, IT and

teaching).
What are the Organisational Drivers behind EO?

Recruit and To be Employer Makes Business

Legal Pressures CSR
Retain Talent of Choice Sense

Address Improve Improve

Belief in Social
Morally Right Recruitment Customer Products /
Justice
Issues Relations Services

Improve Improve Enhance

Reach Diverse Trade Union
Creativity / Corporate Decision
Markets Activities
Innovation Branding Making

Respond to Respond to
Competition Global Market
Achieving Diversity
▪What can organisations do to achieve diversity?

▪ In small groups, identify 3 practical steps that

organisations can take to achieving diversity.

▪ What steps can an HR professional take to

bring these about?
Promoting Diversity
▪ Monitoring applications in terms of gender, race, disability … etc.
▪ Taking account of a broader range of qualities when selecting candidates.
▪ Notifying job centres of vacancies.
▪ Advertising vacancies beyond conventional/mainstream media.
▪ Setting recruitment targets to achieve a workforce reflecting customer base
or local community.
▪ Providing recruitment documents in other formats (e.g. large print).
▪ Appointing people who may not exactly match job requirements.
▪ Making changes to the way that work is organised.
(IRS Employment Review, 2007)
Benchmark Examples
▪ B&Q appoint ‘Disability champions’.
▪ BAE Systems has a ‘Respect at Work’ programme to promote acceptable behaviour
in the workplace.
▪ HBOS has a Diversity Leadership Group.
▪ Virgin Atlantic has a diversity section on the staff intranet site.
▪ Ford have continuous training, monitored by staff attitude surveys, and these inform
the Ford Diversity Council.
▪ Scottish Police Service monitor attitudes to diversity through the appraisal system
and following training; an examination must be passed or the course will be repeated.
▪ British Transport Police backed Government proposals to set gender targets in the
Police Service, as women make up only 23% of police forces nationally compared to
44% of working population (Personnel Today, 2008).
Diversity Strategies

Remove maximum recruitment age (yet Royal Do not require specifying the years of experience
Mail set the age at 64 based on the justification (e.g. ASDA and Cancer Research now refer to
that it takes six months to become competent, type of experience, not the length). HSBC ask
and the retirement age is 65) for ‘demonstrable experience in…’

Reduce exposure to age (e.g. HSBC use online

screening, online testing and telephone
interviews). Marks and Spencer use electronic Positive action (e.g. Inkfish call centres set a
screening, so a potential candidate has met the 10% target of workers over 50)
criteria without reference to their age (remove
age from CVs/Application forms)
 Action Benefits
Introduced Asda Goldies. Older staff increased by 3.5% in one year.

Promoted Benidorm leave – 3 months unpaid leave in

Reduced staff turnover and absenteeism.
winter.

Briefed target and initiative to the whole company at Built team spirit by communicating the message
conference and in-store briefings. in stores.

Introduced grandparent’s leave and carer’s leave. Raised profile of commitment to diversity.

Appointed greeters for candidates in stores, held

Number of over 65 year-olds has risen to 3,500
events from tea dances to open days, targeted over
since 2006.
50s groups.

To increase staff over 50 from 15.4% to 20%.

Seasonal colleagues scheme- work a minimum of 10
To underpin company’s values and ensure staff
weeks a year at peak times.
representative of customer base.
The Business Benefits?
Proven Debatable Indirect
Satisfying work
Access to talent Promoting team creativity
environments
Easier to recruit scarce Improving morale and job
Improving problem solving
labour satisfaction

Reduced absenteeism and Improving relations

Better decision making
turnover between groups

Enhanced organisational Improved customer

Greater productivity
flexibility service
Increased sales to
Competitive edge
minority groups
(Kandola &
Improving quality Better public image Fullerton,
1998)
Barriers and Limitations

Can fairness always be

achieved?

Can setting equality

targets sometimes be
counterproductive?
Things to consider…
It is about cultural change so will take time to achieve.
CIPD (2007) identify three issues:
– Conflict can increase, as many opinions make it hard to agree on solutions.
– Internal communications will be a challenge.
– The above two points will potentially lead to increased cost.
▪ New organisational structures such as outsourcing will potentially present
barriers.
▪ What about the notion that providing some training is enough?
▪ Evidence that diversity programmes are not being evaluated – what is the
impact of diversity policies on organisational performance? CIPD suggest
that the evidence is scarce.
The MOSAIC Model (Kandola & Fullerton, 1994)

1 2 3 4 5 6
Mission and Objective Skilled Active Individual Culture that
Values and Fair Workforce: Flexibility Focus Empowers
Processes Aware and
Fair
Thank You!!