CBI welcomes more ethnic minority bosses in top UK firms

There are more ethnic minority bosses in the UK’s 100 biggest firms than a year ago. That’s the latest update from the annual Parker Review, which was commissioned by the government in 2015 to address the ‘disproportionately low’ number of ethnic minorities in board and executive positions.??

The CBI is hugely encouraged by the findings. In the FTSE 100, ethnic minorities now hold 19% of all director positions which is an increase of one percentage point from last year. There was also a rise in the number of companies with more than one ethnic minority director from 49 in 2022 to 56 in 2023.

This demonstrates businesses are changing not only because of voluntary targets, but because it makes business sense – from boardroom discussions being enhanced by diversity of thought, to better understanding the breadth of their customers.

While celebrating the increases to 12 ethnic minority CEOs and 7 Chairs in the FTSE 100, it is the targets that companies are setting themselves for making their pipeline of future executives more diverse, that shows both what still needs to change and their public commitment to do so.?

As we head into a 2024 General Election, businesses in the South West and across the nation must continue to develop and support a diverse workforce to set the UK on a path to a high-growth, sustainable economy. This will in turn supercharge productivity and boost the UK’s global standing as the ‘go-to’ destination for investors.

It’s not simply a case of having a fair society, giving equal opportunities to all to succeed – driving senior leadership is a business imperative. Building resilient talent pipelines from a rich pool of candidates avoids ‘group think’, instead nurturing innovation and creativity that transforms company culture and ensures that businesses in the South West reflect the changing demographics of their customers and wider stakeholders.?

In this vein, the CBI recognises that the pace and breadth of progress must accelerate to achieve the Review’s full ambitions. The expansion for the first time beyond publicly listed companies to include the largest private companies in the UK, who will benefit from the increase in competitiveness and performance in the same way as listed companies from ethnic diversity and which are equally critical to the UK economy, is therefore a welcome move.

Amid a challenging business landscape, as economic stagnation and stubborn inflation persist, with a fragile political environment both at home and abroad, the CBI urges firms to stay the course on achieving diversity, equity and inclusion within top tier personnel to bring stronger businesses and happier employees.??