Three Actions HR and Compensation Professionals Can Take to Achieve Greater Diversity

There are many different actions that must be taken to address racism in society and in the workplace.  As HR and Compensation professionals know, having a diverse workforce strengthens companies. 

Just as we deal with other large issues, how we approach diversity comes down to a series of specific steps - actions. This article describes three actions to consider for greater diversity in the workplace.

Applying attention to diversity is a wise investment that makes employers more competitive in the market.  Diversity allows businesses to have different perspectives, better insights, be relevant to more customers and develop new approaches to achieving results.  

Research shows that companies with a diverse employee base make better decisions and deliver better financial and operational returns.

David A. Thomas and Robin J. Ely have published important research about diversity, including the article, “Making Differences Matter,” in the Harvard Business Review.   Essentially, the authors show how diversity can bring powerful benefits to an employer.  It is an opportunity to be more successful.  

A diverse workforce should be embraced. We should all appreciate the different perspectives and approaches, insights and opinions - and improved business results - that come from a diverse group of employees.  

Here are three actions that HR and Compensation Professionals might consider to improve diversity and make a positive difference:

1.      Having clear objectives and goals.  When business objectives and goals are properly defined, employees understand the priorities of the organization, teams and roles. This allows for all associates to apply their skills in the best way and contribute fully.   Clear objectives and goals support fairness in how results are measured and employees are rewarded. 

2.      Prepare and share data about the makeup of the workforce by race and gender and have transparency about pay:

a.      Pay differentials by race and gender

b.      Targets and goals over time

c.      Trends and progress being made

d.      Action that is being taken to close the race pay gap and gender pay gap. 

3.      Communicate openly and frequently about how the company is working to have a higher level of diversity.  Also, the purpose and benefits associated with a diverse workforce.  This type of communication should come from senior leadership and others throughout the organization. Internal communication among associates and external communication with customers, suppliers, partners and the public.

Summary

There are many ways to promote diversity in the workplace.  The above are meant as examples relating to this important topic. 

To be sure, there is a lot of work we can all do in this area.