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Equality & Diversity: The Business Case in a
Changing World
Outline of the workshop
• What do we mean by Equality and Diversity?
• What problems do businesses face in 2009 ?
• Why does diversity in the workplace matter ?
• What are the risks to businesses ?
• What opportunities do we face ?
• What have others done ?
• What help is at hand ?
• What next for you ?
“Equality” and “Diversity”
• What do we mean by ‘equality’ and ‘diversity’ ?• Are they the same thing ?
“Equality” and “Diversity” are about..
• Recognising differences between people• Acknowledging past imbalance• Taking steps to redress imbalance• Maintaining competition (where appropriate)• Ensure equal access to jobs, promotion, benefits,
services• and being aware of our attitudes and their
practical impact
Equal ? Diverse ?
Diverse ? Equal ?
Equality vs Diversity
• ‘Equality’ =• Equal Opportunities
approach• Emphasis on legal
compliance• Putting employees
into ‘categories’• 6 discrimination law
jurisdictions
• ‘G.R.A.D.E.S.’• Gender• Religion and Belief• Age• Disability• Ethnicity and Race• Sexual Orientation
Equality vs Diversity
• ‘Diversity’ =• Equal Opportunities (legal compliance) approach
+ Business Benefits• Continuous spectrum – not ‘categories’ – more
realistic• Variety in workforce is source of strength… • not weakness
Stereotypes
• Danger - we categorise people too readily • and based on insufficient information• about them or their ‘group’• Exercise…• Write down the name of the famous people (alive
or dead) we are describing…
Subject number 1
• White man• Vegetarian• Loves children• Mountain walking enthusiast• Public speaking skills• Determined and hard working
Subject number 2
• Revolutionary• Terrorist• Danger to society• Fanatic• Plans to overthrow stable government• Wanted man
Did you guess correctly ?
Subject no. 1 Subject no. 2
The challenges we face
.. and the benefits of a diverse workforce
What problems do businesses face ?
• Costs • Getting people• Shedding people• Keeping the right people• Motivating them • Maximising productivity• Avoiding legal risks• Getting more business• Including public sector contracts
The Credit Crunch
• Costs and price of credit are rising
• Competition for business is increasing
• We need value for money
• and to maximise business / sales opportunities
Financial business case for diversity
• Maximising business turnover• Maximising commercial opportunities• Finding diverse (new) markets to sell into• Minimising labour turnover and recruitment
costs• Minimising absence levels / stress-related
illness• Avoiding litigation costs• What difference does ‘diversity’ make ?
Diversity in action
• What is the annual spending power of disabled people in Scotland ?
• The ‘pink pound’ is worth how many billion pounds in UK ?
Diversity in action
• In a consumer survey, what percentage of heterosexual people said they would be less likely to buy from an organisation that had demonstrated negative views about sexual orientation ?
Recruitment
• Difficulty in recruiting the right person
• Limited choice is a challenge
• Widen the labour market
• Changing demographics
• Need to think ‘outside the box’…
Sobering statistics
• By 2011, only 20% of workforce will be able bodied, white, British male under 45
• By 2020 half UK population will be 50 or over
What about considering…
• an older (or younger) person ?
• a disabled worker ?
• a labour market ‘returner’ ?
• (or one person who fits all these categories ?)
Reducing Staff
• Ways of avoiding redundancy
• Greater flexibility in roles and working arrangements ?
• Reduce overheads – home working ?
• Redundancy selection criteria– Discrimination issues
Retaining key staff
• Labour turnover - expensive and inconvenient• Need to stop people leaving • or back to work more quickly• 86% organisations report difficulties recruiting • Average recruitment cost per employee is
£4,667 • £5,800 with associated labour turnover costs • Source CIPD 2008 Recruitment, Retention and Turnover survey
Retention: Key factors
• Employee morale• Loyalty / commitment• Reputation in the community• Fairness / respect / equal treatment and pay• ‘Dignity at work’ (freedom from harassment /
bullying)• Promotion from within• Management style / actions…
Retention: Key factors
• Absence management – ‘back to work’ plans
• Reasonable adjustments / redeployment / retraining
• Tackling stress – getting them back to work
• Flexible working – positive approach All relate to equality and diversity
Customer service
• Widen markets • Advantage of diverse workforce… • identify new markets, exploit them• Flexibility in workforce…• Ethical consumer and business to business
markets – new demands – new solutions• Being accessible – premises and operating
hours• Diverse workforce helps get business through
the door + keep it
Litigation threats
• Complexity
• Costs
• Liability for illegal acts of your staff (or of your customers)
• Proactive approach
• In advance
• Training
Litigation defence
• Need to demonstrate preventative actions… – Dignity at Work policy / practice– Take complaints seriously– Educate / train workforce to reduce legal risks
• Leaves harasser on their own in court• Show you take issue seriously• Gives credibility to your defence
Public sector contracting
• Increasingly important• Competition for contracts• Not just on price - but also ‘equalities’ record• ‘Contract compliance’ approach to
procurement• Your equality and diversity policies / practice…• Difference between getting the work and not
Business case
• Gaining advantage from diversity
• + advantage from equality of opportunity
• Starting the process…
Implementing Diversity 12 Key Steps
• See your handout pack for detail:1. Advertising2. Recruitment and Selection3. Application Forms4. Short listing5. Interview process6. Retention & Progression7. Pay banding8. Training & Development9. Organisational Culture10. Equal Opportunities11. Dignity at Work12. People Friendly policies
Test your progress !
• Sample Diversity Audit
• You may already be half-way there !
• Equality Policy – sample in the pack
• Remember: this is only a start
• To get you through the door
• But you need to ‘walk the talk’ as well
Case study
Where can I start / go now ?What help is available ?
Handout Pack Local information
Law At Work for legal queries
www.lawatwork.co.uk0141 271 5555
Equality Matters in Business [email protected]
0845 6078787
Equality Matters in Business