As a recognized leader in the Employer of Record (EOR) industry, G-P is always advancing the conversation around the future of work and the new opportunities our EOR solutions are helping to create. In a recent episode of our Pangeo Perspectives podcast, we explored the relationship between a diverse workforce and business success.
Diversity, representation, and inclusion aren’t just social ideals. There’s a real strategic advantage to the richness that equity, diversity, and inclusion bring to the workplace, from recruiting, all the way through employee and financial performance.
On our Pangeo Perspectives podcast, Katharine Zaleski, Co-Founder and Board Chair of PowerToFly, and Sienna J. Brown, Senior Director of Diversity, Equity, Inclusion, and Belonging (DEIB) at PowerToFly, delved into the topic of workplace diversity, sharing some invaluable insights on its many benefits, its impact on talent retention, and more.
Why does diversity matter?
Diversity is not just about representing a single identity, it’s about intersectionality and the fact that people have multiple identities that define their experiences. The increasing importance of DEIB in the workplace isn’t a result of external pressures but is more of a demand from employees who need their identities to be accepted in a safe space that allows everyone to bring their unique strengths to the table.
Employees value psychological safety and want to know they can talk about all parts of their identities in the workplace without a negative impact. This creates a need for employee-centric strategies that take into account the needs of different groups so everyone can reach their full potential and feel safe and supported.
In fact, a recent study by Deloitte showed that 53% of millennials would leave their current company if they found the same job at another organization that was more inclusive, and that 39% of talent actually turned down a job offer because they perceived the organization to lack an inclusive environment.
The benefits of diversity
Creating a diverse workplace is more than checking a box. There are tangible business advantages that come from it, starting with a richness of ideas, different perspectives, and innovation. Inclusive cultures have been found to perform better, and companies with diverse leadership have been found to outperform other companies in the stock market.
A workplace that has diverse backgrounds represented is also going to attract top talent from more walks of life. When businesses create an environment where DEIB is celebrated, the door is opened to a larger talent pool with people who may not have felt welcome or safe in another environment. In a diverse environment, they can leverage their skills and thrive within the company, allowing the business to scale and grow behind the full support of all of its employees.
Creating a diverse and inclusive environment
Oftentimes, DEIB can be relegated to an abstract idea that sounds positive, but how does it go beyond that and get put into practice? Companies should set clear goals to integrate and align DEIB with business objectives. For example, increasing diverse talent by 35% is a measurable metric and encourages cross departmental employees to have accountability so that the onus isn’t just on one team — the mindset should be that DEIB is not just an HR function.
Another important thing to keep in mind is that DEIB is a marathon, not a sprint. Businesses must be open to iterating on policies and plans, and realize that in global companies, DEIB will look different in certain regions. It’s great to find common elements to use as a baseline, but goals and the methodology used to implement DEIB practices should be adaptable.
A diverse workplace is a healthy workplace
DEIB is crucial to creating a safe and supportive workplace for people of all identities. Top talent is attracted to businesses where they see representation and inclusion, and there are measurable benefits to a company’s bottom line when the organization prioritizes diversity, equity, and belonging. Implementing these ideas and strategies doesn’t happen overnight, but with accountability and resilience, companies can really start to see a shift in their workplace culture and goals.
For more in-depth insights and expert commentary on this topic, listen to the full episode of “The Power and Promise of Diverse Teams,” delve into other related podcasts in the Pangeo Perspectives series, or check out our 2023 Global Growth Report to discover how other industry experts are seeing the future of business.
As the recognized leader in the global employment market and standard bearer for industry compliance, we continue to pave the way with new technology for new times. The #1 Global Growth Platform™ helps companies plan, hire, and manage global teams in 180+ countries, quickly and compliantly. G-P continues to gather key perspectives and insights from growth-minded leaders, HR innovators, and entrepreneurs from around the world through our Pangeo thought leadership efforts as we help shape the global growth conversation.
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