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 Helpdeskemb-enquiries@scotent.co.uk

0845 6078787

Equality Matters in Business