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Jenna Conroy/ May 30, 2022May 30, 2022
Diversity and inclusion in the workplace are two of the most important factors for hiring managers and HR departments today.
Many companies promote an inclusive environment that provides equal rights and opportunities for all workers, regardless of gender, age, sexual orientation or ethnicity. A diverse workforce recognizes the skills and differences that each team member brings to the organization and delivers significant social and cultural impact.
Here are 25 updated statistics on diversity in the workplace to better understand and help you understand the importance of diversity in the workplace.Create a more inclusive work environment.
1. Companies ranked as more diversified are 35% more likely to outperform their competitors
Given the advances in technology over the past few decades, it's no surprise that we now live in a more connected and globalized world. With deeper connections and relationships between people of all backgrounds, we are now seeing many benefits of diversity in the workplace.
While correlation does not equal causation, it appears that when companies choose to engage in diverse leadership, they do so.tend to be more successfuland have a competitive advantage. When companies accept candidates from diverse backgrounds, they have a better chance of finding and retaining top talent.
2. Diverse management teams generate 19% more revenue
Recent research shows a promising correlation between diversity and greater gains from workplace innovation. Companies reporting above-average leadership diversity demonstrated higher earnings before interest and tax (EBIT), with gains derived only from small changes in the composition of their leadership team.experience 45% revenue growthcompared to those with below-average leadership diversity of just 26%.
These correlations pave the way for a more innovative organization for business leaders. People with different backgrounds and skills will look at problems from different perspectives and come up with new solutions. These perspectives increase the chances of developing successful solutions. Diverse workforces mean companies are more adaptable and prepared for the ever-changing business world.
3.8.1% of Fortune 500 companies have female CEOs
Fortune 500 companies are among the nation's largest companies, and the list has long been considered a microcosm of US business as a whole. In 2021, the number of womenLeading Fortune 500 Companieswas 41 or just 8.1%. Now, for the first time, two Black women are leading Fortune 500 companies, while another executive is making history by leading one of the highest-ranking companies ever owned by a woman.
These three milestones reflect a shift toward diverse businesses and leaders across the United States. While there is still a long way to go, they provide a glimpse of the future as the country begins to recognize the importance of diversity in the workplace.
4. Women are more likely to be hired through blind applications
A study conducted by Harvard University and Princeton University found that when both men and women submit anonymous applications or auditions, women's chances of getting the job increase. Women were also in the same condition.more chances of being hiredlike men.
Another study shows that men are more likely to be hiredregardless of the gender of the hiring manager🇧🇷 This indicates that women can be biased towards other women and underscores the need for hiring practices that avoid gender bias.
5. Gender-diverse companies generate up to 41% more revenue
When companies go through a fair hiring process to keep both men and women on the job, they do so.can generate additional income🇧🇷 Additionally, 43% of companies with diversified management have higher profits. This study also shows that the impact of hiring racially diverse employees is favorable for most organizations, with 35% of these employees being more likely to perform better and earn a higher return on investment (ROI).
6. 44% of Blacks and 61% of Hispanics suffered job and wage losses during the pandemic
The COVID-19 pandemic has brought all facets of life to a halt, especially employment. However, the impact of the pandemic is disproportionately affecting people of color. Recent findings show what nonwhite Americans are likemore likely to lose jobsduring the pandemic feared losing their jobs or canceling their study plans due to the pandemic.
7. GDP can increase by 26% through equal diversification of the workforce
Gross Domestic Product (GDP) is the money market value of a country's goods and services produced in a given period. Some research predicts that when women participate in the economy at the same rate as men, annual global GDP drops.could increase by $28 trillion, or 26%, by 2025.
The impact is almost as big as it is in the Chinese and American economies today, which means that shifts towards diversity in the workplace are having a significant impact on specific companies and the world.
8. More than 3 out of 4 jobseekers are looking for companies with a diverse workforce
An inclusive workplace can make all the difference for job seekers. Recent research shows that more than74% of job seekersRecognize diversity and inclusion as key factors when applying for a job. This means that during the interview or job interview, your candidates are likely to assess the diversity of your workforce.
9. 32% of employees would not apply for a job at a company that lacks diversity
A study shows that about a third of employees and job seekers do not apply for a job at a companywhere diversity is lacking🇧🇷 Being transparent about your company's engagement means disclosing your workforce demographics and informing employees of any gaps. By listening to your current employees and gathering input, you can strive to attract and retain diverse talent.
10. Millennials are more diverse than baby boomers
US Census data shows that about 50% of millennials are white, compared to 76% of baby boomers, and are nowmore millennials than baby boomers🇧🇷 In the face of changing demographics, hiring managers, HR teams and business leaders must adapt by creating a more inclusive workplace and employing people of all ages.
11. 74% of millennial workers believe that inclusion equals innovation
While many Americans believe in the importance of diversity in the workplace, younger generations seem to see it as a top priority. A Deloitte survey shows that nearly three out of four millennialscombine inclusion with innovationin their current companies.
Millennials are one of the most diverse generations today - second only to Gen Z - and most believe in a fair and equitable workplace that protects all employees, regardless of their background. As demographic changes continue and the world becomes more diverse, we will see these factors normalize even more.
12. 48% of Gen Z are racial or ethnic minorities
A Pew Research Center report shows that half of Gen Zers – born between the mid-1990s and mid-2010s – are not white. Like millennials, more and more Gen Zers are seeing thisWorkplaceDiversity and inclusion as a prerequisitewhen looking for a job.
The new generation finds it particularly important that companies embrace these changes and value diversity, equity and inclusion (DEI) programs to make a difference in the world. Whether it's sustainability, social impact or philanthropy, Gen Z finds it essential that companies integrate their values into their cultures and missions.
13. Inclusive companies are 1.7 times more likely to innovate
As we mentioned earlier, inclusive companies with diverse businesses are more likely to innovate and come up with new and exciting ideas.1.7 times more likelyThese companies develop unconventional solutions while generating more ideas, some of which are more likely to become successful products and services in the market.
14. Including companies generates 2.3 times more cash flow per employee
When it comes to every employee,cash flow among workersit is 2.3 higher in inclusive organizations. Additionally, companies have gender-diverse leadership teams25% more chances to get better profitabilityjthan less heterogeneous teams.
15. Millennials are 83% more likely to engage in work at inclusive companies
If millennials see their workplaces as inclusive and diverse, then they arefeel more engagedAt work. This is important as they are companies with dedicated employeestend to outperform others.
While this is important for hiring managers, retaining current employees is also critical for HR managers – companies can appreciate higher employee retention rates when they genuinely believe in the company's culture and values.
16. Minorities will achieve majority status by 2044, and by 2030, one in five Americans will be age 65 or older
Historically underrepresented groups are expected to be responsiblemajority of the US populationby 2044. By 2030, one in five Americans will be age 65 or older. Workspaces can adapt to a changing environment by considering these statistics. Skills need to be passed down between older and younger generations, and companies need to integrate inclusion and diversity training into the workplace.
17. By 2065, the US population will not have an ethnic or racial majority
As the majority white population declines and minority demographics increase, there will no longer be a single ethnic or racial majority in the United States. The workforce will evolve to include people of diverse backgrounds and abilities as inclusion becomes part of the corporate culture.
18. Employee perceptions of your company's diversity efforts affect their satisfaction
According to the Workforce Happiness Index – an employee survey that measures pay, value, autonomy, promotion and purpose –Points are 12 points loweramong those who feel their companies are not doing enough for DEI.
To make diversity a priority, it's important to make it part of training and development initiatives so employees know how much your company values diversity. Happier employees are more productive and stay at their jobs longer.
19. 76% of companies do not have diversity and inclusion goals
A recent study found that many companieshave no diversity or inclusion goals🇧🇷 While many companies see the value of a diverse workforce, it's easier to achieve a more inclusive work environment when you set goals and invest the time and effort to achieve them. This means respecting equal pay, valuing different opinions, facilitating open communication and promoting a culture of openness.
20.55% of people have experienced discrimination at work
Many Americans have or have experienced discrimination or harassment in the workplace based on age, race, gender or sexual orientation. What else80% of harassment incidents occur remotely, leaving many unsolved.
Managers and HR departments can implement diversity education and training programs to create a welcoming environment for employees. By taking each situation seriously, workplaces can work to become more inclusive, retaining talent and ensuring a healthy environment for all.
21.85% of employees are confident that their companies have adequate measures in place to prevent discrimination
Optimistically, a significant number of employees believe their company has appropriate measures in place to prevent discrimination and harassment. By asking for feedback and resolving interpersonal issues, leaders can ensure employees feel safe. You can also create a healthier workplace by talking frequently with employees about how and where to go to raise concerns.
22. Diverse organizations are 87% better at decision making
Research shows thatdiverse teams offer broader perspectivesand invite more information and discussions to the workspace. When employees from different backgrounds come together and their contribution is valued, companies can experience a more proactive and efficient organization.
23. Diverse workers are 70% more likely to enter new markets
In contrast to organizations that do not recruit from underrepresented groups, there are several areas of workconquer more marketsand beat the competition. An inclusive workplace invites people from all walks of life, supporting all educational backgrounds. This promotes greater productivity and business growth. It pays to invest in human resources and DEI for companies to retain employees and achieve long-term success.
24. 40% of employees believe their companies should improve gender diversity
Many employees believe in their jobsshould promote a more welcoming environmentfor the LGBTQIA+ community. This can include implementing educational programs and ensuring that all employees, regardless of their sexual orientation, feel included in the workplace. Encouragement and support can also help individuals feel welcome, boost morale, and increase employee productivity and satisfaction.
25. About 35% of HR leaders rank DEI among their top five priorities for 2022
Many HR leaders are thinking about diversity, equity and inclusion these days35% consider these topics essential🇧🇷 These leaders could address stagnant leadership development for women and minorities while setting specific goals for DEI and other workplace diversity initiatives.
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FAQs
What is the trend for diversity and inclusion for 2022? ›
The biggest trend in the DEI space for 2022 is an acceptance by companies that the most effective avenue to increasing Diversity, Equity, Inclusion and Belonging (DEIB) in the workplace is through taking an holistic approach.
What are the statistics behind diversity in the workplace? ›77 Percent of the U.S. Workforce Is White
77 percent of the U.S. workforce is made up of white people. Hispanic or Latinx people make up 18 percent of the workforce, Black people make up around 13 percent of the workforce and Asian people make up about 6 percent of the workforce, as of 2020.
A growing diversity and inclusion trend in 2023 will be for companies to set transparent targets, goals, and D&I initiatives. Doing so will increase accountability of people in leadership positions, encourage honest conversations between employees and their bosses, and inspire them to share ideas and solutions.
What will be the biggest trend in 2022? ›Style took a step back in time, 90s fashion made a return in 2022. Baggy jeans, oversized clothing, and flannel became staples once again in many people's closets. Charcuterie boards are here to stay but make room for trendy butter boards, which is exactly as it sounds.
Is diversity in the workplace increasing? ›Diversity in the workplace has become more than a reality – it has transformed into a mentality. Individuals and entire companies who embrace and utilize the differences of those around them are those which have witnessed the highest rates in growth and prosperity in the twenty-first century.
What are the 7 pillars of diversity? ›- Access.
- Attitude.
- Choice.
- Partnerships.
- Communication.
- Policy.
- Opportunities.
- Cultural diversity. ...
- Age diversity. ...
- Racial diversity. ...
- Gender diversity. ...
- Sexual orientation. ...
- Disability. ...
- Religious diversity.
How Is Diversity Measured? So, how do you know if your company is truly diverse? By using metrics to measure diversity and inclusion. These kinds of key performance indicators, or KPIs, can help you track your company's progress toward embracing a diverse workplace.
What do employees want in 2023? ›The opportunity to work from home tops the list of priorities for most candidates with remote-capable jobs. Studies have shown that remote work improves engagement, cuts attrition and boosts productivity—despite many bosses placing a high value on getting employees back to their desks.
What are the 4 pillars of diversity? ›- Hire for merit and ability, rather than perceived culture fit. ...
- Encourage input at all levels of the company. ...
- Actively recruit in and engage with diverse communities. ...
- Remove bias throughout the recruitment process.
What are the top 3 problems in the workplace? ›
- Lack of communication. ...
- Performance issues. ...
- Lack of employee recognition. ...
- Lack of transparency in leadership. ...
- Motivation and engagement levels. ...
- Conflict management.
Common workplace issues that employees face include: Interpersonal conflict. Communication problems. Gossip.
What are the 5 trends for 2022 and beyond? ›Five current trends that will shape the big data landscape of 2022 and beyond are streaming analytics, AI-driven big data, edge computing, natural language processing and cloud storage. The world of big data is constantly changing and evolving, and 2021 is no different.
What is something everyone needs 2022? ›- ugg Classic Ultra Mini. ...
- dyson Airwrap Styler. ...
- samsung The Frame 55-inch Tv. ...
- coway Airmega Air Purifier. ...
- hum Nutrition Calm Sweet Calm Supplement. ...
- re/casetify Check Ii Baby Blue Twist Phone Case. ...
- apple Airpods Pro. ...
- bearaby Cotton Napper.
Big Data Analytics roles to witness huge demand
Basis reports, 96% of companies are definitely planning or likely to plan to hire new staff with relevant skills to fill future big data analytics related roles in 2022. This is most likely going to be the most in-demand role in 2022.
Making better decisions first requires a commitment to diversity. That requires building teams that are age, gender, ethnically, and geographically diverse. According to the Cloverpop study, teams that are diverse in all those areas make better business decisions 87% of the time.
Why is diversity important in the workplace 2022? ›Facilitates Personal and Professional Growth. By exposing employees to different perspectives, ways of thinking, skills, and approaches toward work, diversity in the workplace promotes professional growth. A diverse team can inspire and challenge your employees to think and perform their tasks in a new, fresh way.
Are diverse companies 70% more likely to capture new markets? ›According to the Harvard Business Review, companies with diverse leadership teams are 70% more likely to capture new markets and 45% more likely to report that their firm's market share grew year-over-year than companies without diverse teams.
What are the four 4 key elements of inclusion? ›There are four key features of inclusion which can be used to set expectations and evaluate inclusive practice in schools and early learning and childcare settings. These are present, participating, achieving and supported.
What are the 8 types of diversity? ›- Cultural diversity.
- Racial diversity.
- Religious diversity.
- Age diversity.
- Sex / Gender diversity.
- Sexual orientation.
- Disability.
What are the six 6 best strategies for working with diversity? ›
- Start the conversation. ...
- Increase accountability and transparency. ...
- Develop inclusive leadership skills. ...
- Notice the diversity (or lack of it) during discussions and decisions. ...
- Pay attention to how all people are treated. ...
- Act as a vocal ally.
- Engagement. How happy and engaged is the employee? ...
- Energy. ...
- Influence. ...
- Quality. ...
- People skills. ...
- Technical ability. ...
- Results.
In general, five of the most commonly used KPIs include: Revenue growth. Revenue per client. Profit margin.
What are the top 5 KPIs you would track? ›- Sales Growth. ...
- Leads. ...
- Return on Investment (ROI) ...
- Lifetime Value of a Customer (LTV) ...
- Customer Acquisition Cost (CAC) ...
- Conversion Rate. ...
- Open Rate. ...
- Click-Through-Rate.
Marvelous Magenta
The Pantone Color Institute named Viva Magenta as its official color of the year for 2023 for its joyous yet powerful nature.
Digital Lavender, Luscious Red, Sundial, Tranquil Blue and Verdigris are the color names for 2023.
What is trending for spring 2023? ›Elevated everyday dressing, high-octane sequins, sheer everything, and anything in between—the latest collections to come from fashion's heavy hitters and emerging stars run the full gamut. Sure, winter is still very much here, but that doesn't mean you can't get a head start on your wardrobe for the warmer days ahead.
What are the biggest workplace trends for 2023? ›The shift toward skills-based hiring will accelerate in 2023 as skills emerge as the currency of the labor market. Flexibility is the ability to choose one's work schedule and it no longer means just working remotely. It can mean working four or even three days a week, while working longer hours each day.
What jobs will be obsolete in 5 years? ›- Taxi Drivers. ...
- Bank Tellers. ...
- Cashiers. ...
- Telemarketer. ...
- Dispatchers (except emergency services) ...
- Watch repairers. ...
- Printing press operators. ...
- Bus Drivers.
- Data Science & Cloud Computing (Cloud computing goes hand in hand with data science, and cloud computing jobs range from architects and developers to data scientists)
- Artificial intelligence (AI) and machine learning (ML)
- Big Data Science.
- Digital Marketing & Strategy.
What are the six gains of diversity? ›
Diverse and inclusive businesses are more innovative, more profitable, have higher cash flow, are better at problem-solving, are more productive, and have better ability to make decisions than their more homogenous counterparts.
What are the 5 primary dimensions of diversity? ›Learn more about specific dimensions of diversity:
Color. Education. Ethnicity & National Origin. Gender & Gender Identity.
The 2022 Workplace DEI Report shines a science-backed light on where resources can be deployed for the greatest impact, and which initiatives drive certain components of diversity, equity, and inclusion.
Why diversity and inclusion is important in the workplace 2022? ›The benefits of workplace diversity include employee retention, great organizational culture, and less bias. Creating an inclusive and diverse workplace diversity positively impacts a company's performance, employee engagement, and profitability.
What are people looking for in 2022? ›- Job seekers will raise their employment standards. ...
- Job seekers and employees will have the upper hand when it comes to salary negotiation—for now. ...
- Remote work is here to stay. ...
- Job seekers will want more flexible working options. ...
- Key industries will boom.
According to Zheng, there are three reasons DEI efforts fail, these include employee fatigue and backlash with DEI initiatives as well as the denial of inequality. Often employees will try to improve DEI in their organization by starting an employee resource group, speaking to managers, or starting a DEI council.
Why is diversity important statistics? ›Benefits of diversity in the workplace statistics
According to a 2021 McKinsey study, companies with diverse boards and executive leadership earn more in profits. Specifically, companies in the top 25 percent in gender diversity were likely to out-earn companies in the bottom 25 percent in gender diversity by… 25%.
The aim of inclusion is to embrace all people irrespective of race, gender, disability, medical or other need. It is about giving equal access and opportunities and getting rid of discrimination and intolerance (removal of barriers).
What are the statistics of human diversity? ›Of all the variation within humans, 85.4% of it lies within populations (i.e. is due to variation among individuals within populations). An additional 8.3% lies between populations within races. Only 6.3% of all the genetic variation within humans is due to differences between races!
What is diversity in statistics? ›In other words, diversity is the representation of a range of traits and experiences in a company's workforce. These characteristics include gender, race, physical ability, religion, age, and socioeconomic status, among others—or, as defined by Gallup, “the full spectrum of human demographic differences.”
What are the 8 benefits of diversity in the workplace? ›
- Increased Creativity. ...
- Boosts Productivity. ...
- Various Perspectives. ...
- Improved Innovation. ...
- Faster Problem Solving. ...
- Improved Decision Making. ...
- Reduced Employee Turnover. ...
- Helpful Language Skills.
19. 76% of Companies Lack Diversity and Inclusion Goals. A recent study found that many companies don't have diversity or inclusion goals.
What are the 4 benefits of workplace diversity? ›- Better opportunities for creativity and problem-solving. ...
- Smarter decision-making. ...
- An increase in profits and productivity. ...
- Reduced rates of employee turnover. ...
- Improved reputation for your business.