1. Diversity in the Workplace

2. Overview How Diverse Are We and Why Is Diversity Important?
Types of Diversity
Laws and Executive Orders Prohibiting Discrimination
Challenges of Diversity
Strategies for Managing Diversity
Programs for Managing Diversity

3. US Workforce is More Diverse than Ever Before
More women are working than ever before
The workforce will continue to get older
The number of immigrants has increased
Ethnic and racial diversity is increasing

4. Why is Diversity Important?
The service economy
Interactions between people are key
Customer base is more diverse
Similarities between people ease process
Globalization of business
Doing business with people from around world
The changing labor market
Company mergers and buy-outs

5. Types of Diversity Gender Diversity Age Diversity Cultural Diversity
Sexual Orientation
Family Situations
Physical and Psychological Disabilities
Political Views
Personal Idiosyncrasies

6. Proportion of Women in the Workforce 1950-2000
Percent
Year
Source: U..S. Bureau of Labor Statistics

7. Gender Diversity: Nonstandard work
More women in workforce today than ever
Better educated than ever
Most “nonstandard” workers (those who do not hold regular, full-time jobs) are women
55% of workers paid by temporary agencies are women
70% of part-time workers are women
Stereotypes still remain
Glass ceiling, etc.

8. Gender Diversity: Wages and Income
In 2000, women who worked full-time, year round earned 74.3 cents for each dollar earned by men
Over a lifetime of work, the average 25-year-old woman who works full-time, year round until she retires at 65 will earn $523,000 less than the average working man
58% of the workers who benefited from the last minimum wage increase were women

9. Age Diversity As population ages, more older workers are available
Re-entry of middle-aged women to work
Retirees returning to supplement pension
Internships bring in more younger employees

10. Cultural Diversity Affects values, view of the world
More than 40% of new entrants into U.S. workforce from non-“majority” groups
About 22% new immigrants
About 20% African-American or Hispanic
Growing international business
Employees maintain ties to national and cultural heritage

11. Cultural Diversity (Hofstede)
Managers and employees vary on 5 dimensions of national culture:
Individualism vs. collectivism
Power distance: extent to which a society accepts the fact that power in institutions and organizations is distributed unequally
Uncertainty Avoidance: The extent to which a society feels threatened by uncertain and ambiguous situations and tries to avoid them
Quantity vs. Quality of Life (also masc/fem)
Long term orientation

12. Comparison of US vs. World Average on Hofstede’s Dimensions
Power Distance
Long term
Power Distance
Long term
Masculine
Masculine
Individualism
Uncertainty Avoidance
Individualism
Uncertainty Avoidance

13. Sexual Orientation Diversity
Approximately 10-14% of the US workforce is lesbian, gay, or bisexual (LGB; Powers, 1996)
Disclosure of sexual orientation is a critical and complex decision that is affected by many factors (Ragins et al., 2001)

14. Sexual Orientation Diversity
Most discrimination laws (e.g., CRA of 1964) do not protect sexual identity
Discrimination against employees who are or who are perceived to be LGB is legal in most workplaces (Button et al., 1997; van der Meide, 2000)
25-66% of LGB employees report discrimination. This number is likely much higher due to low disclosure rates (Badgett, 1996; Driscoll et al., 1996; Schneider, 1987)

15. Other Types of Diversity
Family situations
Single employees (mothers and others)
Physical and psychological disabilities
Americans with Disabilities Act
Political views
Personal idiosyncrasies

16. The pay gap, median weekly earnings of full-time workers, as a percentage of those of white men
Source: U.S. Census Bureau, Statistical Abstract of the United States, 2000, Table 696, p. 437.

17. Where Women and Minorities Manage
Percentage of total, 1999
Female Black Hispanic
All occupations % 11.3% 10.3%
Managerial and professional
Executive, administrative and managerial
Public officials and administrators
Financial managers
Personnel and labor relations managers
Purchasing managers
Marketing, advertising, and PR
Educational administrators
Health care managers
Property and real estate managers
Management-related occupations
Source: U.S. Census Bureau, Statistical Abstract of the United States, 2000, table 669, pp

18. Federal Laws and Executive Orders Prohibiting Job Discrimination
Equal Pay Act (1963)
Civil Rights Act (1964; amended 1972, 1991)
Executive Order (1965)
Age Discrimination in Employment Act (1967)
Equal Employment Opportunity Act (1972)
Pregnancy Discrimination Act (1972)
Americans with Disabilities Act (1978)
Family and Medical Leave Act (1993)

19. Challenges of Diversity
Availability Challenge
In past employers could control diversity
More people than jobs
Qualified employees have become scarce
Employers must become more flexible
Realize “Different does not mean deficient”
Fairness challenge
In past, typically viewed as equal treatment
Equal Employment Opportunity
Now employers must embrace new diversity
Essentially focus on “differences”

20. Challenges of Diversity
Synergy challenge
More and more group-based work
Diversity can create positive and negative conflict
Can facilitate creative problem-solving
Can close down communication
Can derail group processes
Group leaders must minimize destructive conflict and maximize diversity of input

21. Strategies for Managing Diversity
Articulate a clear diversity mission, set objectives, and hold managers accountable.
Spread a wide net in recruitment to find the most diverse possible pool of qualified candidates.
Identify promising women and minorities and provide them with mentors and other kinds of support.
Set up diversity councils to monitor the company’s goals and progress toward them.

22. Programs for Managing Diversity: Diversity Training
Providing managers with training
How to recruit/hire diverse employees
How to orient/integrate new employees
Providing all employees with training
Realizing the differences that exist
Learning how differences affect working environment
How to maximize productivity without ignoring employee differences