CEO, Zellis
We must close the gap between talk and action on DEI
I’m delighted to introduce our latest piece of research on diversity, equity and inclusion (DEI) across British and Irish companies. This builds on our previous study from November 2021 (done jointly with Economist Insight) and reflects our company’s commitment to using our software to promote positive social values in areas including wellbeing and inclusion.
In this 2022 study, we deliberately weighted the very large research sample to include a representative level of responses from senior manager and leadership roles – and the results are fascinating.
With unemployment at the lowest level since 1974, companies are quite rightly appreciating that they need to go and look for talent in unfamiliar places, and that creating an inclusive and fair workplace can help them retain talent too. While our data shows there is work to do in helping employees from under-represented groups feel confident enough to declare their diverse characteristics, there is generally an overall feeling of optimism that companies are making progress, with senior managers and leaders the most optimistic group.
However, our data also showed that for many senior leaders, their motivations to improve DEI come from personal experience. A shockingly high proportion of those surveyed reported having felt discriminated against on the basis of their characteristics.
As a fifty-something White male, I don’t have this in my own experience – but during thrity-plus years in the working world, I have sadly seen cases where people from under-represented groups don’t fulfil their potential because of the organisation’s biases.
Each of these stories is a personal tragedy of lost opportunity and unfairness. What I found encouraging is that a new generation of more diverse senior leaders are channelling their experiences to create change to help the next generations.
However, my optimism was tempered by the other most significant finding in the research – that leaders are aware of a gap opening up between their company’s public positions and how they actually operate.
The senior employees in our survey would be privy to the most important boardroom discussions, hiring decisions and debates around promotions and redundancies – and it’s worrying that this group feels that companies are not yet practising what they preach.
The emerging gap between words and deeds reinforces the need for companies to have a rigorous, evidence-based approach to diversity, equity and inclusion
This starts with collecting diversity data systematically and at scale, which requires that employees feel confident enough to disclose their characteristics including gender, ethnicity, sexual orientation, disabilities and social background. With this in mind, Zellis has launched – free to all customers of our cloud-based software – a new module to help collect this data systematically and in line with best practice, through our self-service MyView module. We hope that this, coupled with strong senior leadership support in our customer base, can contribute to making UK and Irish workplaces more inclusive and fairer.
The term ‘minority’ was used in the survey as, due to common usage, this was deemed most likely to be understood by the greatest number of respondents. We use it purely to refer to groups fewer in number than the numerical majority.
We appreciate the growing preference for terms like ‘under-represented’ and have also employed this within the report.
Respondents were asked if they identified with any of the following types of minority group:
Persons with physical disabilities Persons with cognitive / mental disabilities or impairments EthnicRacial Religious Sexual GenderOther, please specifyNone of the above
Representation was determined by self-identification and is therefore likely to be context-dependent.
Employees in the UK and Ireland believe that their employers are making progress in improving both diversity and inclusion within the workforce. Even among people who identify as being a member of an under-represented group, there is a feeling that things are moving in the right direction.
68% of employees in any minority group say their employer has made progress on diversity over the past three years.of employees in any minority group say their employer has made progress on diversity over the past three years.
of employees in any minority group say their employer has made progress on diversity over the past three years.
But there is still a long way to go, particularly when it comes to inclusion, and creating a work environment where people feel comfortable and safe about bringing their authentic selves to work, whatever their protected characteristics.
62% of employees state that employers are talking about DEI more than they are taking action. This figure rises as high as 70% for employees who identify as being part of a minority group.
While the dial has certainly shifted on diversity, equity and inclusion (DEI) over recent years, there is an overriding sentiment that organisations could and should be doing more. After several years of listening to their employers talking about the importance of DEI and announcing strategies to improve, people now want to see more action.
Crucially, in the context of a fierce war for talent, 66% of all employees say their employer’s approach to diversity, equity and inclusion (DEI) impacts their plans to stay in a role. This rises to 74% for those who consider themselves a member of at least one minority group, and 86% for those at management level.
There is a growing unease among senior leaders about the speed at which change is happening, mainly at a macro level, but also within their own organisations. For all of the focus and effort they’re directing towards diversity and inclusion, many leaders aren’t achieving results at the speed and scale they would like.
Almost half (46%) of employees who identify as being a member of a minority group have experienced feelings of alienation or of not being welcome in the workplace. Senior leaders themselves are far from exempt : 39% of them also report having felt this way. This compares with only 15% among people who do not identify with a minority group.
80% of employees feel that positive change on diversity or inclusion can only be achieved with input from their employees.
of employers feel that positive change on diversity or inclusion can only be achieved with input from their employees.
Encouragingly, despite the challenges they face, there is a steely determination amongst senior leaders to stay the course and deliver real and lasting change. Business leaders recognise the critical role that DEI must play in reaching and engaging new pools of talent, as organisations look to overcome current skills gaps and navigate a fiercely competitive labour market.
Transparent and effective data collection can help bridge the talk-action gap.
The starting point for any initiative to improve DEI in the workforce has to be a robust and forward-thinking data strategy. However, the research shows that some employees, and particularly those that identify as being a member of a minority group and those in more junior positions, have concerns about disclosing personal data to their employers.
This is why it’s vital for organisations to collect DEI data in a systematic and consistent way, and to have robust and transparent processes and policies which create trust and confidence with all employees. Employers need to reassure employees that they are collecting and using data for the right reasons and to demonstrate (particularly to those who aren’t in positions of power) how this data can bring about real improvements in DEI.
Business leaders recognise the critical role that DEI must play in reaching and engaging new pools of talent, as organisations look to overcome current skills gaps and navigate a fiercely competitive labour market.
This research includes contributions from two special guests who are experts in the DEI space and vocal advocates for progress.
CEO and Lead Consulting Director, Mahogany Inclusion Partners
Aggie is a passionate inclusion and anti-racism expert, and executive coach, who excels at partnering organisations to build cultures where everyone can thrive. Her recent accolades include being voted a Top 20 Most Influential HR Thinker in 2022 by fellow people professionals. Aggie works with C-suite leaders and their teams to deliver DEI strategies and anti-racism strategies.
She has supported FTSE Global 100 companies, consultancies, retailers, third sector and public sector organisations. She is a trusted advisor for the CIPD and has spoken recently at the CBI, FTSE 100 organisations, and the CIPD Annual Conference 2020.
mahoganyinclusionpartners.com
This research includes contributions from two special guests who are experts in the DEI space and passionate advocates for best practice
Global Head of Diversity, Equity and Inclusion, Haleon
Zaheer is a multi-award-winning diversity and inclusion thought leader. Currently, he is Global Head of Diversity, Equity, and Inclusion for Haleon. He has contributed to several high-profile reports including the Parker Review, a UK government-backed review of ethnic diversity representation on FTSE 250 boards.
He has won the Global Equality and Diversity Award, European Diversity ‘Hero of the Year’, and ‘Head of Diversity of the Year’. He advises an independent taskforce to boost socio-economic diversity in financial and professional services.
He is a fellow of the Institute of Leadership and Management and the Society of Leadership Fellows. A member of the Chartered Management Institute’s Advisory Committee for Race Equity, he also helps judge the European Diversity Awards, GenM Awards, ESG Culture, and Black Talent Awards. He is a strategic advisor to the British Academy of Management and sits on the Premier League Equality, Diversity, and Inclusion Standards panel.
haleon.com
Zellis commissioned comprehensive independent research among a wide cross-section of the workforce:
2,005 online interviews with employees in the UK and Ireland; 85% worked for organisations headquartered in the UK; 15% worked for organisations headquartered in Ireland
The respondents worked for organisations with more than 1,000 employees; 22% worked for organisations with 1,000 to 1,499 employees, 43% worked for organisations with 1,500 to 4,999 employees, and 35% worked for organisations with more than 5,000 employees
Respondents worked for organisations across a wide and representative range of industries including government/ public sector, financial services, retail, education, technology, manufacturing, and transportation, travel and tourism
38% of respondents identified as a member of a minority group
Respondents were from a range of levels of seniority within their organisations: 17% were C-level or C-level -1; 40% were senior or mid-managers; 43% were junior managers or executive level
All research was conducted by Insight Avenue in September 2022
Note: Totals in charts/tables for single-coded questions sometimes add up to more or less than 100% due to rounding.