12 stats that show the importance of social inclusion for innovation, society and performance.
UK firms have woken up to the power of diversity and the reality of the ‘class ceiling’. Having socially and ethnically diverse workforces and executive teams have been proven to lead to innovation, greater productivity, improved culture and profitability.
Here are 12 reasons why social inclusion is vital for both business success an equal opportunity for all.
1. Lower salaries for less privileged backgrounds
People from working-class backgrounds who enter high-status occupations earn 17% less on average than individuals from privileged backgrounds. Office of National Statistics.
2. Diversity in fast-growing tech
50% of the UK’s top ten 3 fastest growing tech companies named in the Deloitte 20th annual Fast 50 List 2017 had at least one ethnic minority person on their board/leadership team. Colour In Tech | Deloitte.
3. Recruitment bias
People with Chinese, Indian or Pakistani-sounding names are 28% less likely to be invited to an interview than candidates with English-sounding names. We Forum.
4. Low diversity in IT specialists
Just 17% of IT specialists are female and 17% are from ethnic minorities. British Computer Society.
4. Diversity gives competitive advantage
78% of respondents now believe diversity and inclusion is a competitive advantage with 39% say it is a “significant” competitive advantage according to Global Human Capital Trends research. Deloitte.
5. Industry-leading profitability
Companies ranking in the top-quartile for ethnic/cultural diversity on executive teams were 33% more likely to have industry-leading profitability. McKinsey.
6. Gender diversity leads to superior value creation
Companies in the top-quartile for gender diversity on executive teams were 21% more likely to outperform on profitability and 27% more likely to have superior value creation. McKinsey.
7. Diverse boards make higher profits
Companies are 43% more likely to experience higher profits when they have ethnically/culturally diverse boards. McKinsey.
7. Different background increase profitability
The lowest performing companies in both gender and ethnic/cultural diversity were 29% less likely to achieve above-average profitability. McKinsey.
8. Inequality in UK execs
22% of university students identify as Black and Minority Ethnic (BAME), yet only 8% of UK executives in our sample share this identity. McKinsey.
9. Candidates want diversity
67% of job seekers said a diverse workforce is important when considering job offers. Glassdoor.
12. Focus on culture
78% of companies prioritise diversity to improve culture and 62% do so to boost financial performance. LinkedIn.
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