Workplace diversity has gained more attention in recent years. The benefits of inclusion and equality are numerous, and companies have started to realize this and promote diversity in their businesses.
Statistics show that diversity and inclusivity in the workplace are still far from where they need to be. According to 57% of employees, their company should be more diverse and work harder to meet that goal. This includes gender diversity, racial and ethnic diversity, and inclusvity of disabled persons in the workplace.
It has been proven that workplace diversity improves profits.
There are many benefits to workplace diversity, yet many companies still haven’t adopted an inclusive employment method.
Have a look at these workplace diversity statistics to gain further insight into this matter.
- Workforce Statistics for the United States Demographic
- What Is Workplace Diversity?
- What Are The Benefits Of A Diverse Business?
- Workplace Diversity Statistics To Know
- Gender Diversity In The Workplace
- Racial Diversity In The Workplace
- Inclusivity Of Disabled Persons In The Workplace
- Do Employees Value Workplace Diversity?
Workforce Statistics for the United States Demographic
- White: 76.3%
- Hispanic or Latino: 18.5%
- Black or African American: 13.4%
- Asian: 5.9%
- Two or more races: 2.8%
- American Indian or Alaska Native: 1.3%
- Native Hawaiian or Other Pacific Islander: 0.2%
What Is Workplace Diversity?
Diversity in the workplace refers to hiring a wide range of diverse individuals.
Most people think of gender and race when it comes to workplace diversity. However, diversity can refer to ethnicity, race, gender, age, sexuality, language, educational background, and much more.
Workplace diversity includes not only hiring a diverse group of individuals but also making sure that their participation is equal and ensuring fair and equal pay.
What Are The Benefits Of A Diverse Business?
The benefits of owning and running a diverse business are endless. This social inclusivity and boosted inclusivity increases their financial success. According to Builtin, diverse companies enjoy 2.3 times higher cash flow per employee.
Diverse businesses also enjoy the following advantages:
Increased employee engagement. Marginalized individuals no longer feel isolated and instead feel free to engage with the group.
Increased range of ideas. Research shows that when diverse teams made a collective decision for the company, they outperformed individual decision-makers 87% of the time.
Widens the talent pool from which the company can choose. For example, 58.2% of the civil labor force is made up of women, and if the company were only to hire men, they’d be significantly reducing their choice of employees. Not only this but there may be more qualified women than some of the men that the company may settle for.
Racial diversity in specific increases sales revenue significantly.
On average, companies with the highest degrees of racial diversity brought in roughly 15 times more sales income than those with the lowest levels. (Science Daily)
Workplace Diversity Statistics To Know
Women make up 7.4% of Fortune 500 CEOs. This is a small percentage and infact among women, only 40% are satisfied with their organization’s decision-making process.
41% of managers say their busy schedules prohibit them from implementing diversity and inclusion initiatives.
It doesn’t matter what gender the hiring manager is, men are twice as likely to get hired.
85% of CEOs whose cultures are diverse and inclusive report increased profits.
High-gender-diversity executive teams outperform their peers on profitability by 21%.
Gender Diversity In The Workplace
Gender diversity is one area in the workplace where diversity can be improved, especially in today’s economy.
The average gender pay gap is 17% worldwide, but it ranges anywhere from 3% to 51%. Gender diversity and gender income equality are necessary to diversify the workplace as a whole.
Why Should Companies Focus On Gender Diversity?
Barring a company’s social and moral obligations to include gender diversity within their company, there are also many statistics to show that with gender equality and diversity in the workplace come significant financial gains.
Take a look at some of these gender diversity facts and statistics.
If the global workforce emphasized gender diversity and fully equalized the involvement of all genders in the workplace, the global GDP could increase by $28 trillion (26%) (Reiners, 2020).
Companies that employ an equal amount of men and women earn up to 41% higher revenue than those who don’t.
When men and women receive similar benefits and equal treatment in the workplace, they perform better, and their collaboration skills improve from having more than one perspective on business matters.
Men are twice as likely to be hired versus women. Regardless of the hiring person’s gender, men have the odds in their favor on this matter.
Women have to work twice as hard just to be noticed or considered. This shows the prejudice present, even in today’s “inclusive” workplaces.
Only 23% of executive-level managers (C-Suites) are women, and only 4% of those women are women of color.
This emphasizes the amount of work that a woman, especially a woman of color, has to put in just to be considered for a high-earning opportunity.
Racial Diversity In The Workplace
Racial diversity in the workplace is still moving at a snail’s pace in all areas, from recruiting to hiring to promoting individuals of color.
Statistics show that improved racial diversity may lead to a more engaged workforce.
So why aren’t companies improving their efforts to increase racial diversity in the workplace?
Why Should Companies Focus On Racial Diversity?
There are many reasons why companies should focus on promoting racial diversity in the workplace.
One of the most obvious ones being that discrimination on the grounds of racial prejudice is still very much prominent in today’s society, and low racial diversity in the workplace perpetuates this.
These facts and statistics speak volumes on racial diversity in the workplace.
Racially diverse organizations are 35 percent more likely to outperform their peers. With increased diversity, profits and rates of investment will increase and benefit both employees and the business itself.
Ethnic diversity is beneficial to both social and financial morale because it is associated with less racism and discrimination, better social cohesion, and stronger social support networks.
The study discovered that companies gain the greatest when both upper and lower management are ethnically diverse. A 1% improvement in racial diversity similarities between upper and lower management boosts company efficiency by $729 to $1590 per year per employee (Lauren Turner, 2021).
Inclusivity Of Disabled Persons In The Workplace
According to the Centers for Disease Control and Prevention, one in four adults in the United States has a disability. That’s 25% of all US inhabitants.
This statistic makes it apparent that the inclusivity of disabled persons in the workplace needs to be emphasized.
Benefits of Focusing On Inclusivity of Disabled Persons
There are many advantages of making the workplace more diverse, inclusive, and accessible to disabled individuals.
Some of these benefits include:
- Inclusion boosts employee morale and allows them to unlock their full potentials.
- For all workers, inclusion fosters a more welcoming and helpful environment.
- All employees will be more engaged if an employer has a good disability inclusion program.
- Improvement of workplace diversity through disability inclusivity expands your talent pool.
Do Employees Value Workplace Diversity?
Work diversity is undeniably important to employees. In the most recent surveys, statistics show that 80% of the workforce say that they would rather work for a company that values diversity, equality, and inclusivity.
Studies have shown that workers who are satisfied with their company’s workplace diversity, equality, and inclusivity efforts perform better and have increased motivation which leads to improved productivity.
Companies with a greater diversity of employees are not only more appealing to work for, but they also outperform their competitors.
Every organization benefits from having a broader viewpoint since it portrays a favorable image to the public.
The productivity of employees, the quality of services, the number of clients a business has, and their profitability will all improve if this inclusive approach is adopted.