A new report launched today finds that investment by organisations in initiatives that promote workplace equality and foster diversity has substantial benefits for both employees and employers.
The report – entitled The Business Impact of Equality and Diversity – The International Evidence – was commissioned jointly by the Equality Authority and the National Centre for Partnership and Performance. It was compiled by Professor Kathy Monks of the Learning, Innovation and Knowledge Research Centre at Dublin City University Business School.
The report reviews a wide range of research evidence on the relationship between equality and diversity on one hand, and organisational performance on the other.
The report concludes that:
- There is a positive relationship between the existence of equality policies and employee outcomes including, commitment, job satisfaction, life satisfaction, work-life balance and reduced stress;
- There are positive employee-performance outcomes arising from the implementation of equality and diversity initiatives, such as reductions in absenteeism and staff turnover, improved employee relations and workplace innovation and creativity, and
- Organisations perceive performance outcomes from investment in equality and diversity initiatives in four inter-related areas:
- Human capital benefits, such as the ability to resolve labour shortages and recruit and retain high-calibre staff;
- Increased market opportunities, with access to more diverse markets;
- Enhancement of organisational reputation to suppliers, customers and prospective and existing employees, and
- Changes to organisational culture, such as improved working relations and reductions in litigation.
Speaking at today’s launch, Lucy Fallon-Byrne, Director, National Centre for Partnership and Performance, commented:
“Equality and diversity are key priorities of both the National Workplace Strategy and Towards 2016. Transforming Irish workplaces into Workplaces of the Future is all about fostering greater levels of innovation and creativity, and this report suggests very strongly that positive equality and diversity policies are a major contributor to higher levels of workplace innovation.”
Niall Crowley, CEO of the Equality Authority, said:
“It is clear from this report that diversity in the workforce across all the grounds covered by our equality legislation holds significant potential for business success. A planned and systematic approach to equality and diversity in the workplace is required if this potential is to be realised. Such an approach must focus on eliminating any form of discrimination, on making adjustments to take account of the practical implication of diversity and on proactively seeking to achieve full equality in practice for the diversity of employees in the workplace.“
The report finds that if equality and diversity initiatives are to be successful, they cannot be introduced as stand-alone policies and practices that are left to human-resources departments or line managers to implement. Instead, their success depends to a great extent on their integration into an organisation’s strategy and culture, so that they shape the way in which the organisation’s business is conducted and its individual employees work.
It also warns that while line managers are increasingly called upon to deliver equality and diversity strategies, there is little evidence that they are receiving the support or training needed to undertake these tasks. In such cases, they are likely to view equality and diversity as marginal activities and to take a reactive stance, concentrating solely on minimal compliance rather than the positive outcomes that could accrue from a more proactive approach.
The report identifies key success factors for equality and diversity initiatives in the workplace. These include the need for:
- Leadership and top management commitment and support to equality and diversity policies and practices;
- Training to raise awareness and develop staff skills, understanding and buy-in to equality and diversity policies and practices, and
- Staff involvement in the design and implementation of equality and diversity policies and practices.
ENDS
Note to Editors:
The Equality Authority was established by statute in 1999 to promote equality of opportunity and to combat discrimination in the areas covered by the Employment Equality Acts and the Equal Status Acts. Visit www.equality.ie for further information.
The National Centre for Partnership and Performance (NCPP) was established by Government in 2001 to promote partnership-led innovation and change in Irish workplaces. It was placed on a statutory footing in January 2007 as part of the new National Economic and Social Development Offices (NESDO). Visit www.ncpp.ie for further information.