Article Discussion - EthicsArticle Discussion - Ethics

CEO PayCEO Pay

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Workforce DiversityWorkforce DiversityWorkforce DiversityWorkforce Diversity

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• Read the opening article – A Manager’s Read the opening article – A Manager’s ChallengeChallenge

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A diverse workforce provides the talent, creativity, flexibility,

world-vision, and strength that we need

to successfully compete in Global

markets.

Diversity Diversity Diversity Diversity

Definition Definition

Differences among people in age, gender, Differences among people in age, gender, race, ethnicity, religion, sexual race, ethnicity, religion, sexual

orientation, socioeconomic background orientation, socioeconomic background and capabilities/disabilitiesand capabilities/disabilities

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The Increasing Diversity of the The Increasing Diversity of the Workforce and the EnvironmentWorkforce and the EnvironmentThe Increasing Diversity of the The Increasing Diversity of the

Workforce and the EnvironmentWorkforce and the Environment

• Diversity Concerns and IssuesDiversity Concerns and IssuesThe ethical imperative for equal opportunityThe ethical imperative for equal opportunityThe illegality of unfair treatmentThe illegality of unfair treatmentDiversity’s positive effect on organizational Diversity’s positive effect on organizational

performanceperformanceThe continuing bias toward diverse The continuing bias toward diverse

individualsindividuals

Changing WorkforceChanging WorkforceChanging WorkforceChanging Workforce

• More women & minoritiesMore women & minoritiesIn 2008:In 2008:

• 70% new entrants in US labor force were women 70% new entrants in US labor force were women and minoritiesand minorities

• The number of non-white workers grew 2 to 3 times The number of non-white workers grew 2 to 3 times faster than white workersfaster than white workers

Today’s workforce:Today’s workforce:• 54% men54% men

• 46% women46% women

• Older workforceOlder workforceAverage age today – 35.5Average age today – 35.5

SHRM Workplaces Forecast: A strategic Look 2002-2003

Changing WorkforceChanging WorkforceChanging WorkforceChanging Workforce

• Other changes:Other changes: Women out number men in earning Women out number men in earning

bachelors, graduate and law degrees and bachelors, graduate and law degrees and account for 40% of doctorates.account for 40% of doctorates.

Over one-quarter of the adult US population Over one-quarter of the adult US population has never been married.has never been married.

Parents are having children later in life.Parents are having children later in life. Over 20% of Americans said they had some Over 20% of Americans said they had some

level of disability.level of disability. 4.2% of the population self-identity as being 4.2% of the population self-identity as being

gay or lesbian.gay or lesbian. Socioeconomic changes are significantSocioeconomic changes are significant

SHRM Workplaces Forecast: A strategic Look 2002-2003

Ramifications of a Ramifications of a Changing WorkforceChanging WorkforceRamifications of a Ramifications of a

Changing WorkforceChanging Workforce

• Recruitment/Selection/RetentionRecruitment/Selection/Retention

• Child care issuesChild care issues

• Leave programsLeave programs pregnancy, personal, family, illnesspregnancy, personal, family, illness

• Flexibility schedulingFlexibility scheduling job sharing, part-time, work-at-home, children in job sharing, part-time, work-at-home, children in

the workplace.the workplace.

• Benefit plans Benefit plans FlexibleFlexible Heath careHeath care

Ramifications of a Ramifications of a Changing WorkforceChanging WorkforceRamifications of a Ramifications of a

Changing WorkforceChanging Workforce

• Training/re-trainingTraining/re-training

• Language translationsLanguage translations

• Retirement optionsRetirement options

• Spouse relocation plansSpouse relocation plans

• Discrimination ClaimsDiscrimination Claims

• Sexual HarassmentSexual Harassment

Why problems exist?Why problems exist?Why problems exist?Why problems exist?

• Biases: Biases: systematic tendencies to use systematic tendencies to use information in ways that result in inaccurate information in ways that result in inaccurate perceptions.perceptions.

• Stereotypes: Stereotypes: inaccurate beliefs about a given inaccurate beliefs about a given group.group.

• Discrimination: Discrimination: Denying individuals access to Denying individuals access to opportunities and outcomes in an organization opportunities and outcomes in an organization based on a non-work related issue.based on a non-work related issue.

Workforce DiversityWorkforce DiversityWorkforce DiversityWorkforce Diversity

• Glass CeilingGlass CeilingA metaphor alluding to the invisible barriers A metaphor alluding to the invisible barriers

that prevents minorities and women from that prevents minorities and women from being promoted to top corporate positions.being promoted to top corporate positions.

Figure 4.2

Source: Bureau of Labor Statistics, Projections from Current Population Survey, 1988–1998.

2008: Projected New Entrants in the U.S. Labor Force

Workforce Diversity: GenderWorkforce Diversity: GenderWorkforce Diversity: GenderWorkforce Diversity: Gender

• Women in the Work PlaceWomen in the Work PlaceU.S. workforce is 46% percent femaleU.S. workforce is 46% percent femaleWomen’s median earnings are less than two-Women’s median earnings are less than two-

thirds of the median earnings of men.thirds of the median earnings of men.Women hold only 12% of corporate officer Women hold only 12% of corporate officer

positionspositions

Workforce Diversity: ReligionWorkforce Diversity: ReligionWorkforce Diversity: ReligionWorkforce Diversity: Religion

• Accommodation for Religious BeliefsAccommodation for Religious BeliefsScheduling of critical meetingsScheduling of critical meetingsProviding flexible time off for holy daysProviding flexible time off for holy daysPosting holy days for different religions on Posting holy days for different religions on

the company calendarthe company calendar

Workforce Diversity: Capabilities Workforce Diversity: Capabilities and Disabilitiesand Disabilities

Workforce Diversity: Capabilities Workforce Diversity: Capabilities and Disabilitiesand Disabilities

• Disability IssuesDisability IssuesProviding reasonable accommodations for Providing reasonable accommodations for

individuals with disabilitiesindividuals with disabilitiesPromoting a nondiscriminatory workplace Promoting a nondiscriminatory workplace

environmentenvironmentEducating the organization Educating the organization

about disabilities and AIDSabout disabilities and AIDS

Workforce Diversity: Socioeconomic Workforce Diversity: Socioeconomic BackgroundBackground

Workforce Diversity: Socioeconomic Workforce Diversity: Socioeconomic BackgroundBackground

• Socioeconomic Background IssuesSocioeconomic Background IssuesWidening diversity in income levelsWidening diversity in income levelsSingle mothers and the “working poor”Single mothers and the “working poor”Child and elder care for working parentsChild and elder care for working parents

Managing Diversity Effectively Managing Diversity Effectively Makes Good Business SenseMakes Good Business Sense

Managing Diversity Effectively Managing Diversity Effectively Makes Good Business SenseMakes Good Business Sense

• What a Diversity of Employees ProvidesWhat a Diversity of Employees ProvidesA variety of points of view and approaches to A variety of points of view and approaches to

problems and opportunities can improve problems and opportunities can improve managerial decision making.managerial decision making.

Diverse employees can provide a wider Diverse employees can provide a wider range of creative ideas.range of creative ideas.

Diverse employees are more attuned to the Diverse employees are more attuned to the needs of diverse customers.needs of diverse customers.

Diversity can increase the retention of valued Diversity can increase the retention of valued organizational members.organizational members.

Diversity is expected/required by other firmsDiversity is expected/required by other firms

How to Manage DiversityHow to Manage DiversityHow to Manage DiversityHow to Manage Diversity

• Steps in Managing Diversity EffectivelySteps in Managing Diversity EffectivelySecure top management commitmentSecure top management commitmentStrive to increase the accuracy of Strive to increase the accuracy of

perceptionsperceptionsIncrease diversity awarenessIncrease diversity awarenessIncrease diversity skillsIncrease diversity skillsEncourage flexibilityEncourage flexibilityPay close attention to how organizational Pay close attention to how organizational

members are evaluatedmembers are evaluated

How to Manage Diversity (cont’d)How to Manage Diversity (cont’d)How to Manage Diversity (cont’d)How to Manage Diversity (cont’d)

• Steps in Managing Diversity Effectively (cont’d)Steps in Managing Diversity Effectively (cont’d)Empower employees to challenge Empower employees to challenge

discriminatory behaviors, actions, and discriminatory behaviors, actions, and remarksremarks

Reward employees for effectively managing Reward employees for effectively managing diversitydiversity

Provide training utilizing a multipronged, Provide training utilizing a multipronged, ongoing approachongoing approach

Encourage mentoring of diverse employeesEncourage mentoring of diverse employees

How to Manage Diversity (cont’d)How to Manage Diversity (cont’d)How to Manage Diversity (cont’d)How to Manage Diversity (cont’d)

• MentoringMentoringA process by which an experienced member A process by which an experienced member

of an organization (the mentor) provides of an organization (the mentor) provides advice and guidance to an less experienced advice and guidance to an less experienced member (the protmember (the protééggé) and helps the less é) and helps the less experienced member learn how to advance in experienced member learn how to advance in the organization and in his or her career.the organization and in his or her career.

ConclusionConclusionConclusionConclusion

• Diversity is an advantage to organizations and Diversity is an advantage to organizations and managers should know how to capitalize on managers should know how to capitalize on the diversity in their workforce.the diversity in their workforce.

• Treat all people with respect and equity Treat all people with respect and equity according to their knowledge, skills and according to their knowledge, skills and abilities and problems will be eliminated.abilities and problems will be eliminated.