Human Resources ManagementHuman Resources Management

T.10. EQUAL OPPORTUNITIES T.10. EQUAL OPPORTUNITIES AND DIVERSITYAND DIVERSITY

D. BorisovaD. Borisova

The Business CaseThe Business Case

A wide range of groups within the A wide range of groups within the workplace face discrimination and workplace face discrimination and harassmentharassment

Increasing concern about ethics and Increasing concern about ethics and ethical behavior in the workplaceethical behavior in the workplace

A key issue is providing equal A key issue is providing equal opportunitiesopportunities

A focus on managing diversityA focus on managing diversity

Government interventions to secure Government interventions to secure minimal standards for:minimal standards for:

Just pay: through national minimal wageJust pay: through national minimal wage

Working time: maximum of 48-hour Working time: maximum of 48-hour working weekworking week

The right to employee participation: the The right to employee participation: the entitlement of workers to participate in the entitlement of workers to participate in the running of their company (statutory trade running of their company (statutory trade union recognition)union recognition)

Equal opportunities for all employeesEqual opportunities for all employees

““.. a moral or ethical project that focuses on the .. a moral or ethical project that focuses on the processes giving rise to inequalities and seeks to processes giving rise to inequalities and seeks to address these …” (Goss, D. 1994 address these …” (Goss, D. 1994 Principles of Principles of HRMHRM London, Routledge, p.157) London, Routledge, p.157)

““The situation in which there is no unfair The situation in which there is no unfair discrimination against either of the sexes or any discrimination against either of the sexes or any ethnic or legally constituted social group in ethnic or legally constituted social group in relation to access to jobs, terms and conditions of relation to access to jobs, terms and conditions of employment, promotion, training, remuneration employment, promotion, training, remuneration or termination of employment” (Bennet, 1992)or termination of employment” (Bennet, 1992)

Equal OpportunitiesEqual Opportunities

Definitions of DiversityDefinitions of Diversity

The diversity consists of visible and non-visible The diversity consists of visible and non-visible differences which include factors, such as sex, differences which include factors, such as sex, age, background, race, disability, personality and age, background, race, disability, personality and work style (Kandola and Fullerton, 1998)work style (Kandola and Fullerton, 1998)

““Diversity Management is the systematic and Diversity Management is the systematic and planned commitment on the part of organisations planned commitment on the part of organisations to recruit and retain employees from diverse to recruit and retain employees from diverse demographic backgrounds” (Redman, T. & demographic backgrounds” (Redman, T. & Wilkinson, A. 2006 Wilkinson, A. 2006 Contemporary Human Contemporary Human Resource ManagementResource Management London FT/Prentice Hall London FT/Prentice Hall p. 306)p. 306)

Need for Diversity ManagementNeed for Diversity Management

1.1. Sex – increasing numbers of women Sex – increasing numbers of women entering the labour marketentering the labour market

2.2. Ethnic minorities – they will be forming Ethnic minorities – they will be forming an increasing part of the workforcean increasing part of the workforce

3.3. Age – the ageing of the working Age – the ageing of the working populationpopulation

Fattism…..Fattism…..

Overweight job hunters Overweight job hunters 'lose out''lose out'

Overweight workers find it Overweight workers find it harder to get jobs than their harder to get jobs than their slim counterparts, an online slim counterparts, an online survey suggests. survey suggests.

The magazine survey of 2,000 The magazine survey of 2,000 personnel officers found most personnel officers found most preferredpreferred to offer jobs to to offer jobs to workers of a "normal weight". workers of a "normal weight".

BBC News website, 25.10.2005BBC News website, 25.10.2005

““Lookism”Lookism”

AgeismAgeism

EQUAL OPPORTUNITIESEQUAL OPPORTUNITIESUK LEGAL FRAMEWORKUK LEGAL FRAMEWORK

Equal Pay ActEqual Pay Act 19701970

Rehabilitation of Offenders ActRehabilitation of Offenders Act 19741974

Sex discrimination Act (EOC)Sex discrimination Act (EOC) 19751975

Race Relations Act (CRE)Race Relations Act (CRE) 19761976

Disability Discrimination Act (DRC)Disability Discrimination Act (DRC) 19951995

Human Rights ActHuman Rights Act 19981998

Key Legal TermsKey Legal Terms

DiscriminationDiscrimination Unlawful discrimination – directUnlawful discrimination – direct Unlawful discrimination – indirectUnlawful discrimination – indirect VictimisationVictimisation HarassmentHarassment

GOQs (genuine occupational qualifications)GOQs (genuine occupational qualifications) Positive Action Training programmesPositive Action Training programmes

*Positive Discrimination*Positive Discrimination

Unlawful discriminationUnlawful discrimination

Direct:Direct: when a person is treated less when a person is treated less favourably than another on any ground favourably than another on any ground covered by the legislation.covered by the legislation.

Indirect:Indirect: when an apparently neutral when an apparently neutral criterion is applied which criterion is applied which disproportionately affects one of the disproportionately affects one of the protected groups and is not objectively protected groups and is not objectively justifiablejustifiable

Legal terminology cont.Legal terminology cont.

VictimisationVictimisation: when a person is treated : when a person is treated less favourably as the result of asserting less favourably as the result of asserting their statutory right under the legislationtheir statutory right under the legislation

Harassment:Harassment: behaviour which has the behaviour which has the effect of creating an intimidating, hostile, effect of creating an intimidating, hostile, offensive or disturbing environment on offensive or disturbing environment on grounds related to the legislationgrounds related to the legislation

Legal terminology cont.Legal terminology cont.

GOQs:GOQs: lawfullawful discrimination – usually on discrimination – usually on grounds of:grounds of:

– authenticityauthenticity– decencydecency– effective provision of services to a effective provision of services to a

minority groupminority group Positive Action Positive Action

– Specifically designated trainingSpecifically designated training– Where the minority group can be Where the minority group can be

shown to be under-representedshown to be under-represented

Disability Discrimination ActDisability Discrimination Act

Definition: A physical or mental Definition: A physical or mental impairment, which has a substantial and impairment, which has a substantial and long-term adverse effect on a person’s long-term adverse effect on a person’s ability to carry out normal day-to-day ability to carry out normal day-to-day activitiesactivities

Employers should make “reasonable Employers should make “reasonable adjustments” to the workplaceadjustments” to the workplace

Police, Armed Forces, Prison Service and Police, Armed Forces, Prison Service and Fire Service partially excluded from the Fire Service partially excluded from the provisionsprovisions

Benefits of EqualityBenefits of Equality Best use of all employees’ skills and potentialBest use of all employees’ skills and potential Flexible workforce to aid restructuringFlexible workforce to aid restructuring Workforce representative of the local Workforce representative of the local

communitycommunity Improved corporate image with potential Improved corporate image with potential

employees and customersemployees and customers Attracting ethical investorsAttracting ethical investors Managers can integrate equality into Managers can integrate equality into

corporate objectivescorporate objectives New business ideas from a diverse workforceNew business ideas from a diverse workforce

Differences between EO and DMDifferences between EO and DM

EO:EO:- Externally initiated;Externally initiated;- Legally driven;Legally driven;- Focuses on numbers Focuses on numbers

and problems;and problems;- Reactive;Reactive;- Focuses on particular Focuses on particular

set of differences: race, set of differences: race, gender and disabilitygender and disability

- THE “MORAL CASE”THE “MORAL CASE”

Diversity:Diversity:- Internally initiated;Internally initiated;- Business-needs driven;Business-needs driven;- Focuses on qualitative Focuses on qualitative

and opportunity and opportunity outcomes;outcomes;

- Proactive;Proactive;- Focuses on all Focuses on all

differencesdifferences- THE “BUSINESS CASE”THE “BUSINESS CASE”

Key characteristics of diversity-Key characteristics of diversity-oriented organizationoriented organization (Kandola and Fullerton, 1998)(Kandola and Fullerton, 1998)

MMission and valuesission and values OObjective and fair processesbjective and fair processes SSkilled workforce: aware and fairkilled workforce: aware and fair AActive flexibilityctive flexibility IIndividual focusndividual focus CCulture that empowersulture that empowers

The focus is on cultural change and The focus is on cultural change and learning in entire organization, rather than learning in entire organization, rather than promoting fairness and avoiding promoting fairness and avoiding discrimination.discrimination.

Diversity ManagementDiversity Management

Businesses as wealth creatorsBusinesses as wealth creators SHV (Shareholder Value Theory)SHV (Shareholder Value Theory) The “business case”The “business case” Focus on individual contributionsFocus on individual contributions VoluntarismVoluntarism

Ways in which diversity drives Ways in which diversity drives business growthbusiness growth

Improves marketplace understandingImproves marketplace understanding

Enhances creativity and innovationEnhances creativity and innovation

Produces higher quality of team problem-Produces higher quality of team problem-solvingsolving

Enhances leadership effectivenessEnhances leadership effectiveness

Builds effective global relationshipsBuilds effective global relationships

Provides better utilization of talentProvides better utilization of talent

Diversity – beyond the law?Diversity – beyond the law?

Disillusion with the effectiveness of EO by Disillusion with the effectiveness of EO by lawlaw

The “language of victimhood”The “language of victimhood” The problem of compulsionThe problem of compulsion

The business caseThe business case The “costs” of inequalityThe “costs” of inequality Focus on the individualFocus on the individual What people CAN do, not what they can’t What people CAN do, not what they can’t

dodo

Equal Opportunities or Diversity Equal Opportunities or Diversity Inclusion?Inclusion?

Diversity Efficiency IndicatorsDiversity Efficiency Indicators

Diversity and stakeholdersDiversity and stakeholders

Diversity InitiativesDiversity Initiatives

Multicultural workshops designed to improve Multicultural workshops designed to improve understanding and communication between understanding and communication between cultural groupscultural groups

Multicultural core groups which meet regularly to Multicultural core groups which meet regularly to confront stereotypes and personal biasesconfront stereotypes and personal biases

Support groups, mentoring and relationships and Support groups, mentoring and relationships and networks for women and cultural minoritiesnetworks for women and cultural minorities

Advisory councils reporting to top managementAdvisory councils reporting to top management

Rewarding managers on the basis of their record Rewarding managers on the basis of their record on developing members of targeted groupson developing members of targeted groups

Fast-track development programmes and special Fast-track development programmes and special training opportunities for targeted groupstraining opportunities for targeted groups

Advantages of Diversity Advantages of Diversity ManagementManagement

A solid reputation as one of the best A solid reputation as one of the best places to workplaces to work

Empowered managers and leaders who Empowered managers and leaders who empower othersempower others

Greater innovation and full usage of Greater innovation and full usage of employees’ skillsemployees’ skills

Higher employee productivityHigher employee productivity Effective global competitionEffective global competition

Strategic DM implementation Strategic DM implementation modelmodel (Kandola and Fullerton, 1998)(Kandola and Fullerton, 1998)

Focuses on 8 processes:Focuses on 8 processes: Clarity of organizational visionClarity of organizational vision Extent of top management visionExtent of top management vision Auditing and assessing of needsAuditing and assessing of needs Setting of clear objectivesSetting of clear objectives Degree of accountabilityDegree of accountability Degree of communication within the Degree of communication within the

organizationorganization Extent of co-ordinationExtent of co-ordination Degree to which the strategy and actions are Degree to which the strategy and actions are

evaluatedevaluated

The Costs of InequalityThe Costs of Inequality Inefficiency in use of human resources (high Inefficiency in use of human resources (high

staff turnover, low productivity, restricted staff turnover, low productivity, restricted pool of talent)pool of talent)

Inflexible workforce limiting organizational Inflexible workforce limiting organizational changechange

Poor corporate image with prospective Poor corporate image with prospective employees and customersemployees and customers

Management time spent on grievancesManagement time spent on grievances

Losing an industrial tribunal caseLosing an industrial tribunal case

HRM Tools for Changing Attitudes HRM Tools for Changing Attitudes and Behavioursand Behaviours

Recruitment and selection processesRecruitment and selection processes Working practices and patternsWorking practices and patterns Health and safety – risk assessmentHealth and safety – risk assessment Training and developmentTraining and development Performance management and rewardPerformance management and reward Discipline, dismissal and grievanceDiscipline, dismissal and grievance Sickness absence policy (DDA)Sickness absence policy (DDA) Overall EO monitoring for complianceOverall EO monitoring for compliance Employment tribunal hearing for breachesEmployment tribunal hearing for breaches

Tribunals 2005-6 (ETS 2006)Tribunals 2005-6 (ETS 2006)

Type of CaseType of Case Cases Cases registeredregistered

Successful at ETSuccessful at ET

Unfair dismissalUnfair dismissal 35,41535,415 3,4253,425

Protection of Wages/ RedundancyProtection of Wages/ Redundancy 35,91635,916 9,7219,721

Breach of ContractBreach of Contract 21,44421,444 3,5593,559

Sex discriminationSex discrimination 24,21724,217 4,0684,068

Race discriminationRace discrimination 3,4303,430 119119

Equal PayEqual Pay 11,32311,323 3,7223,722

Disability DiscriminationDisability Discrimination 4,0724,072 173173

Religious Belief DiscriminationReligious Belief Discrimination 340340 99

Sexual Orientation DiscriminationSexual Orientation Discrimination 321321 1414

NMWNMW 378378 4747

Working TimeWorking Time 93889388 1,3741,374

Other jurisdiction areasOther jurisdiction areas 1431314313 2,8472,847

TotalTotal 160,557 (including multiple claims)160,557 (including multiple claims)

SettledSettled 58,493 36%58,493 36%

WithdrawnWithdrawn 55,078 34%55,078 34%

ET casesET cases 21,256 30% (avg. award £8,679)21,256 30% (avg. award £8,679)

Organisational EO Agendas Organisational EO Agendas (Goss, D. 1994 (Goss, D. 1994 Principles of HRMPrinciples of HRM London, Routledge; p157) London, Routledge; p157)

SHALLOWSHALLOW DEEPDEEP

BROADBROAD Token agendaToken agendaAspects beyond Aspects beyond those covered by those covered by law, but superficiallaw, but superficial

Long agendaLong agendaBeyond legal minima Beyond legal minima and wider range of and wider range of aspectsaspects

NARROWNARROW Short agendaShort agendaminimal compliance minimal compliance with the lawwith the law

Focused agendaFocused agendalong term change but long term change but limited to legal limited to legal requirementsrequirements

COMMITMENTCOMMITMENT

FFOOCCUUSS

Six Challenges that Must be Managed Six Challenges that Must be Managed (Joplin and Daus, 1997)(Joplin and Daus, 1997)

Changed power dynamicsChanged power dynamics Diversity of opinionsDiversity of opinions Perceived lack of empathyPerceived lack of empathy Tokenism, real and perceivedTokenism, real and perceived ParticipationParticipation Overcoming inertiaOvercoming inertia

Existence of HR programs for work with Existence of HR programs for work with special groups of employeesspecial groups of employees

(% of organizations in Bulgaria, 2003, Cranet)(% of organizations in Bulgaria, 2003, Cranet)

11.2

75.8

15.1

72.6

26.1

64.3

23.5

63.1

3.8

0

10

20

30

40

50

60

70

80

Ethnicalminorities

Ageingemployees

Disabledemployees

Women Other

Yes

No

Merry Christmas!Merry Christmas!