Why Companies Need To Defend Their Diversity Policies

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Conservative lawmakers aim to expand the rejected affirmative action case into business. It's important for companies to protect their diversity policies.

published by the U.S. Government Accountability Office, Hispanic women are “underrepresented by eightfold [in management jobs] when compared to their share of the workforce.”

The absence of Black leaders is perhaps most striking in two sectors that have driven recent economic growth: technology and investing. Black investors make up less than one percent of partners in venture capital firms and, not surprisingly, less than one percent of the start-up founders receiving venture funding are Black. Though the rapidly growing and lucrative private equity sector is shielded from public scrutiny, the absence of Black leadership in that sector also is readily apparent.

The case for promoting greater diversity in the workplace starts with what EEOC Chair Charlotte Burrows calls the societal imperative to “ensure that workers of all backgrounds are afforded equal opportunity in the workplace.” Business also has a self-interested reason to favor diversity: More diverse corporate environments lead to better economic outcomes.

. “Acknowledging, supporting and promoting the benefits of diversity – specifically including racial and ethnic diversity — among their workforces is essential to meet client needs, achieve business goals, and strengthen relationships both internally and within the communities they serve,” the coalition of corporations told the high court.

One hopes that these and other companies will stand up to those who seek to end diversity initiatives in business, efforts that are critically important to the health and vitality of our economy and democracy.

 

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