Managing a Diverse Workforce

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Managing a Diverse Workforce
Chapter
19

• The Changing Face of the Workforce
• Gender and Race in the Workplace
• Governments Role in Securing Equal Employment
  Opportunity
• What Business Can Do Diversity Policies and
  Practices
• Balancing Work and Life

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The changing face of the workforce

• Diversity
• Refers to variation in the important human
  characteristics that distinguish people from one
  another.
• Workforce diversity trends
• More women are working than ever before.
• Immigration has profoundly reshaped the
  workplace.
• Ethnic and racial diversity is increasing.
• The workforce will continue to get older.

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Proportion of women in the labor force
Figure 19.1
Percent
Year
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The gender and race pay gap
Figure 19.2
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Where women and minorities manage
Figure 19.3

• Percentage of Total, 2001
• Female Black Hispanic
• All occupations 46.6 11.3
  10.9
• Managerial and professional 50.0
  8.3 5.1
• Executive, administrative, and managerial
  46.0 7.9
  5.6
• Public officials and administrators
  51.5 14.5 7.0
• Financial managers 52.1 6.6
  4.2
• Personnel and labor relations managers
  68.2 11.4 7.3
• Purchasing managers 42.6 8.9
  4.3
• Marketing, advertising, public relations
  mgrs. 39.3 3.7 4.3
• Educational administrators 64.1
  11.5 5.7
• Health care managers 77.3 7.5
  5.6
• Property and real estate managers 48.8
  8.2 7.7
• Managementrelated occupations 58.6
  9.7 5.7

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Breaking the glass ceiling

• Although women and minorities are as competent as
  white men in managing people and organizations,
  they rarely attain the highest positions in
  corporations.
• In 2002, only 16 of executives were women.
• Only 12 of board members of Fortune 500 firms
  were women in 2001.
• Persons of color (men and women) now make up 19
  of corporate directors.

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Equal employment opportunity

• Discrimination based on race, color, religion,
  sex, national origin, physical or mental
  disability, or age is prohibited in all
  employment practices.
• Government contractors must have written
  affirmative action plans detailing how they are
  working positively to overcome past and present
  effects of discrimination in their workforce.
• Women and men must receive equal pay for
  performing equal work, and employers may not
  discriminate on the basis of pregnancy.

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Major federal laws and executive orders
prohibiting job discrimination
Figure 19.4a

• Equal Pay Act (1963)Mandates equal pay for
  substantially equal work by men and women.
• Civil Rights Act (1964 amended 1972,
  1991)Prohibits discrimination in employment
  based on race, color, religion, sex, or national
  origin.
• Executive Order 11246 (1965)Mandates affirmative
  action for all federal contractors and
  subcontractors.
• Age Discrimination in Employment Act
  (1967)Protects individuals who are 40 years of
  age or older.

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Major federal laws and executive orders
prohibiting job discrimination
Figure 19.4b

• Equal Employment Opportunity Act (1972)Increases
  power of the Equal Employment Opportunity
  Commission to combat discrimination.
• Pregnancy Discrimination Act (1978)Forbids
  employers to discharge, fail to hire, or
  otherwise discriminate against pregnant women.
• Americans with Disabilities Act (1990)Prohibits
  discrimination against individuals with
  disabilities
• Family and Medical Leave Act (1993)Requires
  companies with 50 or more employees to provide up
  to 12 weeks unpaid leave for illness, care of a
  sick family member, or the birth or adoption of a
  child.

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Affirmative action

• Since the mid-1960s, major government contractors
  have been required by presidential executive
  order to adopt written affirmative action plans
  specifying goals, actions, and timetables for
  promoting greater on-the-job equality.
• Their purpose is to reduce job discrimination by
  encouraging companies to take positive steps to
  overcome past employment practices and traditions
  that may have been discriminatory.
• Critics argue that affirmative action is
  inconsistent with the principles of fairness and
  equality.
• In 1995, the Supreme Court ruled that affirmative
  action laws were legal but only if they were
  temporary and flexible.

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Benefits of managing diversity

• Companies that promote equal employment
  opportunity generally do better at attracting and
  retaining workers from all backgrounds.
• Businesses with employees from varied backgrounds
  can often more effectively serve customers who
  are themselves diverse.
• The global marketplace demands a workforce with
  language skills, cultural sensitivity, and
  awareness of national and other differences
  across markets.
• Companies with effective diversity programs can
  avoid costly lawsuits and damage to their
  corporate reputations from charges of
  discrimination or cultural insensitivity.

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Diversity practices

• Actions taken by companies to manage diversity
  effectively
• They articulate a clear diversity mission, set
  objectives, and hold managers accountable.
• They spread a wide net in recruitment, to find
  the most diverse possible pool of qualified
  candidates.
• They identify promising women and persons of
  color, and provide them with mentors and other
  kinds of support.
• They set up diversity councils to monitor the
  companys goals and progress toward them.

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Family-friendly programs at General Mills
Exhibit 19.B

• An on-site infant care center.
• Flexible work arrangements.
• On-site health care services, including
  mammograms for busy working mothers.
• Emergency child care for parents whose regular
  arrangements fall through.
• Exercise classes offered at the companys health
  and fitness center.