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The impact of workplace diversity in an organization
The impact of workplace diversity in an organization
The impact of workplace diversity in an organization
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In the context of the global workplace, valuing diversity cultivates an environment that respects and includes differences by creating a workplace setting that maximizes the potential of all employees. Only when organizations know the true return on investment (ROI) behind diversity training will they be inclined to bear the cost and effort associated with implementing programs to effectively manage this diversity.
Diversity Training--a Necessity?
In 2004, Enterprise Rent-a-Car supported a study by the National Urban League that surveyed over 5,500 American workers, including managers and CEOs. The results revealed that fewer than half of the executives surveyed believe that their own companies are effectively managing diversity. In addition, almost 60 per cent feel partly at fault for not being sufficiently involved in workplace diversity training (Fisher, 2004).
The diversity training field forms part of a multibillion dollar training industry resulting primarily from recent demographic shifts, increasing globalization, and anti-workplace discrimination laws.
Laws and Regulations
The U.S. Equal Employment Opportunity Commission (EEOC) enforces all federal laws prohibiting job discrimination in the United States. Perhaps the most notable of these is Title VII of the Civil Rights Act of 1964 (Title VII) that prohibits all employment discrimination based on race, religion, sex, color, or national origin.
In addition to Title VII, there are a host of federal laws that prohibit job discrimination, addressing such issues as equal compensation and employment opportunities, unbiased job assignments, equitable promotions as well as age, disability, and sex-based employment discrimination (U.S. Equal Employment Opportunity Commission, 2005). These regulations have unquestionably fueled a greater need for organizational diversity training.
Globalization and Increased Competition in International Markets
Diversity in the workplace is a demographic phenomenon affecting not only U.S. organizations, but also multinational companies and institutions in countries across the globe (Littlefield, 1995). Additional business forces, such as global competition, are driving diversity in the majority of large organizations despite their geographic location. Companies are increasingly conducting business in the global arena and not providing the appropriate diversity training programs can be a very costly mistake.
Shifting Demographic Trends
Society in general is changing significantly and recent shifts in demographic trends have the potential to affect several facets of organizational management. In the USA, the workforce is increasingly comprised of men and women from all races, ethnic backgrounds, ages, lifestyles, sexual orientations, and religious beliefs. The surge of immigration in recent years has also contributed to a more culturally diverse workplace environment, a trend that is likely to continue (Keeton, 2003).
However, before entering into such agreement or a contract, an individual company should be fully conversant with all rules, regulations, and requirements of Equal Employment Opportunity Commission (EEOC). The Equal Employment Opportunity Compliance requires all organizations to provide company employment data categorized on the basis of ethnicity, gender and job category (Hinrichs, 2012). This survey and provisions are always mandated by federal statute and regulations to ensure that the minority in the society get equal opportunities just like the majority in the society to ensure that they have an opportunity at all levels of an organization. The primary objective of this compliance is to turn all employers into Equal Opportunity Employer who is an investor who does not secernate against any employee on the bases of their race, skin color, religion, national origin, sex, physical appearance or
Cañas, K. A., & Sondak, H. (2014). Opportunities and challenges of workplace diversity: Theory, cases, and exercises (3rd ed.). Upper Saddle River, NJ: Pearson.
Cañas, K. A. & Sondak, H. (2011). Opportunities and challenged for workplace diversity: Theory, cases, and exercises. Upper Saddle River: Pearson Prentice Hall.
Jefferson P. Marquis, Nelson Lim, Lynn M. Scott, Margaret C. Harrell, Jennifer Kavanagh "Managing Diversity in Corporate America, An Exploratory Analysis" Rand Corporation. Web. 29 June 2015.
The Equal Employment Opportunity Commission (EEOC) is the federal agency that enforces the federal laws, policies and regulations as it relates to employment discrimination. Over the course of years, Title VII has been amended to reinforce its prohibitions to include pregnancy as a type of gender discrimination, jury trials, compensatory damage and punitive damages. Its amendments have also strengthened the enforcement policy of the EEOC. An employer and employee need to be aware of those areas that are and are not covered by Title VII. It applies to employers, unions, joint labor and management committees as well as employment agencies whose functions include referral and training decisions among others. It applies to all private, federal, state and local governments who employ 15 employees or more. An employer with less than 15 employees is not required to comply with the guidelines set by Title VII. Title VII covers all levels and types of employees. In 1991, the act was further extended to include United States (U.S.) citizens who are employed outside of the U.S. for American employers. Non U.S. citizens are also protected as long as they are employed in the U.S. Title VII however, does not a...
Title VII of the Civil Rights Act and various other federal and state laws prohibit intentional discrimination based on ancestry or ethnicity. Some employers practice blatant forms of minority discrimination by paying lower salaries and other compensation to blacks and Hispanics. Others engage in quota systems by denying promotions and jobs to individuals on the basis of race or color. Federal laws prohibit employers of 15 or more employees from discriminating on the basis of race or color. Virtually all states have even stronger anti-discrimination laws directed to fighting job-related race and minority discrimination. In some states, companies with fewer than eight employees can be found guilty of discrimination.
Having diversity in the workplace allows for greater growth within a company due to the different opinions and perspectives of people from all walks of life. To remain competitive, many companies are being advised to recruit, develop and retain men and women of all different backgrounds, ages and races (Cox and Blake, 1991). By doing this and also accommodating the needs of their demographically diverse workforce, companies will become much more appealing places to work therefore reducing turnover and absentee
Diversity in the work place has generally been thought of as purely an employment equity issue. However, diversity is coming to be recognized as an asset which can, like any other asset that is well managed, contribute to the bottom line. Diversity is growing almost as quickly as the number of software vendors at an accounting convention (Talbot-Allen, 1995, p. 3)
Diversity in the workplace is very important in today’s global workforce because workers in the economy all over the world are currently made up of many different ethnicities, varied cultures, beliefs, and backgrounds. People that are involved in management such as managers, and supervisors could greatly benefit from being accustomed to diversity in the workplace because their job entails dealing with a multicultural work environment on a daily basis. Knowing how to handle diversity in the workforce and having the necessary skills for supervisors would be beneficial not only to them but also to the success of the company and economy because a strong, diversified workforce will create a more “creative, innovative, and productive workforce.” (Kerby, 2012).
As companies began to offer workplace principles of independence, out of the box thinking and open-door policies; wouldn't it be even more important to have a cultured workplace. Workplace diversity is the here & now and also the wave of the future as markets expand into global territories. Setting the legal obligations asides a company should want to maximize its potential by reaching out beyond its current marketable persons and into other bodies of people. The cause of having such a diverse foundation shows growth and understanding to support the "changing of the times" of the modern workforce. The effects are how diversity impacts the company's personnel, economy, and global markets.
Diversity is a highly important issue in today’s business, especially in a globalized company. Workplace diversity helps to get better solutions to business problems (Schawbel, 2012). When you have a group of individ...
Throughout the years the United States has faced many challenges with equal employment opportunities for everyone. The United States has developed The Equal Employment Opportunity Commission, also known as the EEOC, to enforce laws that help prevent everyone from being treated unfairly when it comes to employment options. The EEOC has established stipulations and overlooks all of the federal equal employment opportunity regulations, practices and policies (“Federal Laws Prohibiting Job Discrimination Questions and Answers”). Some laws that have been passed are the Equal Pay Act of 1963, Title VII of the Civil Rights Act of 1964 and Age Discrimination in Employment Act of 1967. Although some discrimination is still a problem, all of these laws have helped the United States citizens become treated more equally in the work force.
Barak, M. E. (2005). Managing diversity: toward a globally inclusive workplace. Thousand Oaks, Calif.: Sage Publications.
The emergence of diversity in organizations can be traced to the 1960s when legislation was enacted to prohibit discrimination against ethnicity, gender, national origin, race, and religion. Even though workplace diversity origins began in the aftermath of World War I, it was not until 1961, when President John F Kennedy established the President’s Committee on Equal Employment Opportunity (EEO), which was to end discrimination in employment by the government and its contractors (Cañas & Sondak, 2011). Workplace diversity continued to be advanced through the years by Presidents Johnson and Nixon administrations.
To do this, organizations have to establish these objectives and communicate to employees. For employees to value diversity, they need to understand what the organization is trying to achieve.