Diversity, Equity, and Inclusion, or DEI is gaining popularity among organizations across the globe. But if there are still organizations in the nascent stages of embracing DEI or are reluctant to take up DEI, here are 8 key statistics that show how DEI is here to stay.
These are from different studies that emphasize why DEI in organizations is the need for the hour.
- By 2044, groups formerly seen as ‘minorities’ will reach majority status: Historically underrepresented groups, combined, are projected to account for the majority of the U.S. population by 2044. Due to projected growth among Asian, Hispanic, and multiracial groups, traditionally underrepresented populations will hit majority status by 2044, according to the Census Bureau.
- 48% Of Generation Z are racial or ethnic minorities: A Pew Research Center report from 2018 says that nearly half of Post-Millennials or Gen-Z (people born between the mid-1990s and mid-2010s) are non-white.
- 42% of women have faced gender discrimination at their jobs: A 2017 Pew Research Survey revealed that 42 percent of women in the United States say they have faced workplace gender discrimination. About four in ten working women (42%) in the United States say they have faced discrimination on the job because of their gender. They report an array of experiences– from earning less than male counterparts for the same job to being passed over for important assignments— according to the analysis of Pew Research Center survey data.
- Women are more likely to be hired with blind applications: One study conducted by Harvard University and Princeton University researchers found that when men and women submitted blind applications or auditions for a job, a woman’s likelihood of getting the job increased by 25 to 46 percent. And under these conditions, women were more likely to be hired than men.
- Senior-level women are twice as likely as senior-level men to focus on diversity, equity, and inclusion: A 2021 McKinsey report found that women in senior management were twice as likely as men in similar roles to spend ‘substantial time’ on DEI work, such as supporting employee resource groups. Additionally, the same report found that women of color account for four percent of C-suite leaders, and between entry-level and the C-suite, the representation of women of color drops off by more than 75 percent.
- Diverse management boosts revenue by 19%: A Boston Consulting Group study of 2018 looked at companies with diverse management teams and found that, on average, they enjoyed a 19 percent increase in revenue compared to their less diverse counterparts.
- 43% of companies with diverse boards saw higher profits: Not only is it beneficial to have diverse employees and management, but companies with diverse boards also noticed significantly higher profits, according to a 2018 McKinsey study.
- Inclusive company cultures lead to higher work engagement for millennials: When companies foster an inclusive work environment, 83 percent of millennials are found to be actively engaged in their work. With millennials, the most traditionally diverse, digitally connected, and a socially-minded group of professionals, set to comprise nearly 75 percent of the workforce by 2025, this finding is critical to informing and elevating the inclusion conversations taking place across the corporate world.
So, why should organizations invest in diversity, equity, and inclusion? To quote the words of Dr. Saundarya Rajesh, Founder-President Avtar, in her 1-minute video snippets better known as ‘Saundbytes’, “Because it matters!” Every data tells a story, and the story behind all these statistics is the same that Dr. Saundarya asserts.
