The War for Talent
There are few hotter topics in society and business than diversity, equity and inclusion. Today’s workforce is informed and passionate about DEI and several employers have made bold, high-profile commitments in support. The surge of interest and activity has been fueled both by recent societal events and an increasingly heterogeneous workforce with diverging needs. Plus, more employers now acknowledge their role in meeting those needs.
Because employees expect sincere commitment and tangible action, forward-looking employers adopt a holistic approach that links DEI to the core organizational purpose and goes beyond standalone, HR-led programs. The goal is to embed DEI deeply within the work environment and culture through active C-suite leadership and the full participation of employees. In contrast, employers that merely “check the box” on DEI risk demotivating and even losing workers.
MetLife’s 2022 Employee Benefits Trends Study demonstrates the importance of benefits in promoting DEI and showing that employers value all of their workers. For instance, benefits that promote holistic well-being for all employees are by their nature inclusive. The payoff for embracing DEI – including higher satisfaction, loyalty and productivity – shows that employers can do well by doing good.
In the eyes of many employees, employers are not as inclusive as they could be or as management thinks they are.
When it comes to DEI, workers clearly expect employers to “walk the walk” and go beyond statements of support. Historically underrepresented groups of workers have been especially interested in seeing action from their employers.
While some organizations made bold DEI commitments and substantial investments in recent years, others are in earlier stages of the journey. It’s worth noting that employees don’t expect employers to be perfect when it comes to DEI, just sincere in matching action to commitment.
While DEI is a complex issue requiring considerable management attention, the potential upside more than rewards the necessary investment and effort. It starts with increased job satisfaction and higher loyalty, both of which are imperative given the tight labor market and falling satisfaction rates among people of color, women, younger workers and lower-income employees, as our study revealed.
DEI has varying impacts across the workforce: some employees appreciate their organization’s efforts, while others remain skeptical and may even feel threatened by large-scale change. Only by embedding DEI into the culture and employee experience can employers address these sensitivities and – most importantly – drive lasting change.
Because of the far-reaching impacts, DEI strategies should be planned and coordinated at the enterprise level. But they must also actively engage employees at every level of the organization. Thus, change efforts must be gauged to address both individual behaviors and organizational systems, particularly in five key areas:
High-profile, senior-level advocacy for a purpose-led DEI vision should be supported by metrics, incentives and reporting structures so leaders “live the values.” Equipping and empowering middle management (e.g., through inclusivity and conflict management training) reinforces the day-to-day relevance and importance of DEI. Similarly, leadership development and diverse sponsorship programs can promote diversity at the executive level.
Community-building activities foster social connections among workers. While DEI strategies should go beyond affinity groups, such programs provide a solid foundation on which to build inclusive cultures.
DEI leaders embrace transparency in hiring and representation goals and practices, especially at the management level. They also adopt inclusive and empathetic HR policies that speak to the diverse needs of the entire workforce. Practically, that means culturally sensitive guidelines for scheduling, holidays, PTO, and dress-codes, as well as policies that ensure accessibility for workers with disabilities.
To identify and address the issues that matter to workers, employers can create spaces for open and ongoing dialogue. Ideally, they will capture employee inputs through informal, anonymous forums and discussion platforms. C-suite communications can relate DEI to the organizational mission and define the value of DEI to individual employees and the organization as a whole.
A portfolio of benefits designed to promote holistic well-being for the entire workforce sends the message that the organization cares about its workers. Large employers may dedicate benefits “ambassadors” to key employee groups to ensure their unique needs are understood and addressed.