Despite a struggling economy, companies are continuing to put money behind diversity and inclusion initiatives.
A new Diversity Best Practices study of 31 major corporations found that 2009 diversity budgets at more than half the respondent companies (54 percent) held steady against the previous year. And among the 17 percent of companies where diversity budgets grew, the year-over-year increase averaged 23 percent.
The Diversity Best Practices Assessment & Benchmarking Tool Executive Summary also found that employee surveys are an important component of diversity efforts at nearly nine out of 10 Diversity Best Practices Assessment Companies, with understanding company culture regarding diversity (77 percent) and obtaining input from women and employees of color (71 percent) cited as the most common reasons for surveying employees.
Additionally, 68 percent of respondent companies said they use their survey results to make improvements to company programs and policies, while 65 percent reported using employee surveys to evaluate the effectiveness of their diversity programs (65 percent), make decisions about diversity programs (52 percent) or make a business case for diversity programs (45 percent).
In the area of compensation, women and people of color were significantly underrepresented among the top 20 percent of earners. Women, who represent 52 percent of all employees at the respondent companies, accounted for only 39 percent of top earners, while multicultural professionals, who total 34 percent of all employees, make up just 26 percent of these top earners. On average, just 22 percent of women and 18 percent of people of color served on the corporate boards at the respondent companies last year.
Conducted between October 2 and December 4, 2009, the 485-question survey marks the first round of a new biannual assessment and benchmarking service offered to both Diversity Best Practices members and non-members. The survey addresses workforce management issues, recruitment, retention and advancement programs and company culture as well as representation of different employee racial and ethnic groups. All participating companies receive a free Diversity Best Practices Scorecard summarizing their results. Diversity Best Practices members also receive an additional free confidential benchmarking report, which details how their company fared across all questions.
Want to learn more about the 2010 Diversity Best Practices Assessment and Benchmarking Tool results? Check out the executive summary. Companies interested in participating in the next round of benchmarking may register now at diversitybestpractices.com. The second round of the DBP Assessment & Benchmarking Tool closes July 16.
