In a shift from a decade ago, few U.S. employers today support corporate diversity programs just to avoid litigation, according to J. Howard & Associates, a multicultural consulting unit of Provant, Inc. For only about one quarter of companies is the threat of litigation their main reason to do diversity training, said J. Howard President & CEO Mike Hyter.
Instead, the great majority of employers now consider diversity programs integral to their larger effort to boost employee productivity...as well as a way to minimize workplace discrimination, said Hyter. "While the litigation risk is always on their mind, they do diversity because it´s the right thing to do for both business and social reasons."
Prior to 10 years ago, Hyter explained, organizations did diversity training primarily for defensive reasons.
"Despite some high-minded talk about accommodating a changing workforce senior management in fact wanted to be less vulnerable to bias-related lawsuits or complaints and to say they did all they could to reduce discrimination. Soon, however, they saw that inclusion training converges with leadership development, succession planning, productivity improvement and like programs. After all, diversity is about getting the most out of all the people you have. Companies realized they were getting a double payoff from their diversity investment."
Hyter cited some other recent trends in diversity litigation:
- There is a higher incidence of age-related complaints as companies seek to reduce staffing levels.
- In a growing number of instances a diversity consulting firm is able to engage directly with complainants or litigants and help facilitate an out-of-court settlement.
- In the wake of a settlement today complainants or litigants are increasingly likely to remain with their employer.
- Despite the experience of most employers, about 10 to 15 percent of major companies still do not embrace diversity programs and simply comply with Federal regulations, providing required statistics and filing an affirmative action plan.
Discrimination lawsuits have to be a legitimate business issue and a paramount concern for all companies, conceded Hyter. "Although the rate of EEOC complaints may not have risen much in the past couple of years, recently, there are certainly more lawsuits and heavier penalties. Senior management would be remiss not to seek to reduce its risk in this area."
The good news is that organizations are being far more sensitive to diversity issues, and not just savvier about how to deal with them, Hyter believes. "It´s not just a matter of avoiding old mistakes. Companies need to get the most out of
all their employees, whether they´re African-American, women, Hispanic, disabled or whatever...and they´ve found that diversity efforts contribute to that end."
Established in 1977, J. Howard & Associates is among the country''s leading resources on diversity, inclusion and human resource development and serves client organizations in North and South America as well as Europe. The company is a unit of Boston-based Provant, Inc. For more information go to
www.jhoward.com.
Contact: Mike Hyter, President & CEO, J. Howard & Associates, 617/254-7600 - or - Phil Ryan, 212/206-0033
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