A lack of diversity can spell trouble for businesses

The benefits of diversity have been discussed over and over, yet there are still companies that are landing themselves in trouble with the public by not diversifying their workforce.

One recent example of backlash from a lack of diversity was a London restaurant whose all-white male staff caused criticism online. Comments discussed the lack of female or ethnic minority workers, with plenty weighing in to critique the disconnect between the London restaurant and the community where it’s located.

These issues are not specific to one industry either. Australian TV news is reportedly severely lacking cultural diversity, with the University of Sydney claiming the non-European population is vastly underrepresented.

“Australia’s non-European (for example, Asian, African, South American, Middle Eastern) population is at least 19 times greater than the representation on commercial networks, where it made up no more than 1.3 per cent of on-air talent. The non-European category remained the most severely under-represented, particularly on commercial networks,” said Associate Professor Dimitria Groutsis.

It seems that no matter where you look, there are reports of poor diversity. The FIA, which is the governing body of the Formula 1, was criticised by one of its biggest stars, Lewis Hamilton.

Mr Hamilton has been steadily advocating for diversity in the sport through The Hamilton Commission, helping to create more opportunities for women, those from disadvantaged backgrounds, and ethnically diverse groups.

Speaking to Sky Sports, Mr Hamilton said: “It’s not about just having access for young minorities getting access in engineering, but across the board. The higher up you go, the less diverse it is, not only in our industry but through many industries.”

“The goal is to shift that, and that is part of my mission. For a long time, I was winning races and thinking something was missing. I feel great that I am living my purpose and starting to see that change.”

One of the more widely discussed industries that suffer from a lack of diversity is the STEM (science, technology, engineering and mathematics) fields. Women, in particular, face unfair disadvantages due to engrained stigma that is forcing many to abandon roles.

“STEM is still really male-dominated, so those kinds of ideas remain, and they perpetuate. And then when women try and break into the sphere, they try and engage in these STEM industries that are really highly male-dominated, they’re then faced with these really hostile work cultures, and they leave, and so the gender balance doesn’t rebalance,” said Dr Debbie Devis.

With STEM encompassing so many parts of the workforce, this stigma limits the opportunities that many women have.

It doesn’t end with gender diversity, however. Cultural diversity also lacks in these industries, with employees from game developer Roblox Corp coming forward to highlight the lack of diversity at the company.

For many organisations, these issues begin as early as hiring, as engrained recruitment practices exclude many groups. Businesses can do better by reshaping outdated hiring processes and striving to remove bias and unconscious bias.

The concept of diversity in the workplace was recently discussed in a podcast episode with University of South Australia research assistant Dr Debbie Devis. To listen, click below: