As the economy navigates the reopening of offices in this next phase of the pandemic, executives often conflate hybrid with flexibility, especially the location of work. Hybrid work: Making it fit with your diversity, equity, and inclusion strategy August 14, 2022 Here is an excerpt from an article written by Bonnie Dowling , Drew Goldstein , Michael Park , and Holly Price for the McKinsey Quarterly , published by McKinsey & Company. In our sample, this group included respondents who identify as gay, lesbian, bisexual, pansexual, queer, and asexual. First, if we think about employee recruitment, we know that organizations that offer remote work are more attractive to applicants, said Professor Allen, who cited a LinkedIn study which found that jobs that were remote received over two times the number of applications than jobs that were onsite. Individuals, teams, leaders, and entire organizations no longer had the option of reverting to their default processes and strategies. McKinsey, well-known for its D&I studies spanning several decades, 3 found that "the relationship between diversity on executive teams and the likelihood of financial outperformance has strengthened over time." And Forbes found that "companies that feature ethnic and racial diversity perform far better in almost every category." 4 The answer, of course, is no we cant label a broad group of people unproductive based on a single trait. People are frequently excluded from job opportunities simply because they cannot afford to live close enough to commute to the office. This requires, at a minimum, setting guidelines and encouraging managers to collect employee feedback regularly as part of experiments with new, agile approaches. The needs of B2B and B2C customers also changed overnight. The shift to hybrid and remote working has several implications for organizations diversity and inclusion efforts, according to Tammy Allen, a Distinguished University Professor at the University of South Florida, and a visiting scholar at University of New South Wales (UNSW) Business School. 5. There is evidence that remote workers may be more likely to be passed over for promotions, according to Allen, who said there are specific steps employees can take to ensure they remain promotable and not have their careers derailed. Finally, respondents noted, celebrate and amplify employee contributions and create an environment that regularly recognizes such moments. A second challenge relates to the work-from-home environment, and Allen explained offices are designed very intentionally to help employees with both ergonomics and productivity. 5. 1. All rights reserved. Respondents also highlighted the importance of integrating new team members in hybrid work environments. Three particular groups are placed at a noticeable disadvantage when companies make ability to travel daily to an office a qualification for employment. Many are even seeking. Despite growing concerns about the global economy, CHROs can expect fierce competition for top talent to remain the norm. March 2nd, 2022. Hybrid working, diversity, talent retention, and digital adoption are fundamental values for businesses to successfully create a multigenerational workforce. We believe that businesses should treat D&I like any other business issue. Organizations that adopt diversity and inclusion practices will have a greater chance of success than those that do not. Data in your Equity, Inclusion & Diversity strategy: friend or foe? This misses an opportunity to consider how leaders can raise engagement across the workforce. 19 September 2022 by Lars Hggstrm in Human Resources. Never miss an insight. 4 Monitoring advancement: Advancement will be the measure of whether the hybrid workplace has opened up an achievement gap. Our survey respondents may have had such experiences in mind when they pegged mutual respect as one of the three priority inclusion practices. As a result, it can be harder to feel connected to colleagues and easier for miscommunication to occur. With some adjusted policies, HR managers can be confident their diversity and inclusion won't be negatively impacted. More Support For People with Mental & Physical Disability Approximately 6 million people in the US labor force suffer from some kind of disability. Expertise from Forbes Councils members, operated under license. Do I qualify? Diversity and Inclusion (D&I) are all around us. The shift to remote and hybrid working arrangements has certainly not been without its challenges for both employers and employees. A sustainable and effective business strategy, in this case for the hybrid work model, requires involvement from as many diverse employee groups as possible. Such efforts might include training employees on how to adopt a growth mindset that encourages teamwide development. As an executive recruiter, listening to more senior recruiters on calls was one of the most important ways I learned. One of the more significant challenges associated with working remotely is boundary management, according to Allen. Making hybrid work inclusive: Next steps Government should focus on providing employers with a coherent offer of support and a commitment to continual improvement of management and leadership practice. Success should not depend on currying favor with executives based on getting face time in the office. However, the plates of board and senior leadership teams have well and truly been full over the past two-plus years, to help navigate their organizations through the COVID-related turbulence that has subsequently transformed many workplaces. Greater workplace flexibility could help open up new employment opportunities for 1.3 million people in the UK with disabilities, caring responsibilities, and those based in rural locations, according to a new study from LinkedIn, the world's largest professional network. But for leaders who show the sensitivity, creativity, and humilityneeded to shape a new hybrid work model, there could be dramatic gains in performance, organizational cohesion, and improved employee wellness, engagement, and retention. That means a hybrid-first model that has most people coming in a day or two per week and offers full-time remote work for a substantial minority, will help maximize your diversity, equity, and . He noted that the regulator will increasingly be asking tough questions of firms about representation across grades and whether their culture is open and inclusive, providing a safe space for colleagues at all levels. Aram Lulla is President, AF | HR | IT Divisions atLucas Group. How Diversity and Inclusion Helps Companies When employees know they will be treated fairly, they are 9.8% more likely to look forward to going to work and 5.4% more likely to want to remain with the company. Naturally, there are many employers who remain reluctant, often citing issues like stalling innovation and creativity. Ideally, employees would be comfortable sharing these identities with colleagues, and organizations would provide the inclusive environment in which they could. Provide teams, team leaders, and individuals with insights into how they are collaborating and connecting with each other in real time. Diversity and inclusion should also be integrated into the core principles and the overall . Findings* reveal that 65% of talent professionals believe remote working will have a positive effect of inclusive hiring and 58% believe it will result in a more inclusive working environment (especially for parents). The proportion of people hybrid working has risen from 13% in early February 2022 to 24% in May 2022. Not necessarily. May 26, 2022 A hybrid working model is critical for boosting diversity and productivity. Ensure diversity and inclusion are at the center of hybrid work. More than 70 percent of men and women expressed strong preferences for hybrid work, but nonbinary employees were 14 percent more likely to prefer it. The business case for diversity and inclusion is strong. Go on - they only take five minutes. Even if these impairments do not affect their ability to perform job tasks. Make no mistake: tapping the benefits of a more inclusive hybrid work culture is difficult, delicate work. King, Managing concealable stigmas at work: A review and multilevel model,. Hybrid structures can promote diversity by allowing a company to recruit diverse talents from rural regions, and other countries. For persons of color, working remotely means that there are fewer opportunities for them to experience microaggressions in the workplace. What might be a simple trip crosstown for an able-bodied person can be a major challenge for individuals with mobility limitations due to mental, physical, or visual impairments. 1. Its important to keep your supervisor and co-workers aware of your accomplishments. That's up to management to determine, say UNSW Business School academics When a significant number of employees began working remotely during the pandemic, our understanding of what the workplace looked like changed dramatically. Hybrid work: Making it fit with your diversity, equity, and inclusion strategy April 20, 2022- New research details what empowered employees love about hybrid work models and the risks to diversity, equity, and inclusion. The Financial Times Limited 2022. Prior to the COVID-19 pandemic, many of the ways organisations fostered inclusion were designed for a mostly on-site world, including employee resource groups (ERGs) and their sponsorship of in-person events, the advisory firm observed, adding that hybrid work affects four of the elements that make up inclusionfair treatment, diversity . How do you inspire your team? Diversity and Inclusion in the Workplace: Creating a Human-centric Hybrid Work Environment Technology has been a saviour during the last two years, allowing us to continue to work, learn and stay connected. Transgender respondents were included in the gender identity analyses, and we used the updated acronym LGBQ+ for the sexual-orientation analyses. To test the workplace models that employees desire, our research asked them which scientifically validated inclusion practicesthey want their organizations to work hardest to improve as part of a hybrid work model. This may hurt their ability to effectively collaborate as they miss opportunities to contribute informally and weakens the bonds that aid in employee retention. Allens work over the past 20 years has focused on important topics that touch the lives of most adult members of society (e.g., how do individuals simultaneously manage their work and family roles and how can organizations help; what are the contributors to individual career growth and development such as mentoring relationships; and what aspects of work impact employee and family wellbeing). These can have a disproportionately positive impact on diversity, equity, and inclusion (DEI) efforts, as well as on performance. So, theres the danger of musculoskeletal disorders developing because employees arent working in ergonomically sound workstations, she said. Please email us at: Our definition of hybrid work combines the responses our survey sample expressed toward hybrid and virtual workterms for models that do not require a full-time presence in the office and are frequently conflated and rapidly evolving in most organizations today. Please tell me what is going on so we can work through it together.. Though while there are good reasons for that, it . For such organizations, having board and senior leadership support for diversity and inclusion is critical to success. King, Managing concealable stigmas at work: A review and multilevel model, Journal of Management, 40(5), 2014. Many are even seeking to downsize their office spaces as a result. A recent BBC report revealed 43 of the UKs 50 biggest employers are planning to push ahead with a hybrid model post-pandemic, mixing homeworking with office attendance. One financial-services organization set up weekly coffee chats among new hires and company representatives to break down silos. We believe organizations also have an opportunity to redefine hybrid work in the context of frontline roles, such as machinists and surgeons, that are typically fully on-site. At the launch of the HM Treasury Women in Finance Charter Annual Review back in March, the FCAs CEO Nikhil Rathi had to focus our minds once again. Hybrid work also has the potential to create an unequal playing field and to amplify in-group versus out-group dynamics, which can flip those advantages to the liabilities side of the ledger. This strong preference appears across industries, geographies, and demographic boundaries. The pandemic has prompted employees to broadly reassess their worklife trade-offs. How Hybrid Work Affects DEIB Initiatives. Requiring employees to physically commute to an office excludes many people from jobs they are capable and willing to perform. You may opt-out by, Storytelling and expertise from marketers, parenting challenges caused by closures of schools and childcare facilities, human experience management (HXM) solutions from SAP. It's crucial for employers to understand how a hybrid working environment could impact their diversity progress. Here are some of the ways that remote/hybrid work can support Diversity & Inclusion efforts: Employers can tap into a wider . Research also shows employees are more productive when they have to option to work remotely. So, it's imperative to look at inclusion in the context of hybrid work. On one hand, a hybrid work arrangement might make it easier for women and other caregivers to balance their professional and personal responsibilities, which could improve access to job opportunities and career advancement. Here are a few characteristics of an equitable workplace: One powerful signal: managers who model flexibility and support the various worklife options, especially in a hybrid model. Advancing Equity In The Hybrid Workplace: Five Things To Consider. But we cant overlook the bigger issue of ensuring a level playing field. COVID-19 gave organizations a chance to evaluate and reconsider what workplaces should look like. It should depend on making a positive impact on company performance. With trepidation, The overlooked contributions and hidden challenges of Asian Americans, A defining moment: How Europes CEOs can build resilience to grow in todays economic maelstrom, Digital twins: The foundation of the enterprise metaverse. work is here to stay. According to research by the AARP in the US, as many as 64% of businesses have a strategy for diversity and inclusion, however only 8% include age. Effective team builders foster trust, collaboration, and healthy conflict. This is why Diversity and Inclusion is heart work. This changed set of working practices presents a new set of challenges and opportunities for all those working to address discrimination and improve equity within civil services. In a hybrid workplace, VR ensures all employees walk away with a consistent training experience regardless of their location. Develop action plans around hybrid and remote working which prioritise diversity and inclusion. This is a BETA experience. These can have a disproportionately positive impact on diversity, equity, and inclusion (DEI) efforts, as well as on performance. For . However they could end up excluding parents, women, and employees far away, who aren't as available to go into the office. Quite possibly, if the sector doesnt start making significant progress. According to the ONS, more than 8 in 10 workers who had to work from home during the coronavirus pandemic said they planned to work at least part-time from home. Please get in touch with the Nexus HR team, either by email, complete our online contact form or call 01245 961982. Planning for . . For example, across racial and ethnic groups, sexual orientation, gender identities, age, and caregiving status. The authors would like to thank Shannon Cheng, Ruth Imose, Vidya Mahadevan, and Brooke Weddle for their contributions to this article. While diversity, equity, and inclusion initiatives are good for business, the time to do more than just pay lip service to these initiatives is now. However, hybrid and remote working could be doing damage to the years of work that have been put into coping with issues around diversity, equity and inclusion (DEI). Many of these are mothers who understand the challenge of balancing childcare schedules and commuting traffic and the stress of receiving an urgent call to pick up a sick child from school when you are miles away in a downtown office building. Coaching such behavior can be difficult at times, but our respondents had suggestions for how to encourage it. Our latest research reinforces the idea that hybrid This article was edited by Bill Javetski, an executive editor in the New Jersey office. A hybrid work model isn't automatically better for the purposes of diversity and inclusion. Leaders can then incorporate the results into several sound inclusion practices that our research points to as a strong foundation for an inclusive hybrid workplace. Clare directs the podcast conversation to the most recent research from the Tech Talent Charter (TTC). Many organizations have championed diversity and inclusion causes in recent years. 3 People are simply different from one another; whether those differences are discernible at the surface-level (e.g., gender) or not (e.g., socioeconomic differences), inclusion challenges will persist. As always, the answer is more complex than a simple yes or no. Our survey respondents placed team building behind worklife support as a priority inclusion practice in the hybrid workplace. This research effort surveyed 1,345 respondents across three continents (North America, Europe, and Australia) in November 2021. Consider what types of work are best done in the office and what types of face-time various types of employees need to continue growing, excelling and advancing. Empower equal experiences for everyoneregardless of how, when, and where they work. Without an inclusive environment, even an organization with a diverse employee population will probably struggle to improve its long-term performance. Much of the concern about workers disengaging from their jobs focuses on the younger generations. More than four out of five survey respondents who worked in hybrid models over the past two years prefer retaining them going forward (see sidebar, Our methodology). To achieve the promise of remote and hybrid diversity, equity, and inclusion, leaders need to address microaggressions in communication and the lack of sponsorship for minorities through training and mentoring programs Click To Tweet. What are Diversity and Inclusion? Your subscription grants you access to the quarterly magazine plus daily articles, videos, podcasts and learning exercises. 4. Forbes Human Resources Council is an invitation-only organization for HR executives across all industries. eagerly hope their employees will return to the office, diversity, equity, and inclusion (DEI) efforts, make an organization a highly attractive place, McKinsey_Website_Accessibility@mckinsey.com, employees quit jobs, even without another offer in hand, embracing, supporting, and enabling employees, search for organizational cultures that emphasize well-being, remote work can also lead to more static and siloed collaboration. around three areas: These practices underpin fundamental employee preferences that we have seen time and again in studying workplace inclusion: agency, autonomy, empowerment, and support for employees to do their best work. 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