Hack the hiring process to reap diversity’s bottom-line benefits
May 22, 2015
By Ratna Omidvar, the Globe and Mail |
For a long time, Google didn’t release data on employee diversity. Last year, it did, with the admission the company is “miles from where we want to be.” Google is now pursuing an aggressive corporate diversity program. Why?
The answer is in the numbers. Companies with racially and ethnically diverse employees are 35-per-cent more likely to financially outperform non-diverse companies, according to a recent study by management consultants McKinsey & Co. Diverse teams lead to better group performance, reputation, customer connections, market share and innovation.
The Googles of the world increasingly understand diversity is an asset with bottom-line impact. The shift in thinking is happening at a faster pace in cities with a high share of immigrants, such as Toronto, where more than 45 per cent of the population is foreign-born.
But while the evidence is in front of us, where we still get stuck as employers is finding immigrants to hire. We get the why, but not necessarily the how.
A new study conducted by market-research firm R.A. Malatest & Associates for Toronto-based Maytree, a charitable foundation that focuses on reducing poverty, found that, while half of the employers surveyed had some degree of difficulty finding suitable candidates of any background to fill positions, the majority of employers – nearly 70 per cent – reported that they do not actively seek out immigrants as a potential talent pool.
There’s also a mismatch in where and how employers and newcomers try to connect. Newcomers frequent job fairs and immigrant-serving agencies. Employers use sector and professional associations and, of course, rely on word of mouth.
Confirming what we know from other research, 72 per cent of immigrants say it’s very or somewhat challenging to find employment opportunities in their field. This costs. A 2011 Royal Bank of Canada study put the cost of immigrant underemployment to the Canadian economy at $30.7-billion.
It’s clear that companies don’t build diverse teams by accident. Instead, they need to be deliberate about hiring immigrants, or at least about stripping bias from the process.
But there are creative ways to hack the hiring process, and some don’t cost a thing.