BUSINESSES which support ethnic minority employees earn more money than those which do not, according to new research from Henley Business School.
Last week, it revealed that firms which offer targeted support to workers and strive for racial equity earn, on average, 58% higher revenue.
It also found these companies are more likely to benefit from staff loyalty and creativity.
The school surveyed more than 500 business leaders and 1,000 employees as part of the project.
Lead researcher Dr Naeema Pasha, director of equity, diversity and inclusion at Henley Business School, said: “Racial equity and business success should not be separate conversations: it is critical to any organisation wanting to achieve its aims and ambitions in this challenging world of work.
“Of course, we all want to say that racism has no place in business, education or society.
“But the experience of the pandemic and social movements like Black Lives Matter have shown us that we need to shift our organisational, cultural thinking to ensure we work on racial equity – not just because it is a good thing or seen as worthy, but because it is valuable and essential to organisational success.”
Henley Business School found Black employees are the worst off when it comes to racism in the workplace.
They are more than twice as likely to experience discrimination (19%) compared to Asian (9%) and mixed ethnic minorities (8%).
The research also found the leading form of discrimination is in how work is allocated (41%0, followed by verbal abuse (33%).
Henley Business School defined racial equity as “striving to promote
fairness by treating people differently depending on their need.”
Read the full report here: www.henley.ac.uk/equity-effect