Recognize the Link between Employee Engagement and DEI
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Sometimes, the biggest news that comes out of a Human Resources survey are the responses readers do not see. In the latest State of HR report, diversity, equity, and inclusion (DEI) did not even register as a priority. In fact, only 35 people of the 400+ respondents listed diversity, equity, inclusion, and belonging (DEIB) as their top priority. Granted, only 1% of respondents said they had roles in diversity.
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Join NowIn the wake of the George Floyd tragedy, the Black Lives Matter Movement motivated the corporate world and indivduals to do their part to create a fairer and more just world. The messages went global. People took to the streets, and employee activism rose. Many companies shared talking points and hired diversity consultants to ensure they had representation among their talent, so their organization was more of an accurate reflection of the community they serve. A few promised to conduct pay audits to address equity. Many said they would examine the opportunities to grow in an organization to ensure everyone was getting a fair shake.
Many will be surprised that DEI was not chosen among the top priorities for HR professionals who responded to the latest survey. However, this finding - or lack of finding - requires a more nuanced conversation and reminders about how diversity influences employee engagement.
"Research studies continue to show the direct link between an organization’s commitment to creating a culture of DEIB and employee engagement," says William Gadison, Global Manager of Diversity, Inclusion, and Belonging at Air Products. "Organizations which provide a strong sense of employee belonging also report higher employee net promoter scores (eNPS). The tangible outcome of this commitment is realized in the lived experiences of employees resulting in increased retention, enhanced performance, and more innovation."
READ: HR Guide to DEI
Gadison shared proof of his statement. He cites ADP, which reported on the link between engagement and a focus on DEI:
"Studies have shown that employees who are satisfied with their organization's commitment to diversity and inclusion (D&I) are twice as engaged as dissatisfied employees. Changeboard notes that diverse and inclusive organizations work 12% harder, are 19% more likely to stay longer with the organization, and collaborate 57% more effectively with peers."
In addition, Gadison raises interesting research from Deloitte that shows the link between trust and perceptions of prioritizing diversity. The researchers say they were seeking the answer to the question, "Is an individual’s feeling of trust in their organization a necessary factor for diversity practices to drive employee engagement, and the positive consequences that come with it?" What conclusions did they draw?
"The researchers found that a high trust climate in an organization provided a strong 'underlying mechanism through which diversity practices transmit its positive effect on engagement.' Simply put, when diversity practices and trust co-exist in an organisation, it increases employee engagement," according to Deloitte. "However, the research also identified that perceptions of diversity are only positively related to trust when employees also perceive high levels of inclusion. Therefore, to achieve an engaged workforce through this combination of 'diversity and trust climate,' perceptions of inclusion are critical."
Ultimately, what this research demonstrates is that companies must walk the walk and not just talk the talk. The point is that organizations must go beyond the talking points now and begin to demonstrate they are actually taking action on their DEI goals. Keeping their promises will help instill trust in customers and employees.
Finally, Gadison shared a call to action from Nicole Fernandes, Sr. Director of Employer Brand & Culture and Head of DEI Practice at Blu Ivy Group, in Forbes. She cites a Harvard Business Review article that reported that 40% of workers feel isolated, and she points out that this does not fit with the fact that McKinsey & Company finds that businesses spend nearly $8 billion each year on diversity and inclusion training.
"So, why do so many organizations prioritize DEI but fail to move the needle? It's simple — you can increase diversity in the workforce, treat people fairly and even include them, but if they still don’t truly feel as though they belong, your efforts miss the mark. That’s why studies show that belonging is one of the most powerful predictors of DEI efficacy in the workforce," writes Fernandes. "When employees feel that they truly belong at work, they feel more connected and committed. How people feel, and whether they feel as though they belong, is truly the key to DEI and connection."
The State of HR report shows that HR professionals believe that employee engagement is their top priority. Therefore, they must recognize that DEI and employee engagement are married. Companies cannot have one without the other. Despite the fact that, at the time they took the survey, respondents expressed concern over a possible recession and existing economic downturn, they must make DEI a key part of their employee engagement strategy.
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