As tension brews over diversity initiatives in workplaces across the U.S., companies are grappling with striking a balance between the “woke,” race-based practice of championing minority employees’ interests without overshadowing opportunities for others.
Amid this, the Supreme Court’s recent move to eradicate affirmative action is set to complicate the situation, with experts predicting it will alter the pipeline of non-white graduates available for hire.
Vice president of human resources at Clayton, a Tennessee-based home builder, Sarah Sharp finds herself at the epicenter of this dilemma.
“There are people who say, ‘I really wish we were more diverse,’ and I’ve also seen people say, ‘Stop being so woke,’ ” she remarked, demonstrating the divide in opinions over diversity measures, The Wall Street Journal (WSJ) reports.
Her strategy focuses on promoting overarching fairness in recruitment processes, which she hopes will simultaneously support underrepresented employees and prevent alienation of others.
However, the dynamics within organizations are growing increasingly complex due to economic instability and subsequent budget cuts to so-called diversity, equity, and inclusion (DEI) initiatives.
A recent Gallup poll reveals a decline in intended DEI investment, with 59% of 140 large companies planning to increase their DEI budgets in the next year, a significant drop from 84% in 2022.
Conveying the palpable drop in enthusiasm around DEI, Laura Agharkar, Nasdaq’s global head of diversity, equity, and culture, stated, “We’re seeing a dip,” WSJ notes.
At a recent Diversity Fatigue Summit, Agharkar and executives from Verizon and Xerox shed light on employees’ growing discontent over the slow progress in hiring and promoting people of color.
Xerox’s response has been to create a dashboard showing the time-bound progress on diversity, subtly reminding staff that change is not instant.
DEI initiatives are losing traction, with a survey by staffing company Kelly revealing that only slightly over one-fifth of senior leaders are willing to discuss diversity openly, a reduction from 30% the previous year.
Compounding this issue, nearly 30% of employees who embarked on diversity-related roles since mid-2020 have exited the field, according to Live Data Technologies.
Americans remain divided on the importance of diversity in workplaces, with 40% of those surveyed by Pew Research Center deeming it of little or no significance.
The term “diversity” itself is being scrutinized, as Dawn Christian, a diversity consultant, noted that some companies are hesitant to use it in training, stating, “We may need to take the ‘D’ out of it.”
Fears of alienating employees have prompted leaders to reassess their strategies, acknowledging that some employees feel diversity practices put them at a disadvantage.
Jonathan McBride, a global managing partner for Heidrick & Struggles, revealed that his client companies express concerns about a decline in feelings of inclusion, particularly among white men, which are confirmed by internal surveys.
Furthermore, the Supreme Court’s dismissal of affirmative action might instill apprehension in companies.
McBride asks, “If you say this about college admission, what about hiring?”
Amid such complexities, Movell Dash, founder of Modas Personal Development, stresses the burden on employees, who are expected to complete diversity training courses alongside their primary roles, often sparking backlash when their concerns are not addressed.