Behavioral Self-Management How can employees be trained to assume more responsibility for self-improvement and job performance with the goal of creating a work environment characterized by continual self-learning and employee development? The second managerial technique for shaping learned behavior in the workplace is behavioral self-management (or BSM). Behavioral self-management is the process of modifying one’s own behavior by systematically managing cues, cognitive processes, and contingent consequences. F. Luthans and R. Davis, “Behavioral Self-Management—The Missing Link in Managerial Effectiveness,” Organizational Dynamics, Summer 1979, p. 43; F. Luthans and R. Kreitner, Organizational Behavior Modification and Beyond: An Operant and Social Learning Approach (Glenview, III.: Scott, Foresman, 1985). BSM is an approach to learning and behavioral change that relies on the individual to take the initiative in controlling the change process. The emphasis here is on “behavior” (because our focus is on changing behaviors), not attitudes, values, or personality. Although similar to behavior modification, BSM differs in one important respect: there is a heavy emphasis on cognitive processes, reflecting the influence of Bandura’s social learning theory. The Self-Regulation Process Underlying BSM is a firm belief that individuals are capable of self-control; if they want to change their behavior (whether it is to come to work on time, quit smoking, lose weight, etc.), it is possible through a process called self-regulation , as depicted in . F. H. Kanfer and A. P. Goldstein, Helping People Change: A Textbook of Methods (New York: Pergamon Press, 1980). According to the model, people tend to go about their day’s activities fairly routinely until something unusual or unexpected occurs. At this point, the individual initiates the self-regulation process by entering into self-monitoring (Stage 1). In this stage, the individual tries to identify the problem. For example, if your supervisor told you that your choice of clothing was unsuitable for the office, you would more than likely focus your attention on your clothes. Kanfer’s Model of Self-Regulation (Attribution: Copyright Rice University, OpenStax, under CC BY NC-SA-NC-SA 4.0 license) Next, in Stage 2, or self-evaluation , you would consider what you should be wearing. Here, you would compare what you have on to acceptable standards that you learned from colleagues, other relevant role models, and advertising, for example. Finally, after evaluating the situation and taking corrective action if necessary, you would assure yourself that the disruptive influence had passed and everything was now fine. This phase (Stage 3) is called self-reinforcement . You are now able to return to your normal routine. This self-regulation process forms the foundation for BSM. Self-Management in Practice When we combine the above self-regulation model with social learning theory (discussed earlier), we can see how the self-management process works. As shown in , four interactive factors must be considered. These are situational cues, the person, behaviors, and consequences . C. C. Neck and C. P. Manz, Mastering Self Leadership 6 th edition, (Pearson, 2013). (Note that the arrows in this diagram go in both directions to reflect the two-way process among these four factors.) A Social Learning Theory Model of Self-Management (Attribution: Copyright Rice University, OpenStax, under CC BY NC-SA-NC-SA 4.0 license) Situational Cues. In attempting to change any behavior, people respond to the cues surrounding them. One reason it is so hard for some people to give up smoking is the constant barrage of advertisements on billboards, in magazines, and so forth. There are too many cues reminding people to smoke. However, situational cues can be turned to our advantage when using BSM. That is, through the use of six kinds of cue (shown in , column 1), people can set forth a series of positive reminders and goals concerning the desired behaviors. These reminders serve to focus our attention on what we are trying to accomplish. Hence, a person who is trying to quit smoking would (1) avoid any contact with smokers or smoking ads, (2) seek information on the hazards of smoking, (3) set a personal goal of quitting, and (4) keep track of cigarette consumption. These activities are aimed at providing the right situational cues to guide behavior. Cognitive Supports. Next, the person makes use of three types of cognitive support to assist with the self-management process. Cognitive supports represent psychological (as opposed to environmental) cues. Three such supports can be identified: Symbolic Coding . First, people may use symbolic coding , whereby they try to associate verbal or visual stimuli with the problem. For example, we may create a picture in our mind of a smoker who is coughing and obviously sick. Thus, every time we think of cigarettes, we would associate it with illness. Rehearsal . Second, people may mentally rehearse the solution to the problem. For example, we may imagine how we would behave in a social situation without cigarettes. By doing so, we develop a self-image of how it would be under the desired condition. Self-Talk . Finally, people can give themselves “pep talks” to continue their positive behavior. We know from behavioral research that people who take a negative view of things (“I can’t do this”) tend to fail more than people who take a more positive view (“Yes, I can do this”). Thus, through self-talk , we can help convince ourselves that the desired outcome is indeed possible. Behavioral Dilemmas. Obviously, self-management is used almost exclusively to get people to do things that may be unappealing; we need little incentive to do things that are fun. Hence, we use self-management to get individuals to stop procrastinating on a job, attend to a job that may lack challenge, assert themselves, and so forth. These are the “ behavioral dilemmas ” referred to in the model ( ). In short, the challenge is to get people to substitute what have been called low-probability behaviors (e.g., adhering to a schedule or forgoing the immediate gratification from one cigarette) for high-probability behaviors (e.g., procrastinating or contracting lung cancer). In the long run, it is better for the individual—and her career—to shift behaviors, because failure to do so may lead to punishment or worse. As a result, people often use self-management to change their short-term dysfunctional behaviors into long-range beneficial ones. This short-term versus long-term conflict is referred to as a behavioral dilemma. Self-Reinforcement. Finally, the individual can provide self-reinforcement . People can, in effect, pat themselves on the back and recognize that they accomplished what they set out to do. According to Bandura, self-reinforcement requires three conditions if it is to be effective: (1) clear performance standards must be set to establish both the quantity and quality of the targeted behavior, (2) the person must have control over the desired reinforcers, and (3) the reinforcers must be administered only on a conditional basis—that is, failure to meet the performance standard must lead to denial of the reward. A. Bandura, “Self-Reinforcement: Theoretical and Methodological Considerations,” Behaviorism, Fall 1976, pp. 135–155; Luthans and Kreitner, Organizational Behavior Modification and Beyond. Thus, through a process of working to change one’s environment and taking charge of one’s own behavior, self-management techniques allow individuals to improve their behavior in a way that can help them and those around them. Reducing Absenteeism through Self-Management In a recent study, efforts were made to reduce employee absenteeism using some of the techniques found in behavioral self-management. The employees were unionized state government workers with a history of absenteeism. Self-management training was given to these workers. Training was carried out over eight one-hour sessions for each group, along with eight 30-minute one-on-one sessions with each participant. Included in these sessions were efforts to (1) teach the participants how to describe problem behaviors (e.g., disagreements with coworkers) that led to absences, (2) identify the causes creating and maintaining the behaviors, and (3) develop coping strategies. Participants set both short-term and long-term goals with respect to modifying their behaviors. In addition, they were shown how to record their own absences in reports including their frequency and the reasons for and consequences of them. Finally, participants identified potential reinforcers and punishments that could be self-administered contingent upon goal attainment or failure. When, after nine months, the study was concluded, results showed that the self-management approach had led to a significant reduction in absences (compared to a control group). The researchers concluded that such an approach has important applications to a wide array of behavioral problems in the workplace. G. Latham and C. Fayne, “Self-Management Training for Increasing Job Attendance,” Journal of Applied Psychology, 1989, pp. 411–416. Understand Kanfer’s behavioral self-management process. What are things you can do to instill self-management techniques for yourself? What behavioral self-management techniques can you use as a manager? How can employees be trained to assume more responsibility for self-improvement and job performance with the goal of creating a work environment characterized by continual self-learning and employee development? Behavioral self-management is the process of modifying one’s own behavior by systematically managing cues, cognitions, and contingent consequences. BSM makes use of the self-regulation process. Chapter Review Questions Define learning. Why is an understanding of learning important for managers? Compare and contrast operant conditioning with classical conditioning. Provide examples of each. What is social learning theory? Describe how this process works. What implications of social learning theory for management can you identify? Identify four strategies for reinforcement, and provide an example of each. Describe the four different schedules of reinforcement, and show how their use by managers can vary. How might you design a simple behavior modification program for a group of employees? Explain. What are some problems in trying to implement a behavioral self-management program? How can managers attempt to overcome these problems? Management Skills Application Exercises In order to better understand how behavioral self-management programs operate, you might want to complete this self-assessment and design your own self-management program. This exercise allows you to see firsthand how these programs can be applied to a wide array of problems. It also highlights the advantages and drawbacks of such programs. Refer to Appendix B when you are finished in order to evaluate your results. Designing Your Own Behavioral Self-Management Program Instructions: Think of a personal problem that you would like to overcome. This problem could be to stop smoking, improve your grades, stop a certain habit, and so forth. With this problem in mind, design your own behavioral self-management program using the procedures and principles previously outlined in this chapter. After you have designed and started the program, monitor your performance over time and see how effective you are both in following the program and in meeting your objectives. In light of your experience, how do you feel about the potential of behavioral self-management programs in the industrial setting? (See Appendix B .) Managerial Decision Exercise You manage the human resources department for a mid-sized retailer. Part of the operations consists of a call center with 100 employees spread over three shifts operating 24 hours a day, seven days a week. There is a main group with 20 people reporting to a shift supervisor on the main daytime shift from 8 a.m. to 4 p.m. There are regularly scheduled times for breaks and lunch. Recently senior management reported to you that they were concerned regarding tardiness of some employees. While the customer relationship management reports signal that there are no service issues, senior managers are concerned that they are overstaffed. You feel that the daytime shift is the most experienced group, and you do not want to lose some of the best employees through termination. You also do not have any budget money to use for incentive payments aimed at reducing tardiness. What ideas from operant conditioning, behavior modification, and social learning theory would you use to reduce the problems of tardiness? Organizations are facing changes in their business environment because of globalization of markets and competition, growth of immediate digital information and communications, growth of the service-based economy, and changes in rules affecting corporate governance and trade relationships. Assume the role of a CEO who needs to change their corporate culture and their standards of operation. The organizational structures in your industry have trended from tall, hierarchical bureaucracies to flat, decentralized operations that encourage innovation. Changes like this do not happen automatically. What theories and techniques would you use to change your organization’s culture? Critical Thinking Case Walt Disney World When it comes to presenting world-class customer experiences, Walt Disney World is at the top of the list. It’s literally called the Most Magical Place on Earth. However, it isn’t just their customers who are receiving rewards for visiting—their cast members and crew are getting rewarded big-time as well. Incentives go above and beyond a 401(k) program, and they can go a long way in retaining employees and increasing employee satisfaction as well. Disney has over 180 employee recognition programs to give their employees a sense of accomplishment, recognition, and appreciation. There are over 70,000 cast members at Walt Disney World, each of whom receive extensive training to make sure that they make the customer experience a world-class enjoyment. According to Mike Fox, author of Hidden Secrets & Stories of Walt Disney World , “it always impresses me, especially at the cast member level, the training that goes into helping these folks to provide a superior experience and to see it on stage and see it executed.” Walt Disney exemplifies many ways of recognition, lots of them being physical in-park recognitions. These include names in windows on Main Street tributes, featuring Disney’s best “imagineers” that helped create some of the park’s greatest rides and innovations. One of the most unique is the Lifetime Fred award, which recognizes employees who exhibit the core company values of friendliness and dependability. It is these varying types of recognition that make Walt Disney’s rewards program so robust and versatile and keep employees engaged and willing to work hard to achieve more. Questions: What key factors are important to consider when creating a rewards program? Why is timing a key component to a rewards program? What can be problematic about the wrong type of reward or the wrong frequency of the reward for employees? Sources: Rhatigan, Chris, “These 4 Companies Totally Get Employee Recognition,” TINY pulse , July 21, 2015, https://www.tinypulse.com/blog/these-4-companies-totally-get-employee-recognition; “Rewarding Your Employees: 15 Examples of Successful Incentives in The Corporate World,” Robinson Resource Group , June 30, 2013, http://www.rrgexec.com/rewarding-your-employees-15-examples-of-successful-incentives-in-the-corporate-world/; Kober, Jeff, “Reward & Recognition at Walt Disney World,” World Class Benchmarking, October 17, 2016, http://worldclassbenchmarking.com/reward-recognition-at-the-walt-disney-world-resort/; Cain, Áine, “15 insider facts about working at Walt Disney World only cast members know,” Business Insider , May 1, 2018, https://www.businessinsider.com/walt-disney-world-cast-member-secrets-2018-2#if-the-guests-can-see-you-youre-technically-onstage-5. Behavioral dilemmas The process of getting people to substitute what have been called low-probability behaviors for high-probability behaviors. Self-regulation The belief that individuals are capable of self-control if they want to change their behavior. Self-reinforcement The stage in Kanfer’s model where, by evaluating the situation and taking corrective action if necessary, one would assure themselves that the disruptive influence had passed and everything was now fine. Self-talk The process of convincing ourselves that the desired outcome is indeed possible. Symbolic coding When people try to associate verbal or visual stimuli with the problem.

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Introduction (Credit: rawpixel/ Pixabay/ (CC BY 0)) Learning Outcomes After reading this chapter, you should be able to answer these questions: What is diversity? How diverse is the workforce? How does diversity impact companies and the workforce? What is workplace discrimination, and how does it affect different social identity groups? What key theories help managers understand the benefits and challenges of managing the diverse workforce? How can managers reap benefits from diversity and mitigate its challenges? What can organizations do to ensure applicants, employees, and customers from all backgrounds are valued? Dr. Tamara A. Johnson, Assistant Chancellor for Equity, Diversity, and Inclusion at University of Wisconsin-Eau Claire Dr. Tamara Johnson’s role as assistant chancellor for equity, diversity, and inclusion at the University of Wisconsin-Eau Claire involves supervising and collaborating with various campus entities to ensure their operations continue to support the university’s initiatives to foster diversity and equity within the university community. Dr. Johnson oversees the Affirmative Action, Blugold Beginnings (pre-college program), Gender and Sexuality Resource Center, Office of Multicultural Affairs, Ronald E. McNair Program, Services for Students with Disabilities, Student Support Services, University Police, and Upward Bound units and leads campus-wide initiatives to educate and train faculty, students, and staff about cultural awareness, diversity, and institutional equity. Dr. Johnson’s journey to her current role began more than 20 years ago when she worked as a counselor for the Office of Multicultural Student Affairs at the University of Illinois. Her role in this office launched her on a path through university service—Dr. Johnson went on to work as the associate director for University Career Services at Illinois State University, the director for multicultural student affairs at Northwestern University, and the director for faculty diversity initiatives at the University of Chicago. As faculty at the Chicago School of Professional Psychology, Argosy University, and Northwestern University, Dr. Johnson taught counseling courses at the undergraduate, master’s, and doctorate levels. Dr. Johnson’s work at the University of Wisconsin-Eau Claire involves developing a program and protocols to ensure all faculty and staff across the institution receive baseline diversity training. In addition, one of her goals is to include criteria related to diversity factors in the evaluations of all faculty/staff. A primary issue that she seeks to address is to increase the awareness of the challenges experienced by underrepresented students. This includes individuals who may come from backgrounds of low income, students of color, first-generation students, and other marginalized groups such as lesbian, gay, bisexual, and transgender students. Dr. Johnson understands the importance of creating initiatives to support individuals in those groups so their specific concerns may be addressed in multiple ways. As you will learn in this chapter, when leaders proactively create an inclusive and supportive climate that values diversity, benefits are produced that result in in positive outcomes for organizations.

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An Introduction to Workplace Diversity What is diversity? Diversity refers to identity-based differences among and between two or more people McGrath, J. E., Berdahl, J.L., & Arrow, H. (1995). Traits, expectations, culture, and clout: The dynamics of diversity in work groups. In S.E. Jackson & M.N. Ruderman (Eds.), Diversity in Work Teams, 17-45. Washington, D.C.: American Psychological Association. that affect their lives as applicants, employees, and customers. These identity-based differences include such things as race and ethnicity, gender, sexual orientation, and age. Groups in society based on these individual differences are referred to as identity groups . These differences are related to discrimination and disparities between groups in areas such as education, housing, healthcare, and employment. The term managing diversity is commonly used to refer to ways in which organizations seek to ensure that members of diverse groups are valued and treated fairly within organizations Thomas, R. R. 1991. Beyond race and gender. New York, NY: AMACOM. in all areas including hiring, compensation, performance evaluation, and customer service activities. The term valuing diversity is often used to reflect ways in which organizations show appreciation for diversity among job applicants, employees, and customers. Cox, Taylor H., and Stacy Blake. "Managing cultural diversity: Implications for organizational competitiveness." The Executive (1991): 45-56. Inclusion , which represents the degree to which employees are accepted and treated fairly by their organization, Pelled, L. H., Ledford, G. E., Jr., & Mohrman, S. A. (1999). Demographic dissimilarity and workplace inclusion. Journal of Management Studies, 36, 1013-1031. is one way in which companies demonstrate how they value diversity. In the context of today’s rapidly changing organizational environment, it is more important than ever to understand diversity in organizational contexts and make progressive strides toward a more inclusive, equitable, and representative workforce. Three kinds of diversity exist in the workplace (see ). Surface-level diversity represents an individual’s visible characteristics, including, but not limited to, age, body size, visible disabilities, race, or sex. Lambert, J.R., & Bell, M.P. (2013). Diverse forms of difference. In Q. Roberson (Ed.) Oxford Handbook of Diversity and Work (pp. 13 – 31). New York: Oxford University Press. A collective of individuals who share these characteristics is known as an identity group. Deep-level diversity includes traits that are nonobservable such as attitudes, values, and beliefs. Harrison, D.A., Price, K.H., & Bell, M.P. (1998). Beyond relational demography: time and the effects of surface- and deep-level diversity on work group cohesion. Academy of Management Journal, 41(1), 96-107. Hidden diversity includes traits that are deep-level but may be concealed or revealed at the discretion of individuals who possess them. Lambert, J.R., & Bell, M.P. (2013). Diverse forms of difference. In Q. Roberson (Ed.) Oxford Handbook of Diversity and Work (pp. 13 – 31). New York: Oxford University Press. These hidden traits are called invisible social identities Clair, J.A., Beatty, J.E., & Maclean, T.L. (2005). Out of sight but not out of mind: Managing invisible social identities in the workplace. Academy of Management Review, 30 (1), 78-95. and may include sexual orientation, a hidden disability (such as a mental illness or chronic disease), mixed racial heritage, Philips, K.W., Rothbard, N.P., & Dumas, T.L. (2009). To disclose or not to disclose? Status distance and self-disclosure in diverse environments. Academy of Management Review, 34(4), 710-732. or socioeconomic status. Researchers investigate these different types of diversity in order to understand how diversity may benefit or hinder organizational outcomes. Diversity presents challenges that may include managing dysfunctional conflict that can arise from inappropriate interactions between individuals from different groups. Diversity also presents advantages such as broader perspectives and viewpoints. Knowledge about how to manage diversity helps managers mitigate some of its challenges and reap some of its benefits. Types of Diversity Surface-level diversity Diversity in the form of characteristics of individuals that are readily visible including, but not limited to, age, body size, visible disabilities, race or sex. Deep-level diversity Diversity in characteristics that are nonobservable such as attitudes, values, and beliefs, such as religion. Hidden diversity Diversity in characteristics that are deep-level but may be concealed or revealed at discretion by individuals who possess them, such as sexual orientation. (Attribution: Copyright Rice University, OpenStax, under CC-BY 4.0 license) What is diversity? What are the three types of diversity encountered in the workplace? What is diversity? Diversity refers to identity-based differences among and between people that affect their lives as applicants, employees, and customers. Surface-level diversity represents characteristics of individuals that are readily visible, including, but not limited to, age, body size, visible disabilities, race, or sex. Deep-level diversity includes traits that are nonobservable such as attitudes, values, and beliefs. Finally, hidden diversity includes traits that are deep-level but may be concealed or revealed at the discretion of individuals who possess them. deep-level diversity Diversity in characteristics that are nonobservable such as attitudes, values, and beliefs, such as religion. diversity Identity-based differences among and between people that affect their lives as applicants, employees, and customers. hidden diversity Differences in traits that are deep-level and may be concealed or revealed at discretion by individuals who possess them. identity group A collective of individuals who share the same demographic characteristics such as race, sex, or age. inclusion The degree to which employees are accepted and treated fairly by their organization. invisible social identities Membership in an identity group based on hidden diversity traits such as sexual orientation or a nonobservable disability that may be concealed or revealed. managing diversity Ways in which organizations seek to ensure that members of diverse groups are valued and treated fairly within organizations. surface-level diversity Diversity in the form of characteristics of individuals that are readily visible, including, but not limited to, age, body size, visible disabilities, race, or sex.

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Diversity and the Workforce How diverse is the workforce? In 1997, researchers estimated that by the year 2020, 14% of the workforce would be Latino, 11% Black, and 6% Asian. Judy, R.W., D'Amico, C., & Geipel, G.L.(1997). Workforce 2020: Work and Workers in the 21st Century. Indianapolis, Ind: Hudson Institute. Because of an increase in the number of racial minorities entering the workforce over the past 20 years, most of those projections have been surpassed as of 2016, with a workforce composition of 17% Hispanic or Latino of any race, followed by 12% Black and 6% Asian (see ). American Indians, Alaska Natives, Native Hawaiians, and Other Pacific Islanders together made up a little over 1% of the labor force, while people of two or more races made up about 2% of the labor force. U.S. Bureau of Labor Statistics. (2017). Labor force characteristics by race and ethnicity, 2016. Retrieved from https://www.bls.gov/opub/reports/race-and-ethnicity/2016/home.htm Women constitute approximately 47% of the workforce compared to approximately 53% for men, U.S. Department of Labor, Bureau of Labor Statistics. (2017). Table A-1. Employment status of the civilian population by sex and age. Retrieved from https://www.bls.gov/news.release/empsit.t01.htm; DeWolf, M. (Mar 1 2017). 12 stats about working women. Retrieved from https://blog.dol.gov/2017/03/01/12-stats-about-working-women and the average age of individuals participating in the labor force has also increased because more employees retire at a later age. Toosi, Mitra,"Labor force projections to 2024: the labor force is growing, but slowly," Monthly Labor Review, U.S. Bureau of Labor Statistics, December 2015, https://doi.org/10.21916/mlr.2015.48. Although White people still predominantly make up the workforce with a 78% share, U.S. Bureau of Labor Statistics. (2017). Labor force characteristics by race and ethnicity, 2016. Retrieved from https://www.bls.gov/opub/reports/race-and-ethnicity/2016/home.htm the U.S. workforce is becoming increasingly more diverse, a trend that presents both opportunities and challenges. These demographic shifts in the labor market affect the workforce in a number of ways due to an increasing variety of workers who differ by sex, race, age, sexual orientation, disability status, and immigrant status. Percentage distribution of the labor force by race (Attribution: Copyright Rice University, OpenStax, under CC-BY 4.0 license) Gender Increasingly more women are entering the workforce. U.S. Department of Labor, Bureau of Labor Statistics. (2017). Table 2: Employment status of the civilian noninstitutional population 16 years and over by sex, 1977 to date 11. Retrieved from https://www.bls.gov/cps/cpsaat02.pdf. Compared to 59% in 1977, the labor force participation rate for men is now approximately 53% and is expected to decrease through 2024 to 52%. Toosi, Mitra,"Labor force projections to 2024: the labor force is growing, but slowly," Monthly Labor Review, U.S. Bureau of Labor Statistics, December 2015, https://doi.org/10.21916/mlr.2015.48. As the labor force participation rate decreases for men, the labor force growth rate for women will be faster. Their percentage of the workforce has steadily risen, as can be seen in , which compares the percentage of the workforce by gender in 1977 to 2017. U.S. Department of Labor, Bureau of Labor Statistics. (2017). Table 2: Employment status of the civilian noninstitutional population 16 years and over by sex, 1977 to date 11. Retrieved from https://www.bls.gov/cps/cpsaat02.pdf. Although more women are entering the labor force and earning bachelor’s degrees at a higher rate than men, DeWolf, M. (2017). 12 stats about working women. U.S. Department of Labor Blog. women still face a number of challenges at work. The lack of advancement opportunities awarded to qualified women is an example of a major challenge that women face called the glass ceiling , Eagly, A.H., & Karau, S.J.(2002). Role congruity theory of prejudice toward female leaders. Psychological Review, 109 (3): 573-598. which is an invisible barrier based on the prejudicial beliefs that underlie organizational decisions that prevent women from moving beyond certain levels within a company. Additionally, in organizations in which the upper-level managers and decision makers are predominantly men, women are less likely to find mentors, which are instrumental for networking and learning about career opportunities. Organizations can mitigate this challenge by providing mentors for all new employees. Such a policy would help create a more equal playing field for all employees as they learn to orient themselves and navigate within the organization. Percentage Distribution of the Labor Force by Sex (Attribution: Copyright Rice University, OpenStax, under CC-BY 4.0 license) One factor that greatly affects women in organizations is sexual harassment . Sexual harassment is illegal, and workers are protected from it by federal legislation. EEOC, “Facts About Sexual Harassment.” Retrieved from https://www.eeoc.gov/eeoc/publications/fs-sex.cfm Two forms of sexual harassment that can occur at work are quid pro quo and hostile environment. Ibid. Quid pro quo harassment refers to the exchange of rewards for sexual favors or punishments for refusal to grant sexual favors. Harassment that creates a hostile environment refers to behaviors that create an abusive work climate. If employees are penalized (for example by being demoted or transferred to another department) for refusing to respond to repeated sexual advances, quid pro quo sexual harassment has taken place. The telling of lewd jokes, the posting of pornographic material at work, or making offensive comments about women in general are examples of actions that are considered to create a hostile work environment. According to the Equal Employment Opportunity Commission, sexual harassment is defined as the “unwelcome sexual advances, requests for sexual favors, and other verbal or physical harassment of a sexual nature. Harassment can also include offensive remarks about a person’s sex.” EEOC, “Sexual Harassment.” Retrieved from https://www.eeoc.gov/laws/types/sexual_harassment.cfm Although both men and women can be sexually harassed, women are sexually harassed at work more often. Feldblum, C.R., & Lipnic, V.A. (2016).Report of the Co-Chairs of the EEOC Select Task Force on the Study of Harassment in the Workplace. Retrieved from https://www.eeoc.gov/eeoc/task_force/harassment/report.cfm In addition, Black and other minority women are especially likely to be subjected to sexual discrimination and harassment. Hernandez, T.K. (2000). Sexual Harassment and Racial Disparity: The Mutual Construction of Gender and Race. Gender, Race and Justice (4J): 183 -224. Retrieved from http://ir.lawnet.fordham.edu/faculty_scholarship/12 Tamara Johnson The treatment of women in business has become a hot topic in corporate boardrooms, human resources departments, and investment committees. Tamara Johnson, who is profiled in the opening feature to this chapter, moves beyond simply acknowledging widespread discrimination to focusing on solutions. Also on the agenda: the need to improve diversity and inclusion across the board and breaking through the glass ceiling. (Credit: Tamara Johnson/ Attribution 2.0 Generic (CC BY 2.0)) It is in the organization’s best interest to prevent sexual harassment from occurring. Ways to do this include companies providing ongoing (e.g., annual) training so that employees are able to recognize sexual harassment. Employees should know what constitutes acceptable and unacceptable behavior and what channels and protocols are in place for reporting unacceptable behaviors. Managers should understand their role and responsibilities regarding harassment prevention, and a clear and understandable policy should be communicated throughout the organization. Just as gender-based discrimination is illegal and inappropriate, so is discrimination or mistreatment based on pregnancy, childbirth, or related medical conditions. While organizations may have different policies regarding maternity and paternity leave, they must comply with both the Pregnancy Discrimination Act and the Family Medical Leave Act. Race Another important demographic shift in workforce diversity is the distribution of race. (Note that we are using categories defined by the U.S. Census Bureau. It uses the term “Black (African American)” to categorize U.S. residents. In this chapter, we use the term “Black.”) While the White non-Hispanic share of the workforce continues to shrink, the share of racial and ethnic minority groups will continue to grow. Toosi, Mitra,"Labor force projections to 2024: the labor force is growing, but slowly," Monthly Labor Review, U.S. Bureau of Labor Statistics, December 2015, https://doi.org/10.21916/mlr.2015.48. Specifically, Hispanic people and Asian people will grow at a faster rate than other racial minorities, and Hispanic people are projected to make up almost one-fifth of the labor force by 2024. Ibid. The projected changes in labor force composition between 2014 and 2024 are as follows: White non-Hispanic participation in the labor force will decline by 3%. Other groups’ share of the labor force is expected to increase: Black (10.1%), Hispanic/Latino (28%), Asian (23.2%), and Other groups (i.e., multiracial, American Indian, Alaska Native, Native Hawaiian, and Other Pacific Islanders) labor force share is expected to increase by 22.2%. Ibid. With the workforce changing, managers will need to be mindful of issues employees encounter that are uniquely tied to their experiences based on race and ethnicity, including harassment, discrimination, stereotyping, and differential treatment by coworkers and decision makers in organizations. Discrimination Against Black Employees Race is one of the most frequent grounds for discrimination. U.S. Equal Employment Opportunity Commission. African-Americans in the American Workforce. Retrieved from https://www1.eeoc.gov/eeoc/statistics/reports/american_experiences/african_americans.cfm?renderforprint=1 Although Black people do not make up the largest share of the workforce for racial minorities, research studies show they face discrimination more often than other racial minorities. As a matter of fact, some experts believe that hiring discrimination against Black people has not declined over the past 25 years while workplace discrimination against other racial minority groups has declined. Quilian, L., Pager, D., Midtboen, A.H., & Hexel, O. (Oct 2017). Hiring discrimination against Black Americans hasn’t declined in 25 years. Harvard Business Review. Discrimination in the Sharing Economy—#AirbnbWhileBlack Airbnb, a popular home-sharing website founded in San Francisco in 2008, offers millions of homes for short-term rental in more than 190 countries. This company has revolutionized the sharing economy in the same way that ride-sharing services such as Uber and Lyft have, and according to the company, the site’s drive to connect hosts and potential renters has been able to contribute to the quality of life of both homeowners and travelers. According to Airbnb’s press releases and information campaigns, their services can reduce housing costs for travelers on a budget and can provide unique experiences for adventurous travelers who wish to have the flexibility to experience a city like a local. The organization also claims that most of its users are homeowners looking to supplement their incomes by renting out rooms in their homes or by occasionally renting out their whole homes. According to a statement, most of the listings on the site are rented out fewer than 50 nights per year. Despite the carefully crafted messages Airbnb has presented to the public, in 2016 the company came under intense scrutiny when independent analyses by researchers and journalists revealed something startling: While some Airbnb hosts did in fact use the services only occasionally, a significant number of hosts were using the services as though they were hotels. These hosts purchased a large number of properties and continuously rented them, a practice that affected the availability of affordable housing in cities and, because these hosts were not officially registered as hoteliers, made it possible for Airbnb hosts to avoid paying the taxes and abiding by the laws that hotels are subject to. Title II of the Civil Rights Act of 1964 mandates that hotels and other public accommodations must not discriminate based on race, national origin, sex, or religion, and Title VIII of the Civil Rights Act of 1968 (also known as the Fair Housing Act [FHA]) prohibits discrimination specifically in housing. However, Airbnb’s unique structure allows it to circumvent those laws. The company also claims that while it encourages hosts to comply with local and federal laws, it is absolved from responsibility if any of its hosts break these laws. In 2017, researcher Ben Edelman conducted a field experiment and found that Airbnb users looking to rent homes were 16% less likely to have their requests to book accepted if they had traditionally African American sounding names like Tamika, Darnell, and Rasheed. These findings, coupled with a viral social media campaign, #AirbnbWhileBlack, in which users claimed they were denied housing requests based on their race, prompted the state of California’s Department of Fair Employment and Housing (DFEH) to file a complaint against the company. In an effort to resolve the complaint, Airbnb reported banning any hosts who were found to have engaged in discriminatory practices, and they hired former U.S. Attorney General Eric Holder and former ACLU official Laura Murphy to investigate any claims of discrimination within the company. https://www.theguardian.com/technology/2016/sep/08/airbnb-discrimination-policy-changes-racial-discrimination In 2016, Airbnb released a statement outlining changes to company practices and policies to combat discrimination, and while they initially resisted demands by the DFEH to conduct an audit of their practices, the company eventually agreed to an audit of roughly 6,000 of the hosts in California who have the highest volume of properties listed on the site. Sources: AirBnB Press Room, accessed December 24, 2018, https://press.atairbnb.com/about-us/; “Airbnb's data shows that Airbnb helps the middle class. But does it?”, The Guardian , accessed December 23, 2018, https://www.theguardian.com/technology/2016/jul/27/airbnb-panel-democratic-national-convention-survey ; and Quittner, Jeremy, “Airbnb and Discrimination: Why It’s All So Confusing”, Fortune , June 23, 2016, http://fortune.com/2016/06/23/airbnb-discrimination-laws/. Discussion Questions What are some efforts companies in the sharing economy can take before problems of discrimination threaten to disrupt operations? Should Airbnb be held responsible for discriminatory actions of its hosts? Currently, White men have higher participation rates in the workforce than do Black men, U.S. Department of Labor, Bureau of Labor Statistics. (2017). Table 11: Employed persons by detailed occupation, sex, race, and Hispanic or Latino ethnicity. Retrieved from https://www.bls.gov/cps/tables.htm#charemp. and Black women have slightly higher participation rates than White women. Ibid Despite growth and gains in both Black education and Black employment, a Black person is considerably more likely to be unemployed than a White person, even when the White person has a lower level of education Adams, S. (June 2014). White high school drop-outs are as likely to land jobs as Black college students. Forbes. Retrieved from https://www.forbes.com/sites/susanadams/2014/06/27/white-high-school-drop-outs-are-as-likely-to-land-jobs-as-black-college-students/#51715c547b8f or a criminal record. Pager, D. (2003). The mark of a criminal record. American Journal of Sociology, 108 (5): 937-975. Black people frequently experience discrimination in the workplace in spite of extensive legislation in place to prohibit such discrimination. Research has shown that stereotypes and prejudices about Black people can cause them to be denied the opportunity for employment when compared to equally qualified White people. Bertrand, M. & Mullainathan, S. (2004). Are Emily and Greg more employable than Lakisha and Jamal? A field experiment on labor market discrimination. American Economic Review, 94 (4): 991-1013 It is estimated that about 25% of businesses have no minority workers and another 25% have less than 10% minority workers. Robinson, C. L., Taylor, T., Tomaskovic-Devey, D., Zimmer, C. & Irwin Jr., M.W. (2005). “Studying race or ethnic and sex segregation at the establishment level: Methodological issues and substantive opportunities using EEO-1 reports.” Work and Occupations 32 (1): 5–38. In terms of employed Black people, research has shown that, regardless of managers’ race, managers tended to give significantly higher performance ratings to employees who were racially similar to them. Because White people are much more likely to be managers than Black people, this similarity effect tends to advantage White employees over Black employees. Kraiger, K., & Ford, J. K. (1985). A Meta-Analysis of Ratee Race Effects in Performance Ratings. Journal of Applied Psychology, 70 (1), 56-65. Black people are also significantly more likely to be hired in positions that require low skills, offer little to no room for growth, and pay less. These negative employment experiences affect both the mental and physical health of Black employees. Mays, V. M., Coleman, L. M., & Jackson, J. S. (1996). Perceived Race-Based Discrimination, Employment Status, and Job Stress in a National Sample of Black Women: Implications for Health Outcomes. Journal of Occupational Health Psychology, 1(3), 319–329. Hispanic/Latino Hispanic people are the second-fastest-growing minority group in the United States behind Asian people, Lopez, G., Ruiz, N.G., & Patten, E. (2017). Key facts about Asian Americans, a diverse and growing population. Pew Research Center. Retrieved from http://www.pewresearch.org/fact-tank/2017/09/08/key-facts-about-asian-americans/; Flores, A. (Sep 18 2017). How the U.S. Hispanic population is changing. Pew Research Center. Retrieved from http://www.pewresearch.org/fact-tank/2017/09/18/how-the-u-s-hispanic-population-is-changing/ft_17-09-18_Hispanic people_ushispanicpop/ and they make up 17% of the labor force. U.S. Bureau of Labor Statistics. (2017). Labor force characteristics by race and ethnicity, 2016. Retrieved from https://www.bls.gov/opub/reports/race-and-ethnicity/2016/home.htm Despite this and the fact that Hispanic people have the highest labor participation rate of all the minority groups, they still face discrimination and harassment in similar ways to other minority groups. (Note that we are again using the categories as defined by the U.S. Census Bureau, which predominantly uses the term "Hispanic" to refer to people of Cuban, Mexican, Puerto Rican, South or Central American, or other Spanish culture or origin.) Hispanic people can be of any race. Tafoya, S. (2004). Shades of belonging. Pew Hispanic Center. Retrieved from http://www.pewhispanic.org/2004/12/06/shades-of-belonging/ As a matter of fact, increasingly more Hispanic people are identifying racially as White. In 2004 almost half of Hispanic people identified themselves racially as White, while just under half identified themselves as “some other race.” Ibid. More than 10 years later, approximately 66% of Hispanic people now identify themselves racially as White while only 26% identify themselves as “some other race.” Hispanic people in the U.S. fast facts. (Mar 31 2017). CNN. Retrieved from https://www.cnn.com/2013/09/20/us/Hispanic people-in-the-u-s-/index.html The remaining Hispanic population, totaling approximately 7%, identify as either Black, American Indian, Asian, Alaskan Native, Pacific Islander, or Native Hawaiian. Ibid. Why would a minority identity group identify racially as White? A Pew study found that the longer Hispanic families lived in the United States, the more likely they were to claim White as their race even if they had not done so in the past. Liu, E. (May 30 2014). Why are Hispanic people identifying as white? CNN. This suggests that upward mobility in America may be perceived by some Hispanic people to be equated with “Whiteness.” Ibid. Consequently, Hispanic people who self-identify racially as White experience higher rates of education and salary, and lower rates of unemployment. Tafoya, S. (2004). Shades of Belonging. Washington D.C.: Pew Hispanic Center. Retrieved from http://pewhispanic.org/files/reports/35.pdf. Additionally, only 29% of Hispanic people polled by the Pew Hispanic Center believe they share a common culture. Taylor, P., Lopex, M.H., Martinez, J., & Velasco. G. (2012). When labels don’t fit: Hispanic people and their views of identity. Retrieved from http://www.pewhispanic.org/2012/04/04/when-labels-dont-fit-Hispanic people-and-their-views-of-identity/ According to the Pew Research Center, this finding may be due to the fact that the Hispanic ethnic group in the United States is made up of at least 14 Hispanic origin groups (such as Puerto Rican, Cuban, Spanish, Mexican, Dominican, and Guatemalan, among many others). Flores, A. (Sep 18 2017). How the U.S. Hispanic population is changing. Pew Research Center. Retrieved from http://www.pewresearch.org/fact-tank/2017/09/18/how-the-u-s-hispanic-population-is-changing/ft_17-09-18_Hispanic people_ushispanicpop/ Each of these groups has its own culture with different customs, values, and norms. These cultural differences among the various Hispanic groups, combined with different self-perceptions of race, may also affect attitudes toward their workplace environment. For example, one study found that the absenteeism rate among Black people was related to the level of diversity policies and activities visible in the organization, while the absenteeism rate among Hispanic people was similar to that of White people and not related to those diversity cues. Avery, D.R., McKay, P.F., Wilson, D.C., Tonidandel, S. (2007). Unequal attendance: The relationships between race, organizational diversity cues, and absenteeism. Personnel Psychology, 60: 875-902. Results from this study suggest that managers need to be aware of how diversity impacts their workplace, namely addressing the relationship between Hispanic job seekers or workers and organizational outcomes concerning diversity policies as it may differ from that of other racial minorities. Asian and Asian American Asian people are the fastest-growing ethnic group in the United States, growing 72% between 2000 and 2015. Lopez, G., Ruiz, N.G., & Patten, E. (2017). Key facts about Asian Americans, a diverse and growing population. Pew Research Center. Retrieved from http://www.pewresearch.org/fact-tank/2017/09/08/key-facts-about-asian-americans/ Compared to the rest of the U.S. population overall, households headed by Asian Americans earn more money and are more likely to have household members who hold a bachelor’s degree. Ibid. However, there is a wide range of income levels among the Asian population that differs between the more than 19 groups of Asian origin in the United States. Ibid. Similar to other racial and ethnic minority groups, Asian people are stereotyped and face discrimination at work. Society through media often stereotypes Asian men as having limited English-speaking skills and as being highly educated, affluent, analytical, and good at math and science. Ono, K. A., & Pham, V. N. (2009). Asian Americans and the Media. Cambridge, England: Polity.; Paek, H.J., & Shah, H. (2003). Racial ideology, model minorities, and the ‘not so silent partner:” Stereotyping of Asian Americans in U.S. magazine advertising. Howard Journal of Communications, 14(4): 225-244. Asian women are often portrayed as weak and docile. Hernandez, T.K. (2000). Sexual Harassment and Racial Disparity: The Mutual Construction of Gender and Race. Gender, Race and Justice (4J): 183 -224. Retrieved from http://ir.lawnet.fordham.edu/faculty_scholarship/12 For Asian women, and other minority women as well, social stereotypes depicting them as exotic contribute to reports of sexual harassment from women minority groups. Ibid. The model minority myth Committee of 100: American attitudes toward Chinese Americans and Asian Americans. (2004, Summer). The Diversity Factor, 12(3): 38-44. Retrieved from http://www.committee100.org/publications/survey/C100survey.pdf is a reflection of perceptions targeting Asian people and Asian Americans that contrast the stereotypes of “conformity” and “success” of Asian men with stereotypes of “rebelliousness” and “laziness” of other minority men. It also contrasts the stereotyped “exotic” and “obedient” nature of Asian women against the stereotypical beliefs that White women are “independent” and “pure.” Hernandez, T.K. (2000). Sexual Harassment and Racial Disparity: The Mutual Construction of Gender and Race. Gender, Race and Justice (4J): 183 -224. Retrieved from http://ir.lawnet.fordham.edu/faculty_scholarship/12 These perceptions are used not only to invalidate injustice that occurs among other racial minorities, but also to create barriers for Asian and Asian Americans seeking leadership opportunities as they are steered toward “behind the scenes” positions that require less engagement with others. These stereotypes also relegate Asian women into submissive roles in organizations, making it challenging for Asian men and women to advance in rank at the same rate as White male employees. Committee of 100: American attitudes toward Chinese Americans and Asian Americans. (2004, Summer). The Diversity Factor, 12(3): 38-44. Retrieved from http://www.committee100.org/publications/survey/C100survey.pdf Multiracial Although the U.S. Census Bureau estimates that approximately 2% of the U.S. population describes themselves as belonging to more than one race, the Pew Research Center estimates that number should be higher, with around 7% of the U.S. population considered multiracial. Multiracial in America. (June 11 2015) Pew Research Center. Retrieved from http://www.pewsocialtrends.org/2015/06/11/multiracial-in-america/ This is due to the fact that some individuals may claim one race for themselves even though they have parents from different racial backgrounds. To complicate matters even more, when collecting data from multiracial group members, racial identity for individuals in this group may change over time because race is a social construct that is not necessarily based on a shared culture or country of origin in the same way as ethnicity. As a result, multiracial individuals (and Hispanic people) have admitted to changing their racial identity over the course of their life and even based on the situation. Approximately 30% of multiracial individuals polled by the Pew Research Center say that they have varied between viewing themselves as belonging to one race or belonging to multiple races. Within the group polled, the order in which they first racially identified as belonging to one racial group versus belonging to more than one group varied. Ibid. Despite the fact that multiracial births have risen tenfold between 1970 and 2013, Ibid. their participation in the labor force is only around 2%. U.S. Bureau of Labor Statistics. (2017). Labor force characteristics by race and ethnicity, 2016. Retrieved from https://www.bls.gov/opub/reports/race-and-ethnicity/2016/home.htm Additionally, multiracial individuals with a White racial background are still considered a racial minority unless they identify themselves solely as White, and approximately 56% of them on average say they have been subjected to racial jokes and slurs. Ibid. Discrimination also varies when multiracial groups are broken down further, with Black–American Indians having the highest percentage of individuals reporting discrimination and White–Asian people having the lowest percentage. Ibid. At work, multiracial employees are sometimes mistaken for races other than their own. If their racial minority background is visible to others, they may experience negative differential treatment. Sometimes they are not identified as having a racial or ethnic minority background and are privy to disparaging comments from unsuspecting coworkers about their own race, which can be demoralizing and can lead to lower organizational attachment and emotional strain related to concealing their identity. Philips, K.W., Rothbard, N.P., & Dumas, T.L. (2009). To disclose or not to disclose? Status distance and self-disclosure in diverse environments. Academy of Management Review, 34(4), 710-732. Other Groups Approximately 1% of the labor force identifies as American Indian, Alaska Native, Native Hawaiian or Pacific Islander, or some other race. U.S. Bureau of Labor Statistics. (2017). Labor force characteristics by race and ethnicity, 2016. Retrieved from https://www.bls.gov/opub/reports/race-and-ethnicity/2016/home.htm Age The age distribution of an organization’s workforce is an important dimension of workplace diversity as the working population gets older. Some primary factors contributing to an older population include the aging of the large Baby Boomer generation (people born between 1946 and 1964), lower birth rates, and longer life expectancies Alley, D., & Crimmins, E. 2007. The demography of aging and work. In K. S. Shultz & G. A. Adams (Eds.), Aging and work in the 21st century: 7-23. New York: Psychology Press. due to advances in medical technology and access to health care. As a result, many individuals work past the traditional age of retirement (65 years old) and work more years than previous generations in order to maintain their cost of living. compares the percentage of the population over the age of 65 to those under the age of 18 between 2010 and 2016. The number of older individuals has increased and is projected to reach 20.6% by the year 2030 while the number of younger individuals has steadily decreased within that time period. These numbers imply that organizations will increasingly have employees across a wide range of ages, and cross-generational interaction can be difficult to manage. Although older workers are viewed as agreeable and comfortable to work with, they are also stereotyped by some employees as incompetent Cuddy, A. J. C., & Fiske, S. T. (2002). Doddering but dear: Process, content, and function in stereotyping of older persons. In T. D. Nelson (Ed.), Ageism: Stereotyping and prejudice against older persons (pp. 3–26). Cambridge, MA: MIT Press.; Cuddy, A. J. C., Norton, M. I., & Fiske, S. T. (2005). This old stereotype: The pervasiveness and persistence of the elderly stereotype. Journal of Social Issues, 61, 267–285. and less interested in learning new tasks at work compared to younger workers. Desmette, D., & Gaillard, M. (2008). When a “worker” becomes an “older worker”: The effects of age-related social identity on attitudes towards retirement and work. Career Development International, 13, 168–185. Studies have found support for the proposition that age negatively relates to cognitive functioning. Ng, T. W., & Feldman, D. C. (2008). The relationship of age to ten dimensions of job performance. Journal of Applied Psychology, 93, 392–423. However, if managers offer less opportunity to older workers solely because of declining cognitive functioning, it can be detrimental to organizational performance because older workers outperform younger workers on a number of other job performance measures. Compared to younger workers, older workers are more likely to perform above their job expectations and follow safety protocols. They are also less likely to be tardy, absent, or abuse drugs or alcohol at work compared to their younger counterparts. Change in U.S. population by age (Attribution: Copyright Rice University, OpenStax, under CC-BY 4.0 license) Sexual Orientation and Gender Identity Sexual orientation diversity is increasing in the workforce. In June, 2020, the Supreme Court ruled that the Civil Rights Act prohibits discrimination based on sexual orientation and gender identity. Until this ruling, only 21 states and Washington D.C. prohibited such discrimination. Human Rights Campaign. (2018). State maps of laws and policies. Retrieved from http://www.hrc.org/state-maps/employment With this new federal protection, individuals cannot for employment or fired for their sexual orientation , gender identity, or gender expression. Ragins, B.R., Cornwell, J.M. and Miller, J.S. (2003), “Heterosexism in the workplace: do race and gender matter?”, Group & Organization Management, Vol. 28, pp. 45-74. However, although the Civil Rights Act does not provide federal protection to lesbian, gay, bisexual and transgender, and queer/questioning (LGBTQ) employees, that protection is not complete. LGBTQ people can still face other types of discrimination inside and outside of the workplace, and some employers and lawmakers may take up the issue in the future. On a positive note, more than half of the Fortune 500 companies have corporate policies that protect sexual minorities from discrimination at work and offer domestic-partner benefits. Human Rights Campaign Foundation (2018), “Corporate equality index 2018 ”, available at:https://assets2.hrc.org/files/assets/resources/CEI-2018-FullReport.pdf?_ga=2.120762824.1791108882.1521675202-2105331900.1521675202 Many employers are beginning to understand that being perceived as inclusive will make them more attractive to a larger pool of job applicants. Button, S.B. (2001), “Organizational efforts to affirm sexual diversity: a cross-level examination”, Journal of Applied Psychology, Vol. 86 No. 1, pp. 17-28. Furthermore, many organizations have come to recognize that gender and sexual orientation equity aligns to their mission and ethics. Unfortunately, the percentage of hate crimes relating to sexual orientation discrimination has increased. GLAAD media reference guide (10th ed.). 2016. Los Angeles, CA: Gay and Lesbian Alliance Against Defamation. Retrieved from http://www.glaad.org/sites/default/files/GLAAD-Media-Reference-Guide-Tenth-Edition.pdf Indeed, LGBTQ employees are stigmatized so much that in a recent study, researchers found that straight-identifying participants were more attracted to employers with no job security to offer them compared to gay-friendly employers. Lamber, J. (2015). The impact of gay-friendly recruitment statements and due process employment on a firm’s attractiveness as an employer. Equality, Diversity, and Inclusion: An International Journal, 34 (6): 510-526. In other words, individuals would waive job security to avoid working with sexual minorities. Also, compared to heterosexuals, sexual minorities have higher education levels Black, D., Gates, G., Sanders, S., & Taylor, L. 2000. Demographics of the gay and lesbian population in the United States: Evidence from available systematic data sources. Demography, 37(2): 139-154. but still face hiring and treatment discrimination frequently. Ragins, B.R., Cornwell, J.M., & Miller, J.S. 2003. Heterosexism in the workplace: Do race and gender matter? Group & Organization Management, 28: 45-74.;Tilcsik, A. (2011), “Pride and prejudice: employment discrimination against openly gay men in the United States”, American Journal of Sociology, Vol. 117 No. 2, pp. 586-626. LGBTQ employees are often faced with the decision of whether or not to be truthful about their sexual orientation at work for fear of being stigmatized and treated unfairly. To be clear, any stigmatization is the fault of the people who mistreat others, and sometimes even the organization itself. But as a result, LGTBQ and other people may choose to engage in what is sometimes called passing, or the decision not to disclose something about oneself. Passing often involves a great risk of emotional strain that can affect performance and wellbeing. Clair, J.A., Beatty, J.E., & Maclean, T.L. (2005). Out of sight but not out of mind: Managing invisible social identities in the workplace. Academy of Management Review, 30 (1), 78-95. Individuals who pass may distance themselves from coworkers or clients to avoid disclosure about their personal life. This behavior can also result in decreased networking and mentoring opportunities, which over time can limit advancement opportunities. The decision to be transparent about sexual orientation is sometimes called revealing . Ibid. Just like passing, revealing has its own set of risks including being ostracized, stigmatized, and subjected to other forms of discrimination at work. However, compared to passing, the benefits of building relationships at work and using their identity as a catalyst for tolerance and progressive organizational change may outweigh the risks when LGBTQ employees decide to reveal. The decision to "come out" should be made exclusively by the individual; "outing" someone else as any sexual orientation or gender identity is considered highly inappropriate and hurtful, and may have employment-related consequences. Research shows that when laws are passed to prevent sexual orientation discrimination, incidents of workplace discrimination decrease. Barron, G.L. and Hebl, M. (2013), “The force of law: The effects of sexual orientation anti-discrimination legislation on interpersonal discrimination in employment”, Psychology, Public Policy, and Law, Vol. 19 No. 2, pp. 191-205. This same effect occurs when firms adopt policies that protect the rights of sexual minority employees. Button, S.B. (2001), “Organizational efforts to affirm sexual diversity: a cross-level examination”, Journal of Applied Psychology, Vol. 86 No. 1, pp. 17-28. By creating a safe and inclusive work environment for LGBTQ employees, companies can create a culture of tolerance and trust for all employees regardless of their sexual orientation or gender identity. Removing Bias In Recruiting An increasing number of companies are testing new and innovative methods of recruiting. In many cases, firms remove any identifying information about applicants during the recruitment process. An example of this may include anonymous applications that omit fields requesting information such as an applicant’s name or age. Using computer application technology, some companies like Google administer surveys to their anonymous applicants that measure the abilities required for the job before they are considered in the next step of the recruitment process. Alternatively, companies may request that applicants remove identifying information such as names and address from their resumes before applying for positions. As resumes are received, hiring managers can assign a temporary identification number. Although more companies are using this method of recruiting, the idea is not new for symphony orchestras, many of which have been using this type of auditioning since the 1970s. In some instances musicians audition behind screens so they are evaluated only by their music. This process removes bias associated with race and gender because the performer cannot be seen and only heard. A study investigating this practice examined 11 symphony orchestras that varied their auditions. Researchers found that those orchestras that held "unseen" auditions increased the likelihood that a woman would be hired by between 25 and 46%. A recruitment process like this can help organizations attract more candidates, hire the best talent, increase their workplace diversity, and avoid discrimination liability. In other efforts, organizations work to alter their job descriptions to remove terms that result in gender or other biases. By involving diversity and equity experts, and sometimes using artificial intelligence-based language analysis, recruiters can eliminate unintended barriers and improve their hiring processes. Sources: Grothaus, M. (Mar 14 2016). How “blind” recruitment works and why you should consider it. Fast Company. Retrieved from https://www.fastcompany.com/3057631/how-blind-recruitment-works-and-why-you-should-consider; and MIller, C.C. (Feb 25 2016). Is blind hiring the best hiring? The New York Times Magazine. Retrieved from https://www.nytimes.com/2016/02/28/magazine/is-blind-hiring-the-best-hiring.html. Discussion Questions Should all companies change their resume screening and interview processes to eliminate biases or are there exceptions that must be considered? If improved recruiting helps eliminate bias during the recruitment process, then what does that say about social media platforms such as Linked In that are commonly used for recruiting applicants? Will using those platforms expose companies to greater liability compared to using more traditional means of recruiting? How does working to eliminate bias recruiting help organizations? How may it hinder organizations? Immigrant Workers Every year a new record is set for the time it takes to reach the U.S. cap of H-1B visas granted to employers. Trautwein, C. Apr 7 2017. H-1B Visa applications just hit their limit for the year in less than a week. Time. Retrieved 4/21/2017 from http://time.com/4731665/h1b-visa-application-cap/; U.S. Citizenship and Immigration Services. (2017, Apr 7). USCIS reaches FY 2018 H-1B Cap. Retrieved on 4/21/2017 at https://www.uscis.gov/news/news-releases/uscis-reaches-fy-2018-h-1b-cap H- 1B visas are a type of work visa , a temporary documented status that authorizes individuals to permanently or temporarily live and work in the United States. U.S. Citizenship and Immigration Services. (2013). Working in the U.S. Retrieved from http://www.uscis.gov/working-united-states/working-us; U.S. Department of State, Bureau of Consular Affairs. (2014). Directory of Visa Categories. Retrieved from http://travel.state.gov/content/visas/english/general/all-visa-categories.html#iv As a result of the demand for work visas by employers, the number of immigrant workers in the U.S. workforce has steadily grown within the last decade from 15% in 2005 to 17% in 2016. Bureau of Labor Statistics, U.S. Department of Labor. (2016, May 19). Labor force characteristics of foreign-born workers summary. Economic News Release. Retrieved online at https://www.bls.gov/news.release/forbrn.nr0.htm Compared to those born in the United States, the immigrant population in America is growing significantly faster. Kandel, W. A. (2011). The US foreign-born population: Trends and selected characteristics. Congressional Research Service Report. Retrieved from http://www.fas.org/sgp/crs/misc/R41592.pdf This is partly because of the U.S. demand for workers who are proficient in math and science Bound, J., Demirci, M., Khanna, G., & Turner, S. (2014). Finishing degrees and finding jobs: U.S. higher education and the flow of foreign IT workers (NBER Working Paper No. 20505). Retrieved January 4, 2015, from http://www.nber.org/papers/w20505 and wish to work in America. Although a huge demand for immigrant labor exists in the United States, immigrant labor exploitation occurs, with immigrant employees receiving lower wages and working longer hours compared to American workers. Avery, D. R., Tonidandel, S., Volpone, S. D., & Raghuram, A. (2010). Overworked in America?: How work hours, immigrant status, and interpersonal justice affect perceived work overload. Journal of Managerial Psychology, 25(2), 133–147.; Bloomekatz, R. (2007). Rethinking immigration status discrimination and exploitation in the low-wage workplace. UCLA Law Review, 54, 1963-2010. Foreign-born job seekers are attracted to companies that emphasize work visa sponsorship for international employees, yet they are still mindful of their vulnerability to unethical employers who may try to exploit them. For example, Lambert and colleagues found that some of the job-seeking MBA students from the Philippines in their study believed that companies perceived to value international diversity and sponsor H-1B visas signaled a company wishing to exploit workers. Lambert, J.R., Basuil, D.A., Bell, M.P., & Marquardt, D. (2017).Coming to America: Work Visas, International Diversity, and Organizational Attractiveness among Highly Skilled Asian Immigrants. International Journal of Human Resource Management, 1-27. Others believed that those types of companies might yield diminishing returns to each Filipino in the company because their token value becomes limited. In news stories, companies have been accused of drastically shortchanging foreign student interns on their weekly wages. Jamieson, D. (2011). Student guest workers at Hershey plant allege exploitative conditions.Huffington Post. Retrieved from http://www.huffingtonpost.com/2011/08/17/student-guestworkers-at-hershey-plant_n_930014.html. In another case, Infosys, a technology consulting company, paid $34 million to settle allegations of visa fraud due to suspicion of underpaying foreign workers to increase profits. Wigglesworth, V. (2013). Tech giant Infosys settles allegation of visa fraud in Plano office for $34 million. Dallas News. Retrieved from http://www.dallasnews.com/news/community-news/plano/headlines/20131030-tech-giant-infosys-settles-allegations-of-visa-fraud-in-plano-office-for-34-million.ece?nclick_check=1 Other Forms of Diversity at Work Workers with disabilities are projected to experience a 10% increase in job growth through the year 2022. U.S. Department of Labor. (2012). Key points on Disability and Occupational Projections Tables. Retrieved from https://www.dol.gov/odep/pdf/20141022-KeyPoints.pdf This means that more public and corporate policies will be revised to allow greater access to training for workers with disabilities and employers. Ibid. Also, more companies will use technology and emphasize educating employees about physical and mental disabilities as workplace accommodations are used more often. In the past, the United States has traditionally been a country with citizens who predominantly practice the Christian faith. However, over the past almost 30 years the percentage of Americans who identify as Christian has significantly decreased—by approximately 12%. Over that same time period, affiliation with other religions overall increased by approximately 25%. U.S. Census Bureau. (2008). Table 75. Self-Described Religious Identification of Adult Population: 1990, 2001 and 2008. Retrieved from https://www2.census.gov/library/publications/2010/compendia/statab/130ed/tables/11s0075.pdf The increase in immigrant workers from Asian and Middle Eastern countries means that employers must be prepared to accommodate religious beliefs other than Christianity. Although federal legislation protects employees from discrimination on the basis of race, religion, and disability status, many employers have put in place policies of their own to deal with the variety of diversity that is increasingly entering the workforce. How is diversity defined in relation to the workplace? What are the components that make up a diverse workplace and workforce? How diverse is the workforce? In analyzing the diversity of the workforce, several measures can be used. Demographic measures such as gender and race can be used to measure group sizes. Measures of such things as discrimination toward specific groups can be analyzed to gauge the diversity of the workforce. Other measures of diversity in the workforce can include examination of differences in age and sexual orientation. glass ceiling An invisible barrier based on the prejudicial beliefs of organizational decision makers that prevents women from moving beyond certain levels within a company. model minority myth A stereotype that portrays Asian men and women as obedient and successful and is often used to justify socioeconomic disparities between other racial minority groups. passing The decision to not disclose one’s invisible social identity. revealing The decision to disclose one’s invisible social identity. work visa A temporary documented status that authorizes individuals from other countries to permanently or temporarily live and work in the United States.

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Diversity and Its Impact on Companies How does diversity impact companies and the workforce? Due to trends in globalization and increasing ethnic and gender diversity, it is imperative that employers learn how to manage cultural differences and individual work attitudes. As the labor force becomes more diverse there are both opportunities and challenges to managing employees in a diverse work climate. Opportunities include gaining a competitive edge by embracing change in the marketplace and the labor force. Challenges include effectively managing employees with different attitudes, values, and beliefs, in addition to avoiding liability when leadership handles various work situations improperly. Reaping the Advantages of Diversity The business case for diversity introduced by Taylor Cox and Stacy Blake outlines how companies may obtain a competitive advantage by embracing workplace diversity. Cox, T.H. & Blake, S. (1991). Managing cultural diversity: Implications for organizational competitiveness. Academy of Management Executive, 5(3): 45-56. Six opportunities that companies may receive when pursuing a strategy that values diversity include cost advantages, improved resource acquisition, greater marketing ability, system flexibility, and enhanced creativity and better problem solving (see ). Managing Cultural Diversity (Attribution: Copyright Rice University, OpenStax, under CC-BY 4.0 license) Cost Advantages Traits such as race, gender, age, and religion are protected by federal legislation against various forms of discrimination (covered later in this chapter). Organizations that have policies and procedures in place that encourage tolerance for a work climate of diversity and protect female and minority employees and applicants from discrimination may reduce their likelihood of being sued due to workplace discrimination. Cox and Blake identify this decreased liability as an opportunity for organizations to reduce potential expenses in lawsuit damages compared to other organizations that do not have such policies in place. Additionally, organizations with a more visible climate of diversity experience lower turnover among women and minorities compared to companies that are perceived to not value diversity. Williams, K., & O'Reilly, CA. 1998. Demography and diversity: A review of 40 years of research.In B. Staw and R. Sutton (Eds.), Research in organizational behavior, 20: 77-140. Greenwich, CT: JAI Press. Turnover costs can be substantial for companies over time, and diverse companies may ameliorate turnover by retaining their female and minority employees. Although there is also research showing that organizations that value diversity experience a higher turnover of White employees and male employees compared to companies that are less diverse, Tsui, A.S., Egan, T. D., & O’Reilly, C.A. 1992. Being different: relational demography and organizational attachment. Administrative Science Quarterly, 37: 549-579. some experts believe this is due to a lack of understanding of how to effectively manage diversity. Also, some research shows that White people with a strong ethnic identity are attracted to diverse organizations similarly to non-White people. Kim, S.S. & Gelfand, M. J. (2003).The influence of ethnic identity on perceptions of organizational recruitment. Journal of Vocational Behavior, 63: 396- 416. Resource Acquisition Human capital is an important resource of organizations, and it is acquired through the knowledge, skills, and abilities of employees. Organizations perceived to value diversity attract more women and minority job applicants to hire as employees. Studies show that women and minorities have greater job-pursuit intentions and higher attraction toward organizations that promote workplace diversity in their recruitment materials compared to organizations that do not. Perkins, L. A., Thomas, K. M., & Taylor, G. A. 2000. Advertising and recruitment: Marketing tominorities. Psychology and Marketing, 17: 235-255.; Thomas, K.M., & Wise, P.G. 1999. Organizational attractiveness and individual differences: Are diverse applicants attracted by different factors? Journal of Business and Psychology,13: 375-390. When employers attract minority applicants, their labor pool increases in size compared to organizations that are not attractive to them. As organizations attract more job candidates, the chances of hiring quality employees increases, especially for jobs that demand highly skilled labor. In summary, organizations gain a competitive advantage by enlarging their labor pool by attracting women and minorities. Marketing When organizations employ individuals from different backgrounds, they gain broad perspectives regarding consumer preferences of different cultures. Organizations can gain insightful knowledge and feedback from demographic markets about the products and services they provide. Additionally, organizations that value diversity enhance their reputation with the market they serve, thereby attracting new customers. System Flexibility When employees are placed in a culturally diverse work environment, they learn to interact effectively with individuals who possess different attitudes, values, and beliefs. Cox and Blake contend that the ability to effectively interact with individuals who differ from oneself builds cognitive flexibility , the ability to think about things differently and adapt one’s perspective. When employees possess cognitive flexibility, system flexibility develops at the organizational level. Employees learn from each other how to tolerate differences in opinions and ideas, which allows communication to flow more freely and group interaction to be more effective. Creativity and Problem Solving Teams from diverse backgrounds produce multiple points of view, which can lead to innovative ideas. Different perspectives lead to a greater number of choices to select from when addressing a problem or issue. Life experience varies from person to person, sometimes based on race, age, or sex. Creativity has the opportunity to flourish when those experiences are shared. Diverse teams not only produce more alternatives, but generate a broader range of perspectives to address tasks and problems. One way in which diverse teams enhance problem-solving ability is by preventing groupthink , Janis, I.L. (1972). Victims of groupthink: A psychological study of foreign policy decisions and fiascoes. Boston: Houghton Mifflin Company. a dysfunction in decision-making that occurs in homogeneous groups as a result of group pressures and group members’ desire for conformity and consensus. Diverse group membership prevents groupthink because individuals from varied backgrounds with different values, attitudes, and beliefs can test the assumptions and reasoning of group members’ ideas. Aligning Diversity Programs with an Organization’s Mission and Strategic Goals Diversity helps organizations perform best when it is aligned with a specific business strategy. For example, when companies use heterogeneous management teams that are directed by an entrepreneurial strategy focusing on innovation, the companies’ productivity increases. When an entrepreneurial strategy is not present, however, team diversity has little effect on productivity. Richard, O.C., Barnett, T., Dwyer, S., Chadwick, K. (2004). Cultural diversity in management, firmperformance, and the moderating role of entrepreneurial orientation dimensions. Academy of Management Journal, 47 (2): 255-266. An entrepreneurial strategy includes innovation that reflects a company’s commitment to being creative, supporting new ideas, and supporting experimentation as a way to gain a competitive advantage. In other words, managers may properly utilize the multiple perspectives that emerge from heterogeneous teams by integrating them as a resource for pursuing the overall strategy of the organization. Using Human Resources Tools Strategically To effectively align diversity with an organization’s strategy, the human resources function must be able to engage employees at dynamic levels. Using a strategic human resources management approach to an organization can successfully integrate diversity with the organization’s goals and objectives. McMahan, G.C., Bell, M.P., & Virick, M. (1998). Strategic human resource management: Employee involvement, diversity, and international issues. Human Resource Management Review, 8 (3): 193-214. Strategic human resources management (SHRM) is a system of activities arranged to engage employees in a manner that assists the organization in achieving a sustainable competitive advantage. SHRM practices vertically integrate with the mission and strategy of the organization while horizontally integrating human resources activities across its functional areas. By doing so, a unique set of resources can be made available to specific to the needs of the organization. Furthermore, when human resources becomes a part of the strategic planning process instead of just providing ancillary services, improved communication, knowledge sharing, and greater synergy between decision makers can occur within the organization to improve organizational functioning. The resource-based view of the firm has been used to support the argument for diversity because it demonstrates how a diverse workforce can create a sustainable competitive advantage for organizations. Based on the resource-based view of the firm, when companies possess resources that are rare, valuable, difficult to imitate, and non-substitutable, a sustained competitive advantage can be attained. Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17(1): 99-120. The SHRM approach assumes that human capital—the current and potential knowledge, skills, and abilities of employees—is instrumental to every organization’s success and sustainability and longevity. If a diverse composition of employees within organizations is rare, employing minorities in positions of leadership is even rarer. One exception is Northern Trust, an investment management firm that was recently listed on Forbes magazine’s 2018 Best Employers for Diversity list. Kauflin, J. (Jan 23 2018). America’s best employers for diversity. Forbes. Retrieved from https://www.forbes.com/sites/jeffkauflin/2018/01/23/americas-best-employers-for-diversity/#84f151c71647 Thirty-eight percent of Northern Trust’s top executives are women, which is impressive because it matches the average percentage of women in full-time one-year MBA programs over the past five years. Graduate Management Admission Council. (Oct 6 2016Where are women in graduate business school? Retrieved from https://www.gmac.com/market-intelligence-and-research/research-insights/application-trends/where-are-women-in-graduate-business-school.aspx The average for S&P 500 companies is just 27%. In addition, African Americans make up 23% of Northern Trust’s board, which also demonstrates the commitment Northern Trust has to diversity. This rare degree of diversity helps Northern Trust become an employer of choice for minorities and women. In turn, attracting minority applicants increases the labor pool available to Northern Trust and increases its ability to find good talent. Bank staff watching presentation The Disability Awareness Players present to the staff at Northern Trust. (Credit: JJ’s List/ flickr/ Attribution 2.0 Generic (CC BY 2.0)) Diverse companies may capitalize on the multiple perspectives that employees from different backgrounds contribute to problem solving and idea generation. In group settings, members from collectivist cultures from Asia and South America, for example, engage with others on tasks differently than members from North America. Similarly, Asian, Black, and Hispanic people usually act more collectively and engage more interdependently than White people, who are generally more individualistic. More harmonious working interactions benefit group cohesion and team performance, Cox, T. H., Lobel, S. A., & McLeod, P. L. (1991). Effects of ethnic group cultural differences on cooperative and competitive behavior on a group task. Academy of management journal, 34(4), 827-847. and employees can grasp better ways of doing things when there is a diverse population to learn from. For a company to attain a sustained competitive advantage, its human resource practices must be difficult to copy or imitate. As we will see later in the chapter, companies may hold one of three perspectives on workplace diversity. The integration and learning perspective results in the best outcomes for employees and the organization. However, it is not easy to become an employer that can effectively manage diversity and avoid the challenges we learned about earlier in this chapter. Historical conditions and often-complex interplay between various organizational units over time can contribute to a company’s ability to perform effectively as a diverse organization. Best practices for targeting diverse applicants or resolving conflicts based on cultural differences between employees may occur organically and later become codified into the organizational culture. Sometimes, however, the origin of diversity practices is unknown because they arose from cooperation among different functional areas (e.g., marketing and human resources working strategically with leadership to develop recruitment ideas) that occurred so long ago that not even the company itself, let alone other companies, could replicate the process. Diversity and Organizational Performance Research indicates that having diversity in an organization produces mixed results for its success. Some studies show a positive relationship, some show a negative relationship, and others show no relationship between diversity and performance. Some researchers believe that although findings regarding a direct relationship between diversity and success in the marketplace may be inconsistent, the relationship may be due to other variables not taken into account. Taking the resource-based view perspective, Richard and colleagues demonstrated that racially diverse banking institutions focused on innovation experienced greater performance than did racially diverse banks with a low focus on innovation. Richard, O.C., Barnett, T., Dwyer, S., Chadwick, K. (2004). Cultural diversity in management, firm performance, and the moderating role of entrepreneurial orientation dimensions. Academy of Management Journal, 47 (2): 255-266. These findings suggest that for the potential of racial diversity to be fully realized, companies should properly manage the system flexibility, creativity, and problem-solving abilities used in an innovative strategy. Other studies show that when top management includes female leadership, firm performance improves when organizations are innovation driven. Dezso, C.L., & Ross, D.G. (2012). Does female representation in top management improve firm performance? A panel data investigation. Strategic Management Journal, 33: 1072-1089. What are the challenges and opportunities that diversity provides to companies? What are the responsibilities of human resources regarding diversity? Can diversity be a strategic advantage to organizations? How does diversity impact companies and the workforce? The demography of the labor force is changing in many ways as it becomes racially diverse and older and includes more women and individuals with disabilities. Diversity affects how organizations understand that employing people who hold multiple perspectives increases the need to mitigate conflict between workers from different identity groups, enhances creativity and problem solving in teams, and serves as a resource to create a competitive advantage for the organization. groupthink A dysfunction in decision-making that is common in homogeneous groups due to group pressures and group members’ desire for conformity and consensus. strategic human resources management (SHRM) System of activities arranged to engage employees in a manner that assists the organization in achieving a sustainable competitive advantage. resource-based view Demonstrates how a diverse workforce can create a sustainable competitive advantage for organizations.

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