Firms implementing diversity and inclusion initiatives ‘without evidence base’

Businesses are implementing diversity and inclusion (D&I) initiatives without an evidence base, a new report has found.

The independent Inclusion at Work Panel, appointed by Business Secretary Kemi Badenoch, spoke to more than 100 people in 55 organisations and reviewed the latest research into how employers make decisions about D&I policies and practices in the UK.

In a report published on Wednesday, the panel said many employers want “do to the right thing”, but are introducing measures without the support of evidence.

It said that some of those they spoke to cited examples of what “good” practices might look like, but the collection of robust data was “rare” and measurable impact was “scarce”.

“The evidence suggests that many organisations’ D&I approaches are driven by pre-existing notions, assumptions, and pressures rather than empirical evidence,” the report noted.

It highlighted cases where D&I initiatives were found to be counterproductive or unlawful, such as a Ministry of Defence review finding that pressure on the Royal Air Force (RAF) to meet targets for women and ethnic minorities led to unlawful positive discrimination against white men.

It also found that employers face barriers such as a lack of accessible data on D&I measures as well as broad or subjective definitions of terms like “inclusion”.

Ms Badenoch said: “Discussions around diversity and inclusion at work are often bogged down by performative gestures.

“This report by the Inclusion at Work Panel is a powerful new tool for organisations.

“I sincerely hope that businesses will take time to read this report so that it becomes an important step in helping them achieve more inclusive and productive workplaces.”

Writing in the Telegraph, Ms Badenoch added that the report shows many of the initiatives have “little to no tangible impact in increasing diversity or reducing prejudice”.

“In fact, many practices have not only been proven to be ineffective, they have also been counterproductive,” she said.

The panel, which included private and public sector leaders, released a framework for employers which included five criteria for success.

These were gathering evidence systematically and comprehensively, reviewing interventions and processes regularly, putting evidence into practice, widening diversity of thought and experience and restoring the importance of clear performance standards.

“Evidence is essential for measuring progress and impact, and evidence exists for many interventions,” the report said.

“Easy access to authoritative data and insights, to better understand value for money and effectiveness, would give employers more confidence in their strategic choices.”

The panel also set out recommendations for the Government, saying ministers should endorse a new framework of criteria employers could apply to their D&I practice for effectiveness and value for money.

It said the Government should fund and work with a research partner to develop a digital toolkit that can help leaders and managers in all sectors to assess the efficacy of a range of D&I practices.

It also called for the Equality and Human Rights Commission (EHRC) to explain and clarify the legal status for employers in relation to D&I practices, with particular focus on the implication of recent rulings for HR policies and staff networks.

Pamela Dow, chair of the panel and chief operating officer of Civic Future, said: “It has been a privilege to work with such expert colleagues, united in the goal of fairness and belonging in the workplace.

“Our aim was to support leaders in all sectors to spend time and money well.

“The insights from our wide discussions show how we can build a useful evidence base, track data, improve confidence and trust, and reduce burdens, for organisations across the UK.”

It comes as the Government considers a crackdown on departments commissioning external suppliers for diversity and inclusion spending and greater ministerial scrutiny of spending on initiatives as well as streamlining training and HR processes.

The panel’s report comes as part of wider cross-government plans to outline steps to tackle unjust disparities, promote equality of opportunity and encourage aspiration.