How diverse is your organization? It’s an important question because, based on our experience in executive search in Toronto, Diversity, equity and inclusion (DEI) can affect your performance. Companies that prioritize DEI tend to have more success. According to research from McKinsey, more diverse and inclusive corporations are 35% or more likely to outperform their competitors. They also found that Gender-diverse companies are 15% more likely to have higher financial returns.
It is clear there are benefits to prioritizing DEI, but do companies do it when hiring? We took a poll to get a sense of how much companies actually prioritize DEI when hiring. Here is what we found.
Is DEI a Priority From Companies When Recruiting New Talent?
According to a recent IQ PARTNERS poll on LinkedIn, companies are not prioritizing DEI when hiring. Compared to cultural fit, hard skills, and problem-solving /teamwork, they barely consider it. Only 2% of respondents said their company prioritizes DEI most when hiring. 45% prioritize cultural fit most, followed by hard skills (31%), and problem-solving/teamwork.
The challenging thing about choosing just one of these answers is they are all important. An ideal hiring approach should include all these considerations. They all play an important role in developing and building a great team.
Generally, culture fit could also include both DEI and other things like teamwork. I would argue that you could include hard skills as something that should align with company culture.
Bruce Powell, Managing Partner/Founder at IQ PARTNERS, offers a great commentary on the poll. He says,
“…these things are never as clearly black/white and bucketed as the polls would suggest. Here’s another interesting nuance – Canadian Centre for Diversity and Inclusion (CCDI) (of which we’re a partner) suggests that growing companies look more for a culture ‘ADD’ than a culture ‘fit’ – such that each hire adds to and grows the company culture.”
So, when hiring for cultural fit, DEI may be baked into some company’s decision-making process. But the reality is that if you don’t focus on DEI, it could affect your recruiting efforts.
How Can A Lack of Focus On DEI Impact Your Recruiting?
Even if your company is not prioritizing DEI, the candidates you want to hire are considering it when determining if they want to work for you. Here are some stats to consider:
- 76% of job seekers report that a diverse workforce is an important factor when considering companies and job offers
- 32% of job seekers would not apply for a job at an organization with a lack of diversity in its workforce.
- Around 63% of employees across all generations said they prioritize DEI programs when choosing a company to work for – 73% of Gen Z and 68% of Millennials.
More On The Importance Of DEI In Your Organization
4 Ways To Increase Diversity Through Improved Recruitment
7 Ways to Minimize the Impact of Unconscious Bias in Your Job Interview Process
