Employing Disabled People is

Good for Business

– the Evidence

A collection of research, studies and reports on the business

benefits of employing disabled people

Evenbreak 2014

(updated September 2015)

1

Contents

Introduction page 2

Productivity page 3

Tapping into a Wider Pool of Talent page 4

Retention page 5

Sickness Absence page 6

Education and Qualifications page 7

Reputation page 8

Corporate Social Responsibility page 9

Understanding and Attracting Disabled Customers page 10

Staff Morale page 11

Additional Skills page 12

Weighing up the Cost page 13

Building a Business Case page 14

Sources page 15

2

Introduction

There are, of course, many moral, ethical and legal reasons why organisations should

consider employing disabled people. The employment rate of disabled people in the UK is

30% lower than that of non-disabled people (source 25). However, unfortunately, many

employers still see employing disabled people as an expensive risk. What about productivity

levels? Sickness absence? The cost of adaptations? Health and safety issues?

Increasingly employers are recognising that there are commercial benefits to be gained by

employing people from a wide range of backgrounds, including disabled people. The

challenge occurs when trying to put forward an evidence-based business case to prove this.

There is evidence out there, but it is published at different times, in different countries, and

is often difficult to find.

This document has been compiled for those who understand the commercial benefits of

employing disabled people, but may be required to put forward a business case to other

stakeholders.

Whilst not exhaustive, we have tried to bring together, under various headings, a collection

of studies, research and information which comments on aspects of the business benefits of

inclusion and accessibility in employment practice. Alongside the benefits of good practice

go the disadvantages of poor practice, and the risks that organisations run by not being

inclusive and accessible to disabled candidates, employees and customers.

Employing a disabled person is not an act of charity, it is potentially a wise business

decision, and this document aims to demonstrate that. It examines a range of aspects of

business in turn, and quotes from a range of studies on that aspect. There is a section on

how to put a business case together, and then a list of all the sources used in the document.

We’ve also thrown in a few quotes from inclusive employers for good measure!

We hope you will find the document useful, and add to it as new studies are published.

Please feel free to use the information however you like in putting your business case

together.

I employed a lad with

autism last year. He

does his job thoroughly

– never cuts corners. I

wish all my staff were

like him!

Our customers love

Shirley. She may

have Down

Syndrome, but she is

always cheerful and

smiling

3

Productivity

There is a common misconception that disabled people will automatically be less productive

than their non-disabled colleagues. Of course, every individual is unique, and it is wrong to

make sweeping statements that don’t take into account individual difference. However, the

sweeping generalisation that disabled people as a whole are less productive than non-

disabled people has been shown to be inaccurate and misleading by a range of studies

conducted at different times and in different places.

There is a perception, sometimes reinforced by politicians and some of the media, that

disabled people are workshy, lazy and would prefer to live on benefits than work. No

wonder some employers are wary of employing a group thus described! However, evidence

does not bear this out. A 2012 study (Source 3) stated that:

“All participants in the research wanted to work and emphasised the importance of work to

them. They unanimously agreed that their quality of life was (or would be) much better in

work than out of work. In part this was a function of the financial benefits of working, but

individuals were keen to stress that the value of work extended well beyond this because of

its ability to deliver balance, perspective, structure and mental stimulation.”

The same study found that “many disabled people feel that they need to work harder and

perform better to prove themselves in their job role”, hence why productivity levels can

often be higher from disabled employees (albeit for the wrong reasons).

Findings that “disabled employees are as productive and as reliable as non-disabled

employees and the majority of employees do not require adjustments at work” are found in

a range of studies (source 10), “Regardless of sector, participants with and without

disabilities had nearly identical job performance ratings” (source 13)

Similarly in America, national job studies, including a 30-year analysis by DuPont de

Nemours, show that people with disabilities have equal or higher performance ratings,

better retention rates and less absenteeism (source 17).

In addition to generally being equally as productive as non-disabled people, disabled

employees can also bring with them additional beneficial skills:

“Professionals living with health conditions or disabilities can bring creativity, resilience and

flexibility to bear in their work. They also bring significant value to their organisation

through empathetic people skills and transformational ability.” (source 10)

Additional innovation is another potential benefit. When more disabled people are

employed, an additional potential effect may be increased innovation due to the

diversification of staff in the workplace (source 12).

4

Tapping into a Wider Pool of Talent

Overall one in every five people in the UK has an impairment, with around 15% of people of

working age being disabled (Source 2). Excluding this number of people means that their

talents cannot benefit your organisation.

“Organisations with the ability to accommodate the needs of disabled staff are able to

access a wider pool of applicants from which to recruit. This is particularly important for

highly skilled/knowledge driven roles where there may be a shortage of labour supply.”

(source 4)

The business case for embracing diversity means you have access to talent that others may

overlook and you retain talent you might otherwise lose (source 11)

Many employers have found that by encouraging applications from disabled people, they

are able to extend the pool of high quality applicants available to them (source 14).

Another view is expressed here: “Employing disadvantaged co-workers, actually welcoming

them into work teams, and understanding their individual needs (often surprisingly easy)

cannot be taken as merely ‘superficial’ compliance with the law on meeting quotas. It is the

unforced and voluntary fulfilment of the social dimensions of internal relations within the

company, which paves the way not only to improving these internal relations, but to also

having a clear economic impact.” (source 24)

Organisations that are attractive to disabled people are also more likely to be attractive to

non-disabled people. A PwC survey of more than 4,000 university graduates in 2011,

otherwise known as “millennials”, reveals that this generation are looking for strong

diversity policies from employers (source 11).

I did have some

concerns about

employing someone

with visual impairment,

but he’s turned out to

be brilliant!

Our disabled staff

stay much longer in

their roles than

other staff – pretty

good for a call

centre!

5

Retention

Many organisations struggle with high staff turnover. This is expensive in many ways – the

cost of constantly recruiting and training new staff, the gaps when a vacancy is being filled,

the lack of continuity. High staff turnover also affects productivity, work quality, workplace

morale, and lost institutional knowledge (source 26). How is this relevant to employing

disabled people? Perhaps surprisingly, very relevant.

Much research suggests that disabled employees have a greater tendency to stay with an

organisation longer (source 4), echoed here - “Participants with disabilities from the retail

and hospitality sectors stayed on the job longer than participants without disabilities.”

(source 13). Companies report that employees with disabilities have better retention rates,

reducing the high cost of turnover, says a 2002 U.S. study (source 22). Other American

surveys reveal that after one year of employment, the retention rate of persons with

disabilities is 85 per cent (source 16).

The other important issue around retention is retaining staff who acquire a disability whilst

in employment. Only 17 out of every 100 disabled people were born with their impairment

(source 2), meaning that 83% of disabled people acquired their impairments as adults. The

issue for employers isn’t just about employing disabled candidates, but also about how to

accommodate existing employees who acquire an impairment, or whose impairments

become worse. The ability to implement effective reasonable adjustments can enhance an

organisation’s staff retention (source 4), who go on to say:

“A proportion of people who develop impairment while at work are forced to resign, this

inflicts a cost on the employer who must recruit and train a new member of staff.

Organisations with the motivation and knowledge to implement a sound reasonable

adjustment will be able to retain an experienced employee and avoid replacement costs.”

Research in 2007 (source 8) found that 92% of their respondents who had left work as a

result of disability or long-term health issues felt they could have stayed in their jobs had

reasonable adjustments been offered, but they weren’t.

Retaining employees who become disabled clearly has huge cost savings. The loss of trained

and experienced staff prematurely moving onto benefits and pensions is expensive. The UK

Post Office has estimated that each early retirement on health grounds costs in the region

of £160,000 (source 7).

As far back as 2002 improved retention was being cited as a business benefit of employing

disabled people. “Companies report that employees with disabilities have better retention

rates, reducing the high cost of staff turnover” (source 22).

6

Sickness Absence

This is another issue which can be very costly for organisations. Again, individuals will vary,

but on average, disabled people tend to have significantly less time off sick than their non-

disabled colleagues (source 4). This can be up to 30% less:

“Managers and supervisors who become disability-smart gain technical skills in areas such

as people management, accessibility and usability and complex change management

programmes. The organisations in the Best Place to Work ranking have sickness absence at

30% lower than the national average.” (source 10)

Many independent and unrelated studies agree that on average disabled employees have

lower sickness absence rates than non-disabled employees. Here are some examples:

Retail participants with disabilities had fewer days of unscheduled absences than those

without disabilities. (source 13)

In Australia it was found that an astounding 86 % of employees with disabilities had an

above average attendance rate (source 19)

A United Nations report found that “Empirical evidence shows that persons with disabilities

have high performance ratings and retention rates, as well as better attendance records

than their colleagues without disabilities” (source 20).

Alicia came to us straight

from special school, five

years ago, and I don’t

think she’s ever had a day

off sick, or even been late!

We’re all learning

sign language –

it’s great!

7

Education and Qualifications

It is true to say that historically children who were born with impairments tended to be

educated separately from other children, and that often that education was considered

inferior. This needs to be taken into account when reading CVs of some disabled people.

Support varies in terms of what disabled students can access. “Disabled undergraduate

students supported by the Disabled Student Allowance are least likely to drop out, while

disabled students lacking such support are most likely to drop out.” (Source 1)

However, “Those that graduate achieve similar degree and labour market outcomes overall

compared with those of nondisabled students. There is little difference between disabled

and non-disabled first degree qualified students in terms of degree classification” (Source 1)

Disabled Non-disabled

2005/06 56% 59%

2006/07 56% 59%

2007/08 58% 61%

2008/09 58% 62%

2009/10 59% 63%

2010/11 60% 64%

This shows the numbers of students gaining a first class or an upper second class degree. As

you can see, there is very little difference between disabled and non-disabled students

(source 23).

8

Reputation

Corporate reputation can have a large influence on customer loyalty and the bottom line.

“Developing an ethical corporate image can be fundamental to business success in a

consumer market driven by brand image. A business with a reputation for being socially

responsible can gain a significant competitive advantage in the market place and also

enhance its staff morale. Embracing diversity is a major facet of corporate responsibility, so

the ability to accommodate the needs of disabled staff and consumers is an essential

process in building a positive image. Instances of bad disability practices or discrimination

can cause substantial damage to an organisation’s reputation.” (source 4)

A study in America in 2006 found that 87 percent of consumers prefer to patronise

companies that hire people with disabilities (source 18), and that 92% of consumers felt

more favourable towards companies that hire individuals with disabilities.

A United Nations report in 2007 stated that “Studies have shown that there are other

benefits to employers of persons with disabilities, such as improved workforce morale and

increased customer goodwill” (source 20).

Sokolovský (2013) states “Suffice it to say that a more inclusive recruitment policy is not just

about making an irreversible and usually short-term investment of available funds into the

company’s image, but it also entails a gradual adaptation of the environment, relationships

and mentality of people (long-term and recurring). This can indeed be used for marketing

and image building (long-term), but also for well thought-out means for opening up a vital

segment of human resources. These people can not only be productive and useful, but also

extremely loyal” (source 24).

We found it difficult

to attract disabled

candidates, but once

the first two started it

got much easier.

I was a bit apprehensive

about employing

disabled people, to be

honest. But it turned out

to be the best thing we

ever did!

9

Corporate Social Responsibility

There is a view that good practice in the workplace can influence the values of society.

Disabled participants in a 2012 study (Source 3) stated:

“Many people feel that more positive attitudes to disabled people in the workplace can only

come from more general progress towards equality in wider society; they also saw a role for

employers in promoting inclusion and respect. Participants felt that attitude change would

be most likely to occur where disabled people and people with health issues were afforded

the opportunity to demonstrate their capabilities at work, and show colleagues in the

organisation the contribution that they could make.”

Apart from the obvious corporate benefits of Corporate Social Responsibility, employing

disabled people helps the economy. Research in 2007 suggested that improving the

employment rate of persons with disabilities would boost the UK economy by £13 billion

(source 21).

Sokolovský (2013) states “A relatively neglected part of the social pillar of CSR is the

inclusion of disadvantaged-disabled or otherwise handicapped people into the

organizational culture of the company. Here, I refer to aurally (hearing) and visually

impaired people, as well as people with physical disabilities. Prejudice plays its role in this

neglect, whether consciously or subconsciously, as well as fear of unforeseeable problems

at the workplace or a lack of necessary knowledge and information.

Physical and communication barriers are rapidly disappearing in the modern labour market,

which should have a favourable and positive effect on the inclusion of disadvantaged

employees. At the same time, however, psychological barriers based on patterns of thought

and the nature of today’s individualistic society, where diversity, selflessness and solidarity

are somehow not ‘in’, are growing. Pragmatist managers are inclined to plead, ‘no more

problems, please!’” (source 24).

We’ve actually won some awards

for our diversity policies, but the

real rewards come from working

with such talented people.

10

Understanding and Attracting Disabled

Customers

A third of people in the UK are disabled or close to someone who is. 10 million disabled

people live in the UK with a combined annual spending power in excess of £80 billion

(source 10).

Disabled employees can promote the organisation’s knowledge surrounding disabled

customers' needs and help deliver a better service (source 4).

Employing disabled staff can lead to an organisation increasing its understanding of this

market, and avoiding situations like this that were discovered in a survey carried out by

Business Disability Forum:

“83% of disabled people had 'walked away' from making a purchase, unable or unwilling to

do so. The most important factor was inaccessible premises. Other important factors that

discouraged disabled consumers from spending were poorly designed products and staff

that were not disability confident, rude or appeared prejudiced.”(source 10).

The good news is that “Over a third of disabled people said that good disability service was

the primary reason for choosing a provider or product. Two thirds choose businesses where

they have received good customer service related to their disability. Companies that tell

disabled people about the accessibility of their products attracted those consumers.”

(source 10).

For an average business, 20% of their customers are disabled people. A workforce that

reflects the diverse range of customers it serves, and the community in which it is based, is

good for business. (source 14).

Similar benefits have been found in America. “Disabled employees relate better to

customers with disabilities, who represent $1 trillion in annual aggregate consumer

spending” (source 17).

Watching Steve grow in

confidence and competence is

so rewarding. He’s one of our

best customer service people

now.

11

Staff Morale

“Employers of Choice” tend to be those employers who value and nurture their employees.

An employer who values their disabled staff is likely to be appreciated more by all staff,

disabled or otherwise, and attract and retain the best talent. A 2012 study states:

“[Disabled] participants felt that in many cases, the adjustments that they would like to

enhance their wellbeing and efficiency could also be positive for other staff. Giving all

employees the opportunity to say what they need to work better, even if these cannot be

implemented, will help foster an environment where asking for adjustments is more

normalised and people can feel more comfortable coming forward.” (source 3).

Also, employing disabled people can promote the benefits of inclusion amongst other staff

members:

“Disabled employees can become positive role models to challenge misconceptions

surrounding disabilities which may be harboured by some members of the organisation.

Consequently, disabled employees can raise disability awareness and help develop a more

inclusive culture in the organisation.” (sources 5 and 6).

Additionally, by observing that newly disabled workers are retained, co-workers may be

more confident that they could retain their job if they develop health limitations. They may

also have a greater sense that the employer cares about the workers and is willing to show

flexibility when accommodating a worker’s needs, regardless of whether it arises due to

health issues or other reasons (source 12).

By employing workers with disabilities, the hardware chain B&Q found that it had gained a

number of benefits, including increased overall employee satisfaction and better retention

and productivity rates (source 16).

He thinks differently from

most people – he’s come

up with some amazingly

creative ideas!

She took a little bit longer

to train than other staff,

but as she’s been here

for over 20 years, it was

fantastic value!

12

Additional Skills

Some disabled people can offer specific skills over and above non-disabled people. Most

disabled people, whether their impairment is physical, sensory, neurological, mental health

related or developmental (or a combination of a number of impairments) have had to

develop skills to manage the additional barriers they face every day. For example, creativity

and innovation in finding new ways of completing tasks. Creativity, determination and

persistence in finding different solutions to problems. Resilience in terms of constantly

having to find new ways of managing situations most people take for granted. Project

management in planning everyday activities. All of these skills are beneficial to employers.

Some disabled people have additional skills to offer over and above even these. For

example, people with dyslexia and dyspraxia may have a heightened ability to analyse

information objectively. GCHQ recognise this, and employ many dyslexic and dyspraxic

'neuro-diverse' spies to harness their analytical skills (source 27).

People on the autism spectrum tend to think differently from “neuro-typical” people,

meaning they can bring specific qualities to the workplace. Whilst it would be wrong to

make sweeping statements about any group of people (every person with autism is

individual and unique), they can share some traits which can be very useful to employers:

1. Intense focus

2. Working without supervision

3. Creativity

4. Passion leading to productivity

Global software company SAP are actively targeting recruitment advertising to people with

autism (source 28).

A study carried out by McKinsey (source 29) showed that people with Down Syndrome tend

to have characteristics that foster positive reactions in the workplace, which can contribute

to better organisational health. Qualitative and quantitative analyses show that having

people with Down Syndrome in the work environment can positively impact on five of the

nine dimensions that comprise McKinsey’s Organisational Health Index. These are

leadership, external orientation, motivation, culture & climate, and coordination & control.

These are just a few examples of advantages that people with specific impairments can

bring to the workplace. There are many more.

Please see some examples on a short film here (http://www.evenbreak.co.uk/resources-for-

employers) of ways in which some employers have gained business benefits by employing

disabled people.

13

Weighing up the Cost

Hopefully we have demonstrated that there are often many commercial benefits to be

gained by employing disabled people. However, in a small number of cases, these need to

be weighed against the cost of providing reasonable adjustments in the recruitment or

employment process. In most cases, the cost of making reasonable adjustments to

accommodate people is low, very often funded partly or wholly by the government, through

Access to Work (source 14).

Whilst employers might be concerned about the costs of reasonable adjustments, the

reality is that two-thirds of the reasonable adjustments made for disabled people cost

nothing at all and for the remaining third the average cost is just £75.

Access to Work can provide practical and financial help in the following ways:

� Special aids and equipment

� Travel to work

� Travel in work

� Support worker

� Communication support at interview

� Adaptations to premises and equipment

� Mental health support service

(source 15)

As a social firm, we only employ

disabled people. It’s not a decision I

have ever regretted!

14

Building a Business Case

Although most of the research in this document will apply to most organisations, the

emphasis and relevance will be different, and a tailored business case needs to be built for

each organisation.

� Review the business benefits

� Which are particularly relevant to your organisation? Are there specific issues your

organisation is trying to address? For some it may be high staff turnover, for others it

maybe a lack of disabled customers, or maybe too few disabled employees.

� Do you have evidence to back this up? Do you have measurements in place so that you

can measure progress?

� What impact would these benefits have on your organisation? Reducing sickness

absence, or staff turnover? Gaining more disabled customers? Improving your

reputation?

� How would you measure them?

� What will you do in order to gain those benefits? What needs to happen? Who do you

need to engage with and get on board?

� Do you now have enough evidence to put a business case forward? If so, when will you

do that? If not, how will you gain that evidence?

15

Sources

Source 1: Disability, Skills and Employment: A Review of Recent Statistics and Literature on

Policy and Initiatives. Riddell. S et al. Equality and Human Rights Commission, 2010

Source 2: Disability 2012: Facts and Figures. Scope, 2012

(http://www.scope.org.uk/sites/default/files/Scope-disability-stats-2012.pdf)

Source 3: Opening Up Work: The views of disabled people and people with long-term health

conditions. Adams, L. and Oldfield, K. Equality and Human Rights Commission, 2012

Source 4: The Business Case of an Inclusive Workforce. The Higher Education Academy

(http://www.usemyability.org.uk/resources/Business-Case-for-Inclusion.html)

Source 5: Stanley, K.et al. The Missing Million: Supporting disabled people into work,

Institute for public policy research, Emphasis, London, 2003

Source 6: Waterman, I. et al. Disabled Access to Facilities, A practical and comprehensive to

the service provider’s duties under Part III of the Disability Discrimination Act 1995,

Butterworths Trolley Lexis Nexis, London, 2003

Source 7: Vocational Rehabilitation: the business case for retaining newly disabled staff and

those with long-term health conditions. RNIB, 2011

Source 8: Ready for Work. DWP, 2007

Source 9: Marsden S. et al. The development of case studies that demonstrate the business

benefit of effective management of occupational health. HSE, 2004

Source 10: Business Disability Forum (http://businessdisabilityforum.org.uk)

Source 11: Employing People with Disabilities Boosts Business. Raconteur, 2013

Source 12: Economic and social costs and benefits to employers of retaining, recruiting and

employing disabled people and/or people with health conditions or an injury: A review of

the evidence. DWP, 2006

Source 13: Exploring the Bottom Line: A Study of the Costs and Benefits of Workers with

Disabilities. Economic Impact Study, 2007

Source 14: Employing disabled people and people with health conditions. DWP, 2013

Source 15: Access to Work (https://www.gov.uk/access-to-work)

Source 16: United Nations, Employment of persons with disabilities: Fact sheet 1, 2010

16

Source 17: Wall Street Journal, The Next Great Hiring Frontier, 2005

Source 18: Center for Social Development and Education, University of Massachusetts,

2006.

Source 19: Hall, H. (2002) cited by EEO Trust, Employing Disabled People, 2005.

Source 20: Decent Work for Persons with Disabilities. United Nations, 2007

Source 21: The Social Market Foundation, Disability, Skills and Work: Raising our

Ambitions, 2007

Source 22: Unger, D. Employer's attitude toward persons with disabilities in the

Workforce: myths or realities, Focus on Autism and Other Developmental Disabilities,

2002

Source 23: Office for Disability Issues (http://odi.dwp.gov.uk/disability-statistics-and-

research)

Source 24: Sokolovský, T. Corporate social responsibility and employing the disabled -

marketing, PR or untapped reserve? LLinE, 2013

Source 25: State of the Nation: Developing and Retaining Employees with Disabilities.

Business Disability Forum, 2015

Source 26: Center for American Progress. Nov 2012

Source 27: GCHQ employs more than 100 dyslexic and dyspraxic spies. Telegraph, 21

September 2014

Source 28: 4 Qualities of People With Autism That Could Benefit Your Business.

Entrepreneur, 23 April 2014

Source 29: The value that employees with Down Syndrome can add to organizations.

McKinsey, March 2014

For further information on how to attract disabled candidates, please see

www.evenbreak.co.uk