Valuing Diversity GloballyMatthew L. Eisenhard, Psy.D.Week 13: Psychology for Business & Industry

Diversity• Degree of differences among members of a group or organization.

▫ Major differences in the workplace include racial, ethnic, religious, gender, age, and ability.

▫ Valuing diversity means including all groups of people in all levels of an organization.

• Why is it important?▫ Companies that diversify do better.▫ U.S. population 312 million – world 7 billion.

Going global opens up larger markets.▫ 2040 it is estimated less than 50% of the U.S. population will be

Caucasian.▫ Diversity can be an asset – collaborate, generate new and novel ideas,

learn from each other.

Prejudice & Discrimination

• Prejudice is prejudgment of a person or situation based on attitudes (usually stereotypes).

• Discrimination is behavior for or against a person or situation.

Common Areas of Employment Discrimination• RECRUITMENT

▫ Failure to recruit possible employees from certain selected groups.

• SELECTION▫ Failure to hire people from certain groups.▫ 80% rule – adverse impact.

• COMPENSATION▫ Unequal pay for same jobs – white males make more money

than any other group.• UPWARD MOBILITY

▫ Race and gender are major influences on promotions.• EVALUATION

▫ Failure to base evaluations on job performance.

Valuing Diversity Training• Organizations of all types are training employees to

value diversity.▫ Not just to tolerate it!

Understand current and future demographics. View the organization from a global perspective. Recognize detrimental effects of prejudice and discrimination.

• To have effective human relations:▫ Tolerate differences.▫ Understand differences.▫ Have empathy for others’ situations in life.▫ Open lines of communication.▫ Be aware of and avoid tendency to prejudge and stereotype.

Equal Employment• Equal Opportunity Opportunity Commission (EEOC)

▫ Protects minorities from discrimination in the workplace.▫ No member of an organization is allowed to ask

discriminatory questions when hiring someone.▫ Guidelines – Bona Fide Occupational Qualifications

(BFOQ).• Affirmative Action (AA)

▫ Planned, special efforts to recruit, hire, and promote women and other members of minority groups (for firms doing business with federal government).

▫ Support has declined because “quotas” could not be met and reverse discrimination suits were filed.

Pre-Employment Inquiries• All questions need to be job-related.

▫ Only ask questions that are “legal.”

▫ General questions should be asked of all candidates.

• Bona Fide Occupational Qualification (BFOQ)▫ Allows discrimination on the basis of religion, sex,

or national origin where it is reasonably necessary to normal operation of a particular enterprise.

Legally Protected• MINORITIES

▫ Hispanics, Asian/Pacific Islanders, African Americans, Native Americans/Alaskan Natives.

• RELIGIOUS BELIEFS▫ “Reasonable

accommodations” for holidays.

• AGE▫ Over 40’s are protected.▫ Difficult to prove age

discrimination.

Legally Protected• DISABILITIES

▫ Americans with Disabilities Act (ADA) Significant physical, mental, or emotional

limitations. Also includes people with prison records, major

obesity, heart disease, cancer, mental illness, AIDS, and rehabilitation alcohol and drug abusers.

Law requires employers have “reasonable accommodations.” Disabled person can still be required to meet the same

productivity standards.

Legally Protected• ALCOHOL & DRUG TESTING

▫ 1 of 6 Americans have a substance abuse problem.▫ Costs estimated at over $86 billion per year.

Accounts for loss of productivity from absenteeism, health care costs.• AIDS & AIDS TESTING

▫ 40% of reported cases are heterosexual, 50% of newly infected adults are women. Transmitted via sexual activities, shared needles, infected mother of a

fetus, and blood transfusions.▫ Person infected with HIV or AIDS is protected under the ADA of 1990

and the rehabilitation act of 1973. ADA approach to contagious diseases states employers may disqualify a

person for employment if they are “a direct threat to the health or safety of others in the workplace.”

▫ 1987 federal laws in place barring discrimination against federal workers with AIDS. Also, disciplinary action for those refusing to work with someone with

AIDS.

Legally Protected• SEXUAL ORIENTATION

▫ Homosexuals (gays, lesbians). Homophobia is an aversion or discrimination

against a person based on their sexual orientation.▫ EEOC is supposed to cover.▫ As with age discrimination, is hard to prove.

Grounds for Sexual Harassment in Federal & State Courts• Any unwelcome behavior of a sexual nature.

• UNWELCOME SEXUAL ADVANCES▫ Propositioning – trying to establish an intimate relationship on or off the job.

• COERCION▫ Someone in power asking for sexual favor with stated or implied reprisal if not

complied with.• FAVORITISM

▫ If employees are rewarded for sexual favors, then those who refused or were not asked can sue.

• INDIRECT HARASSMENT▫ Being witness to others’ harassment.

• PHYSICAL CONDUCT▫ Actual touch is not required – unseemly gestures also constitute harassment.

• VISUAL▫ Graffiti – displays of nude pictures (or nude calendars.

Women & Sexual Harassment• Women are a legally protected group.

▫ Not a minority – actually a majority.• Sexual harassment difficult to prove due to its

subjective nature.• Most charges are against men toward

women – but can be vice versa or same sex.▫ Never heard about it until about

25 years ago – just not brought out publicly.

▫ Number of cases continue to increase.

Dealing with Sexual Harassment• It has a “subjective” quality – litmus test is

“comfort level.”• Let the other person know you are offended and

need to stop if you uncomfortable with:▫ Someone touching you.▫ Showing you sexually

graphic materials.▫ Telling off-color jokes.

• If it persists, report to authorities.

Dating Co-workers• A major influence on

attraction is proximity.• Office romance changes behavior and can affect

job performance.▫ Some companies have policies against dating co-

workers – and may fire people for it.▫ Same as marriage statistics – half of the

relationships fail.▫ Working with someone after a break-up can be

difficult and may lead to harassment.

Political Correctedness

• Means being careful not to offend or slight anyone by what we say or do.▫ Things that would be

detrimental to good human relations.

▫ Jokes can be very harmful – use with caution!

Sexism & Racism

• Sexism refers to discrimination based on sex.▫ Not just directed toward women.▫ Limits the opportunities of both sexes to choose

the careers they want.• Racism refers to discrimination based on race.

▫ Culture continues to promote stereotypes.• Job opportunities should be equal – based on a

person’s ability to perform.

Women in the Workforce• Self-assessment 13.2 measures your attitudes toward

women and minorities in the workplace.• Women make up 46.3% of total U.S.

workforce.▫ Women’s incomes are critical to family

financial support.▫ In general, women want both a career

and family.• Equal pay?

▫ Men are paid more for equal positions.▫ Especially in higher paid executive

positions.

Myths about Women Managers• Will leave when they have children.

▫ Research shows they stay on the job.• Too emotional to be managers.

▫ Studies show virtually identical emotional profiles between men and women in management.

▫ Men and women show no differences in leadership abilities.

• Not as committed to the organization as males.▫ Not proven to be true – commitment is equal on

the basis of gender.

The “Glass Ceiling”• Today, more women college grads than

men.• Women hold 51% of management and

professional jobs.▫ However, men more likely to get

promotions.▫ Women face many barriers in

corporate jobs.• Women hold only about 7% of senior

executive positions.▫ Many women opt to start their own

businesses.▫ Only 11 (2.2%) women CEO’s of

Fortune 500 companies. Down from 15% in 2010.

Progress of Minorities• Just like women, many are leaving corporate

America to start their own businesses.• Two advancement-related traits are:

▫ Strong desire.▫ Focusing on getting the job done.

• Networking helps – but women and minorities are at a disadvantage because they do not fit the “right” social mold.▫ Having a mentor helps.

Overcoming Sexism & Racism

• Avoid sexist and racist terminology.▫ Mail carrier, not “mailman.”▫ Women are not “girls,” nor men “boys.”

• Avoid swearing.• Be assertive – ask the offender to stop

– do not tolerate.• It it persists, report to supervisor.

Changing Family Roles

• Two income families became the norm in 1994.▫ Over half of all married couples

both work outside the home.▫ Number of people getting married has decreased.▫ Women still do most of housework and parenting.▫ 25% of children are raised by a single parent.

• Self-assessment 13.3 looks at your marriage knowledge.

Fathers’ Changing Roles• Strong father figures are

correlated with reduced criminality in children.

• More fathers routinely stay home to care for sick children.

• Some families find that a second paycheck does not always mean living better.

• The “gender flip.”▫ If mom makes more money,

she works and dad stays home.

Mothers’ Changing Roles

• Many of today’s moms work outside the home as well as being homemakers.▫ Career track moms.

Choose to stay on the job.▫ Mommy track moms.

Leave work and plan to return when kids are grown.

• Family Leave Act.▫ Both moms and dads have up to 12 weeks.▫ Know your rights: contact Department of Labor.

Parenting

• Many couples experience a drop in marital satisfaction following the birth of a child.

• Two guidelines to follow:▫ Engage in sensitive play.

Touch, hold, and talk to child. Give lots of praise.

▫ Develop a warm, loving bond. Make child feel safe and secure. Read more, less television.

Work & Family Balance

• Work-family spillover.▫ With technology, the lines between on the job and

at home get blurred.▫ Keeping a balance can be stressful.

• Good family relationships are important for total well-being and good job performance.

• Business magazines publish lists of best places to work.

Managing Diversity• Some organizations now have Chief Diversity Officers on

their executive teams.• Added work-life benefits are being offered.

▫ Telecommuting.▫ Flextime.▫ Cafeteria benefits.▫ Child care.▫ Work-life balance classes.▫ Wellness programs.▫ Tuition re-imbursement.▫ Employee assistance programs.

Global Diversity• Multinational companies

(MNCs) conduct a large part of their business outside their home country.▫ #1 challenge to business

leaders in the 21st century.▫ Cross-cultural relations

important.

• 7 areas of diversity (Hofstede’s Model)▫ CUSTOMS.▫ ATTITUDES TOWARD

TIME.▫ WORK ETHICS.▫ COMPENSATIONS

(PAY).▫ LAW AND POLITICS.▫ ETHICS.▫ PARTICIPATIVE

MANAGEMENT.

Handling Employee Complaints• Four step complaint model:

▫ LISTEN AND PARAPHRASE Listen to the full story – do not interrupt. Do not get defensive.

▫ HAVE COMPLAINER RECOMMEND SOLUTION Ask the person what they want.

▫ SET A TIME FOR FACT GATHERING AND A DECISION Do not procrastinate – do not promise a decision and then not

follow-through – the faster it is resolved, the better. Talk to others and get all of the facts first.

▫ DEVELOP AND IMPLEMENT PLAN Use complainer’s resolution if possible. Always make sure plan is implemented and a follow-up is

made.

Handling Customer Complaints

• Five steps to follow:▫ Admit the mistake.▫ Agree that it should not have

happened.▫ Ask what the customer wants

and tell them what you are going to do about it.

▫ Take action to make it up to the customer.

▫ Take precautions to prevent from happening again.

In Summary

• Prejudice and Discrimination• Major Laws Protecting Minorities and Women• Legal Questions for Job Interviews• Legally Protected Groups (Equal Employment

Opportunity Commission)• 6 Areas of Sexual Harassment• Sexism in Organizations• 7 Areas of Global Diversity• How to Handle Complaints

Summing it all up: Handling Human Relations Problems• Three alternatives:

▫ Change the other person.▫ Change the situation.▫ Change yourself.

Assess your abilities and skills. Develop new skills. Change your behavior. Get feedback and reward yourself.