Creating an inclusive work culture has many benefits, but it can often take a long time to achieve. If you’re part of an organization that is in the beginning stages of implementing a Diversity, Equity, & Inclusion (DEI) strategy, a mentorship program is a good way to move your DEI efforts forward. Mentorship programs provide one way to create a diverse, equitable, and inclusive workplace culture that attracts and retains talent.

Mentoring refers to one-on-one relationships between a mentor and mentee, where the mentor shares their knowledge, skills, and experience with the mentee to assist in their development professionally and personally. Typically, these relationships are centered around professional interests, but can also cover and expand into one’s personal life.

Research supports the notion that mentoring is a vital component when steering towards an inclusive work culture and retaining diverse talent. A study from Moving Ahead found that 87 percent of mentors and mentees feel empowered by their mentoring relationships and have developed greater confidence in both the workplace and in their personal lives. Additionally, multiple studies prove the benefits of successful mentoring programs, including greater career success for individuals and higher levels of employee engagement, retention, and knowledge-sharing for organizations.

From a DEI lens, mentorship programs can substantially benefit marginalized employee groups. According to a Forbes study, women and underrepresented groups were more likely to say that mentoring was an important aspect of their career. Mentors play a valuable role in the career progression of diverse talent. In one article from Harvard Business Review, the career progressions of minorities at U.S. corporations were examined and found a distinct result. “People of color who advance the furthest all share one characteristic—a strong network of mentors and corporate sponsors who nurture their professional development,” says the author. This research demonstrates that mentorship may be a crucial element to the career progression for minorities. Bringing a mentorship program to your organization could be a fundamental element missing from your DEI program.

According to an American Psychological Association article, I/O psychologist Victoria Mattingly, PhD, founder and CEO of Mattingly Solutions, stated when it comes to mentors, it’s important that women seek out both mentors, who can provide career guidance, support, feedback, and knowledge, as well as sponsors, who go beyond the role of mentor and use their position and influence to proactively advocate for a junior employee’s advancement. “Research shows that sponsorship is more effective at helping advance into leadership positions than mentorship,” Mattingly said. “Mentors are great as a sounding board and to provide guidance, but when the rubber hits the road, you need someone who will speak up for you when you’re not in the room.”

Implementing a mentorship program will help all employees flourish within the organization and allows those from marginalized groups to receive the additional guidance and support they need to achieve upper management and leadership roles within the company.

Some reasons why mentoring is a foundational component of a DEI program:

• Increased employee engagement and employee retention by improved job satisfaction with an inclusive work culture. Mentoring can provide opportunities for skill development, increased productivity, and internal networking as employees develop into leadership positions or assume new responsibilities.
• Improved connections between leadership and the organization workforce. By creating a mentoring program that promotes more connection between executives, upper management, and the rest of the workforce, the enterprise social network becomes much more inclusive, paving the pathway for a more representative leadership pipeline.
• Diversity of Leadership. A mentor/mentee relationship with someone who has succeeded at the highest level is beneficial for any developing professional, but it’s particularly important for those who are from marginalized communities. By adopting the right formal structure, mentoring programs are found to be quite effectiveat improving the movement of minority mentees into leadership positions. A study found that mentoring, in comparison to other corporate tactics (such as mandatory diversity training, grievance systems or job tests), increased marginalized employee representation among managers in the workplace anywhere from nine to 24 percent.

Mentoring programs are beneficial to overall company retention efforts and DEI strategies. It is important to be thoughtful about how these programs are structured to ensure good representation in mentees and mentors when it comes to diversity. Otherwise, it can become another workplace program that feels exclusionary. Contact us today to learn more about how PrestigePEO can support your DEI efforts.

An Employee Resource Group is a group of employees with shared and similar identities or interests. They may be characterized demographically by categories such as race, gender, sexuality, or physical ability. For example, an organization may have an ERG for Black, Veteran, Disabled, and/or LGBTQ+ employees. Employees voluntarily participate in an ERG at their organization for various reasons, not least of which is to feel supported and included. ERGs can go a long way toward enhancing an atmosphere of inclusion at your company. ERGs across the United States have connected groups of employees who share interests and identities. Today, 90% of Fortune 500 companies have ERGs.

ERGs are important for businesses because they can help boost feelings of inclusion for underrepresented segments of workers, attract new talent, and improve the retention of employees who identify with underrepresented segments. ERGs give marginalized workers a voice and platform, provide access to sponsorship opportunities, and allow recommendations for improvements in internal processes. While creating an inclusive workplace, ERGs can advance an organization’s DEI strategy in several ways. These include the following.

• Foster inclusion by helping employees feel they belong and are part of a community, especially through connections that counter the feelings of being an “only” within an organization.
• Improve diversity by supporting the career advancement of their members, foster sponsorship within or outside the ERG, and improve the retention of underrepresented groups.
• Promote external impact within local communities by helping improve brand visibility through volunteer activities and charitable giving to causes that ERGs consider important.
• Through ERG inputs, companies better understand their customers and can cater products to underrepresented groups. ERGs also help reform business operations, for example, when members of underrepresented groups call attention to unfair processes.

Before making the decision to implement Employee Resource Groups within your company, you may want to consider a few things. Is your company ready to support the formation of ERGs?  Have you identified a clear purpose and objective for the ERGs? Have you gained support from management at all levels? Have you identified operating guidelines for the ERG? What type of support is the company willing to provide to the ERGs? Are there any controls in place over ERG communications? For ERGs to be effective, the company must ensure clear communication about the ERG’s purpose and goals, align each ERG’s activities with the corporate DEI strategy, and provide sufficient organizational support to ERGs and ERG leaders.

We continue to see changes in workplace culture. Employees are more inclined to select and stay with an organization that aligns with their personal values. They want to be part of an organization that aligns with their views and where they feel like they belong. Employees want to feel heard, know that they have a voice, and can be involved in creating solutions to make the workplace inclusive and fair. The opportunity for organizations is clear: to position their ERGs as sources of ideas and engines for change. When managed well and supported properly, ERGs will become powerful enablers of your organization and your employees’ success. For more information on PrestigePEO’s DEI services and guidance, please contact your HRBP found under your PrestigePRO dashboard. If you are interested in PrestigePEO’s HR services including DEI practices, please click the button below to learn more.

DEI budget planning should be part of the overall organizational fiscal discussions, ensuring your business institutionalizes the allocation as part of the company’s current and future budgetary planning. If your business has a DEI leader, it is highly encouraged to collaborate with that person and with other department heads at your organization. If you do not have a dedicated DEI lead, each department should consider the integration of DEI as part of their budget plans.

Your organization’s DEI budget will depend on your goals and objectives. What are you hoping to get out of your DEI initiatives? DEI can help with increasing the diversity of your recruiting efforts and training programs to create a more inclusive culture.

You can target the distribution of the budget to areas across functions, either by department or by business activity, such as training, marketing, recruitment, philanthropy, and others. Here are more suggestions for how your organization could facilitate DEI development:

• training workshops
• holiday and culture celebrations
• exploring new markets to benefit a core diverse customer segment
• improving communications related to diversity
• improving supplier diversity and sourcing from minority-owned businesses
• charitable giving

Catalyst, a global nonprofit that helps to build workplaces that work for women, states that 82% of its member companies have a specific budget for diversity programs and activities. These budgets range broadly from $10,000 to $216 million, with a median budget of $1.2 million. Almost half of the respondents reported allocating the most significant percentage of their overall diversity budget to diversity and inclusion training programs.

• Make DEI an intrinsic value for the entire organization by embedding it in the budget process.
• Promote widespread institutional change by making DEI programs a priority and a permanent line item in all budgets.
• Encourage managers to consult with DEI leads and engage in innovative, long-term planning by creating a permanent, reliable funding source.
• Ensure all of your organization’s leaders are actively taking part in and contributing to the strategic plan for enhancing diversity, equity, and inclusion.

Aubrey Blanche, the Global Head of Diversity and Belonging at Atlassian, reinforces the idea of raising standards, stating that “a lack of diversity is the first indication that a company isn’t a meritocracy”. Blanche believes that before you spend enormous sums of money on DEI workshops and training, it’s crucial to understand the why behind the training.

Your first step will be complete once you can look inwards, recognize the areas for improvement in your organization, create goals, and infuse them into your company’s mission. Only then can you generate the right path for your company to follow.

As you begin or finalize your budget process, PrestigePEO encourages you to take DEI initiatives into consideration. Establish solid DEI goals and be patient, persistent, and practical. Continue to focus on building awareness and support for diversity, equity, and inclusion principles as core values at your organization. If you need help bringing DEI to your company, PrestigePEO is here to help. Learn more about our diversity committee and contact us today to hear what a partnership with a PEO can offer.

Seeing other Executives of color in leadership positions that younger employees of color can aspire to be can serve as a great retention tool.

The responsibility for diversifying and retaining Latino talent cannot rely solely on senior Latino leaders themselves. This is why sponsoring younger professionals across racial and ethnic differences is imperative.

Bias can have a negative impact on Hispanic professionals and their careers within evaluations of their performance. Thus, employers should structure their performance evaluations to ensure sure bias is removed.

Hispanic culture has powerful values related to work ethics and duty to family. It is common for Hispanic professionals to financially support their families during their academic & professional careers. This honorable multi-year commitment to family can impact Hispanic professionals’ career advancement negatively as these familial commitments can come at the expense of developing and deepening professional relationships that often lead to advantageous career opportunities. Understanding their values can help employers know their workers on a deeper level and serve their needs.

Before we can understand the racial gap in financial literacy, we must first understand what financial literacy is. Investopedia defines “financial literacy” as a noun that describes a person’s ability to understand and utilize financial skills, which can include budgeting, investing, and managing personal finances. Financial literacy plays a large part in one’s economic well-being, which describes how financially comfortable an individual is, their ability to make ends meet, and make sound financial decisions.

A national survey conducted by the Financial Industry Regulatory Authority (FINRA) shows that financial literacy is the lowest among young people, women, and people with less education. These demographic features intersect heavily with race, targeting the most marginalized groups within American society. Here, Asian American and White test takers often scored higher than Hispanic, Black, and Native American test takers. It is important to note that these marginalized communities suffer from higher levels of financial difficulty and distress than the white majority.

Financial education comes from several sources. Families can pass down financial literacy tips, schools can teach students about financial literacy, and workplaces can financially educate employees. Marginalized communities don’t have the resources to build a strong sense of financial literacy. Thus, they cannot pass down their learnings to their youth, creating a cycle in which communities of color cannot pass down financial wisdom to the younger generations.

The Global Financial Literacy Excellence Center for Black communities found that a lack of financial literacy correlates with a lack of risk comprehension and an inability to identify information sources that can help one’s economic well-being. Thus, equal access to financial literacy education is crucial, as well as having financial education tailored to the needs of marginalized communities to help amend the racial gap.

It is important to note that closing the racial and financial literacy gap in the United States may not solve the issue overall. Furthermore, marginalized people cannot close the racial wealth gap through individual behavior alone. Personal responsibility for one’s financial literacy still leaves the structural sources of racial inequalities standing. So, while expanding financial literacy education in schools and marginalized communities is helpful, it is not a one-size-fits-all solution. Changing state and federal laws for financial education can help standardize what resources are given to all communities, thus giving every student equal access to financial literacy. On top of raising public awareness, employers and business owners have the power to help close the racial gap in wealth and financial literacy.

To view more information on the job quality issues for marginalized people and equal pay, you can view our blog posts on Job Quality Issues for the Hispanic Community and Equal Pay.

Closing the racial gap in financial literacy and contributing to closing the racial wealth gap in America also relies on the choices and actions of business owners.

Having DEI initiatives at work can help eradicate discriminatory hiring practices that keep marginalized people from high-paying jobs. These initiatives can also help workplaces support their diverse employees, as many people of color and women experience pay inequity and a lack of career growth opportunities.

Here, employers can provide access to financial advice, counseling, and education with support such as planning for college costs, reducing debt, and strategizing retirement. These efforts can contribute to closing the racial and financial literacy gap and open opportunities to shrink the racial wealth gap. However, employers will also benefit from increased employee satisfaction and retention. Employers have the power to create more widespread financial literacy inside and outside of the workplace, while empowering employees to take their business to the next level.

If you’re interested in providing DEI training at your company, refreshing your hiring practices, and other important HR strategies, PrestigePEO can help. Our team of HR specialists can help you with HR management, employee benefits, retirement services, compliance, payroll, and more. Contact us today to learn more about how we can support your business as you move forward.

Sources:

https://www.investopedia.com/the-racial-gap-in-financial-literacy-5119258

https://gflec.org/initiatives/financial-literacy-and-wellness-among-african-americans/

https://www.annuity.org/financial-literacy/black-community/

https://www.businessinsider.com/fixing-racial-wealth-gap-will-take-more-than-financial-literacy-2020-7

https://hbr.org/sponsored/2021/11/financial-equity-and-inclusion-should-be-part-of-your-dei-programs

• Suicidal comments, feeling hopeless, trapped and/or in unbearable paid
• Increased use of alcohol and drugs
• Withdrawing or isolating
• Anxious or Aggressive behavior
• Impulsive or reckless behavior
• Extreme mood swings
• Assessing different ways in which one can end their life
• Giving away possessions
• Tying up loose ends, like organizing personal papers or paying off debts
• Saying goodbye to friends and family

1. Bluntly, Ask the Question(s). Are you thinking of committing suicide?
2. Be There and Listen with compassion, empathy. Leave the judgments behind.
3. Keep Them Safe. Remove any immediate danger and call the 988 hotline.
4. Help Them Connect. Help locate immediate support systems.
5. Follow up. Check-in with a text message, call, or a form of communication.

Be sure to check out the complete 5 Action Steps on #BeThe1To.

These are just a few resources and tips to help spot warning signs and provide support to those in need. Individuals can help their friends and family – meanwhile, employees and business owners can utilize these tactics to create a more inclusive and psychologically safe workplace. We hope these suggestions are helpful, and we encourage you to reach out to us if you have any questions.

The Hispanic and Latino community is often disproportionately prevented from advancing into higher-paying jobs. Consequently, Hispanic and Latino workers make up a majority of people in low-quality yet crucial job sectors. Restaurant workers like line cooks, dishwashers, and bussers as well as cleaners like janitors, maids, and housekeeping workers, are often represented by the Hispanic and Latino community. These roles are essential to our community and our workforce but are undervalued as “unskilled labor.” Unfortunately, these industries are also prone to safety violations, wage theft, and other violations. Hispanic and Latino workers often experience a language barrier, lack of opportunity to pursue higher education, and discrimination, all of which cause these workers to be exploited and mistreated.

The Los Angeles Times reported that “the U.S. Commission on Civil Rights found that when everything is equalized — education and age, for example — and no matter what the economic climate, minorities, and women still come out on the short end of the employment stick.” This research strongly indicates that discrimination is a significant factor in why these underrepresented groups still experience inequality in the job market. The Hispanic and Latino community are overrepresented in industries where labor law violations are prevalent because discrimination, biases, and barriers prevent them from moving upward.

The longer the Hispanic and Latino community is kept in low-paying jobs, the more difficult it is for this community to achieve safe, high-quality jobs with sustainable benefits. It also prevents this community from accessing higher education, medical treatment, the ability to afford unpaid internships, and other opportunities. According to a recent study, the wage gap for the Hispanic and Latino communities is as high as $288 billion per year. “Latinos are greatly underrepresented in higher-paying jobs and are paid less in the same fields as non-Latino whites,” reported NBC News. Further, this community is less likely to get approved for funding to start their businesses and more than 70% of prospective Hispanic business owners are forced to use their savings. Many communities have pay gaps, including women, people of color, LGBTQIA+, and more. (We examined this disparity in a recent blog post – read it here.)

When thinking about the inequity in the Hispanic and Latino community, it’s important to remember that there are ingrained, systemic issues preventing this community from receiving equal treatment and opportunities. It is not as simple as just raising a few salaries – we must look at this issue from all angles.

Now that we’ve explored the inequality for the Hispanic and Latino community, what can business owners do to combat this issue? An essential first step is to examine your hiring practices for potential instances of unconscious bias. There are many ways we can be biased in our hiring practices without even realizing it. You may prefer one name over another without recognizing that the difference is one name is male and the other is female, or you may choose a name that sounds “familiar” over a name that could be from another culture. Without intentionally discriminating against these candidates, this type of bias can and does still happen. It’s important to acknowledge that everyone has biases. We highly recommend providing robust and ongoing DEI training so your staff can learn, challenge their assumptions, and grow as professionals while creating an environment that values DEI.

Further, take a look at the way your company is portrayed online. How much diversity are you showing? Consider posting job ads and landing pages in Spanish and English on your website. “Young LatinX job seekers are often digitally savvy and comfortable communicating in both English and Spanish. However, they are also committed to preserving Spanish at home. A company that goes the extra mile targeting Hispanic talent by creating Spanish landing pages will go a long way,” reports Censia. It may seem like a catch-22 to try and portray a diverse team when you are struggling to recruit diverse team members, but it is certainly possible. Be sincere in your efforts, demonstrate how important diversity is to your organization, and you will begin to attract the talent your business needs.

The Hispanic and Latino community experience many barriers that prevent them from receiving the same opportunities and career paths as their White counterparts. As business community members, we must recognize these barriers and do our part to promote equal opportunities for everyone.

If you’re interested in providing DEI training at your company, refreshing your hiring practices, and other important HR strategies, PrestigePEO can help. Our team of HR specialists can help you with HR management, employee benefit plans, retirement services, compliance, payroll, and more. Get in touch with us today to learn more about how we can support your business as you move forward.

The conversation about pay inequity began with the gender wage gap, which refers to the difference in earnings between men and women. On average, women earn just 82 cents for every $1 earned by a man. It is important to note that this pay gap is calculated across all industries, not simply comparing men and women of equal positions and experience. Doing so also encompasses other factors that cause the wage gap like the industries that men and women work in. Women are often pushed out of industries like building and construction, considered “male” industries, and into jobs like aides, care workers, and others. The industries that women commonly work in offer lower pay and fewer benefits than male-led industries, so it is important to keep this in mind when considering pay inequality between genders.

Further, because the burden of care for children is disproportionately expected of women, they often have less work experience than men. They work fewer hours because of these unpaid obligations, which can hinder career growth and can limit women in the promotions they can attain. In a situation where a man is promoted to a higher position because he has more experience, consider that a woman may have had fewer opportunities to achieve that same experience.

The following conversation that presents itself during this month addresses race. When we say that women earn 82 cents to every dollar a man makes, this only applies to white men and women. The wage gap increases for women of color, and men of color do not earn as much as their white male counterparts. The opportunities to advance careers don’t present themselves for non-white individuals as often as for white men and women, which causes the same inequity we have learned exists between white men and women discussed in the previous section.

Unconscious biases or outright racism can prevent non-white workers from receiving experience, education, and career development opportunities. Equal Pay Day is a poignant reminder of the inequity that still exists today in the workforce. Did you know that there is more than one Equal Pay Day? The first date falls on March 15^th, representing how many additional days women must work to earn the same amount as men. But that date represents the inequality experienced by white women, and the pay gap varies significantly among other communities. Therefore, additional Equal Pay Days were added to the calendar to reflect that non-white women face further hardship. This article from the American Association of University Women (AAUW) lists when the Equal Pay Days fall in 2022. These dates move each year as the pay gap widens. Additionally, you can learn more about the wage gap for women of color here.

More recently, the conversation about pay inequality has also recognized the pay gap experienced by the LGBTQIA+ community. An Equal Pay Day was designated for the LGBTQIA+ community on June 15^th this year to coincide with Pride Month. Still, this date does not accurately reflect the wages it takes this community to earn an equivalent amount as their heterosexual counterparts. This is because the United States has never captured this data, meaning that we cannot quantify this gap. As non-white women suffer more severely from pay inequality than white women, these difficulties increase for non-white LGBTQIA+ individuals, especially those who are transgender. For example, the Human Rights Campaign reported that 58% of transgender people of color had their hours reduced during the pandemic, which was the highest figure of any group surveyed. 26% of transgender people were laid off due to the pandemic, compared to only 12% of the general population. More data is needed to assess the inequality experienced by the LGBTQIA+ community accurately, but we can safely assume that this community also suffers from unequal pay.

Now that we’ve explored the communities affected by a pay gap, as business owners, what can you do about it? An essential first step implementing diversity education and, ideally, a DEI committee. Unconscious bias can often be the source of many of these issues. By educating each employee, you can contribute to the process of a more enlightened business community in the future. On a more macro level, you can look for pay inequality within your workplace. Conduct a pay audit in your organization to see who might be affected. You can work towards work towards leveling out these gaps with pay adjustments based on the results of the audit. You can also make huge strides towards change by examining your hiring practices. Clearly state the salary range on your job postings and do not ask for a candidate’s pay history when determining how much you will offer. In an effort to combat salary inequality, many states now ban employers from asking for a candidate’s salary history to determine a job offer. These two factors can make it extremely difficult for an individual to overcome pay inequity. More change is needed on a federal and state level, but if all businesses began practicing these processes, we could move closer toward pay equality for all.

Pay inequality affects so many communities that it can seem an impossible challenge to tackle. But we can take necessary steps forward by making changes in your organization and serving as an example for the business community. At PrestigePEO, we are proud to partner with our clients to assist in these matters and more. Your team of HR professionals can help you conduct a pay audit and address any inequity within your business. We can also provide access to training and help to conduct diversity training and assist with revamping your hiring practices for increased transparency. You’re not in this alone – PrestigePEO is ready to assist your business with HR management, employee benefits, retirement services, compliance, payroll, and more. Get in touch with us today to learn more about how we can empower your business.

The phrase “preferred pronouns” has become popular in the last few years. While it stems from the best of intentions, avoid using this phrase. Someone’s pronouns are not what they prefer, they are how they identify.  By calling them preferred, it implies that the pronouns are optional, which they are not. This is a simple tweak that could mean a lot!

Including your pronouns is something many people have started to do on social media sites like Facebook and LinkedIn. Consider making this inclusion a company-wide effort by putting them in your email signatures! Including your pronouns helps to make sure that people aren’t making assumptions about your gender identity just by looking at your first name. However, we recommend keeping this optional – be mindful that making this a requirement for all employees could cause discomfort for your employees that may not be ready to identify their pronouns to their colleagues. The goal is to be inclusive and create a welcoming environment, not one that makes any of your team members uncomfortable with pronoun selection.

One of the systems that have lagged in modern gender identification is the healthcare system. As much as possible, we should begin to change these practices so that everyone can accurately identify themselves. At PrestigePEO, users can select from several gendered options to supply accurate information about themselves when signing up for services like health insurance. Having to choose between male and female when you are nonbinary is demoralizing, so updating these systems could mean a lot to your non-binary employees.

These are just a few ways that you can create inclusivity at your workplace! We hope these suggestions are helpful, and we encourage you to reach out to us if you have any questions.