American companies are cutting back programs that are intended to advance diversity, equity and inclusion (DEI), a new survey by LeanIn.org and McKinsey & Co. has found.
Corporate pledges to improve the number of women in the leadership pipeline have been slipping, with women of colour experiencing the sharpest effect.
LeanIn and McKinsey surveyed hundreds of American employers who admitted they were reducing the number of programs intended to advance women’s careers amid growing criticism against DEI initiatives.
The study, the largest on the condition of women in corporate America, surveyed 280 companies and found that the number of employers who placed gender diversity as a high priority dropped from 87 per cent in 2019 to 78 per cent this year.
Support for racial diversity has also dropped from 77 per cent in 2019 down to 69 per cent of employers this year.
For the first time in a decade, the US is witnessing a drop in corporations’ commitment to both gender and racial diversity — a phenomenon which co-founder and CEO of LeanIn Rachel Thomas said is “concerning.”
“We are far from the representation we need for women,” Thomas said. “We are far from the workplace delivering an experience for women that is truly fair, equitable and respectful.”
“I would call [the findings] a mixed scorecard for Corporate America. The fact that there has been a decline in commitment to gender and racial diversity has been concerning — we need [corporations] to lean into the momentum, and they are at risk of stepping back.”
LeanIn founder Sheryl Sandberg said the survey demonstrates the importance of continuing to commit to diversity in all its forms.
“We know that more diverse teams do better,” Sandberg said. “We know that companies that take advantage of the full labor force do better.”
“This is an opportunity for us to make sure that commitment doesn’t wane because that commitment is so important.”
The study, a partnership between consulting firm McKinsey & Co. and advocacy group Lean In, also found that the rate of sexual harassment in the workplace has not reduced in the last five years.
Roughly 40 per cent of working women reported experiencing sexual harassment during their careers, including sexist jokes made in their presence and receiving obscene comments from their male colleagues.
Women in their 20s reported similar rates of sexual harassment compared to women in their 30s and 40s and beyond, indicating that the problem has not been tackled in a substantial manner.
Alexis Krivkovich, senior partner at McKinsey, described the issue as “incredibly troubling.”
“We don’t see movement with young women in how frequently they describe experiences of sexual harassment in relation to their older peers,” Krivkovich told CBS MoneyWatch.
“The fact that women are so concerned that if they reported it, it wouldn’t be effectively managed likely leads to a number of incidents not being accounted for. Women have stayed ambitious.”
Advocates for DEI initiatives believe their opponents have been energised by the Supreme Court’s ruling last year that reversed affirmative action in college admissions — a decision which has already seen a significant drop in the number of minority students enrolled in the country’s most prestigious Ivy League schools.
“It’s hard to imagine that’s not having some impact on organisational commitment and investment,” Thomas said, referring to the allegations by critics that minorities are being given jobs and promotions over more qualified candidates.
“There is a pushback in the zeitgeist about diversity equity and inclusion. I do think that’s what we are seeing. [But] when companies really have a deep focus on driving change, the numbers can really move and we can really see progress. And, at the same time, if they take their foot off the gas, the progress often drops away.”
“We know women have stayed ambitious over the last 10 years despite all the headwinds.”
Krivkovich agreed, adding “When we get under the hood, it’s clear those gains are really fragile.”
Despite these latest findings, some good news has emerged from the report.
For instance, women now make up 29 per cent of C-suite roles or top executive positions such as chief executive or chief financial officer — a rise from 17 per cent in 2015.
Unfortunately, progress has been much slower in the early stages of the pipeline at the entry and manager levels. For women of colour, the trends are even more discouraging, with Black women experiencing the greatest drop in representation in the early stages, and Latina women the most underrepresented at the beginning of their careers relative to their population.
“I think about keeping women and women of colour satisfied and staying with the organisation and the biggest thing companies could do is to make sure they are not being reviewed more harshly than their peers,” one respondent, a senior manager who identified as Latina, said in the survey. “Often, we are held to higher standards than our peers, which impacts us for salaries or promotions.”
Krivkovich wants to encourage women to take-charge in their workplaces.
“Don’t sit back and wait for things to unfold organically in terms of your sponsorship, your mentorship network, the presumption of your ambition and the opportunities that come your way,” she said.
“For all those things, you have to play a proactive role.”