The diversity management approach to equal employment opportunity in Australian organisations.
Burgess, John ; French, Erica ; Strachan, Glenda 等
Introduction
Australia has a mosaic of anti-discrimination and equal employment
opportunity (EEO) laws covering the workplace, designed to provide
protection against direct and indirect discrimination for such groups as
women, the disabled, older employees and gays and lesbians, as well as
other legislation designed to promote career opportunities for women.
These legislative requirements are in turn supported through industrial
agreements, and through organisational policies. Often, the resulting
policies and programs within organisations proclaim workforce diversity
as an asset, and are based on the claim that diversity can be harnessed
towards organisational objectives. Thus increasingly, workplace equity
programs have been brought under the broad label of managing diversity
(MD). Yet, there have been few attempts to evaluate the 'big
picture' of diversity management in Australian organisations. Here,
the aim is to review MD in Australia, place it in its legislative
context, examine the drivers for MD, discuss their relationship to
legislative measures promoting equity, and examine the practice of MD.
Shifting responsibility for achieving equality objectives to
organisations makes sense in terms of efficiency. However, the practice
of MD is itself diverse (Strachan et al 2010), and even where there is
some prescription and guidance such as in the Australian EEO
legislation, the outcomes are variable (Burgess et al 2007). We thus
explore the rationale of MD, examine the legislation support equity in
the Australian workplace and discuss some organisations that have been
selected as 'best practice' exemplars in terms of their EEO
reporting.
What is MD?
Managing diversity (MD) has its origins in the USA in the context
of affirmative action policies and a rapidly changing workforce
demographic (from white males to increasing numbers of women, Hispanics
and Afro Americans). In the words of Thomas (2001), anti-discrimination
and affirmative action legislation had provided the 'entry
tickets' into the workforce, while MD was about productively
building on this entry. Kirton and Greene (2005) point out that the US
context of MD is very specific to legislative, political and demographic
conditions, and that MD as a business process is not necessarily
transferable to EU nations. Similarly in Australia, one has to be
cognisant of the specific legislative and demographic context of MD
policies. MD is also organisationally specific. MD is confined to those
organisations that are sufficiently large to have diverse workforces and
to have an HR division that is responsible for workforce management and
development. MD is individualised in the sense that each organisation
develops its own program subject to its own needs and those of its
employees. Indeed, the programs could be individualised to satisfy the
diversity needs of each employee. While programs must conform to
universal legislative conditions such as anti-discrimination laws, the
authority for MD comes from within the organisation. In this context, MD
can be said to be fluid and evolving, subject to development and change
as the organisation evolves in terms of its employees, business
conditions, and the prevailing organisational objectives. It follows
that MD is inexorably linked to organisational goals, and hence
discussions of MD are invariably linked to the 'business case'
for MD (Holterman 1995).
Diversity itself remains an unclear concept. It is contextually
specific and linked to demographic and socio-political features of the
population and the workforce. Diversity is a selective concept in that
some but not all physical characteristics are incorporated into MD
programs (Moore 1999). Diversity also has invisible and hidden aspects
that include culture and attitudes (Moore 1999). MD programs in general
mimic or reflect legislative programs that prohibit discrimination and
encourage EEO opportunities within the workplace, and hence many MD
programs support such groups as women, ethnic minorities, older workers
and people with a disability. There is a tension between diversity as a
factor that generates forms of exclusion and inferior material outcomes
in the labour market, and diversity as a factor that can be harnessed
towards improving organisational performance. While diversity is
embedded in worker difference and notions of equality and justice, the
broader equity goals linked to MD are not necessarily the terms by which
MD programs are assessed within the organisation.
MD offers an individual-based approach to disadvantage and is a
program of self-regulation by business. MD seeks to recognise, value and
utilise differences between individuals rather than dilute or deny that
the differences exist. Some argue that managing diversity is radically
different from affirmative action (Kandola and Fullerton 1994; Thomas
and Ely 1996), while others support the view that one offers an
extension of another (Thomas 1991, 1996; Liff 1999). The four main
characteristics that differentiate the diversity from the equality
approach are that differences are viewed positively; differences
attached to group membership are downplayed; the business case rather
than the social justice case is predominant; and a transformation in
organisational cultures is required (Kirton and Greene 2005).
The Australian Legislative Context for MD
MD is a voluntarist process on the part of organisations that
addresses the diversity of employee needs and recognise employee
difference. This voluntarist approach needs to be differentiated from
legislative norms that are compulsory and may also themselves embody MD
principles. In Australia there are binding regulations that address
diversity, discrimination and equity issues in the workplace. The
substantive legislation regarded broadly as equity legislation in
Australia now totals more than twelve Federal and State Acts and
incorporates two approaches, anti-discrimination and affirmative action
(also known as equal opportunity). The anti-discrimination legislation,
according to the Convention on the Elimination of All Forms of
Discrimination Against Women 1981, has dual obligations of both
prohibiting discrimination and ensuring equality of outcomes (Sex
Discrimination Act 1984). Focusing on equality of individual rights, it
is concerned with redress and remedy for any breach. The affirmative
action/equal opportunity legislation includes those Acts that stipulate
a systematic approach to the identification and elimination of barriers
that disadvantaged groups encounter in the workplace. It aims to
overcome entrenched discrimination by requiring positive steps to
change. It is not concerned with individual instances of discrimination
(Ronalds and Pepper 2004). In the Australian private sector, the
legislation focuses on women. In the Australian public sector, other
groups included are: Indigenous Australians; people with a disability;
and people from a non-English speaking background (French et al 2010).
Anti-discrimination legislation makes it unlawful to make
discriminatory actions in the workplace based on a number of identity
differences including sex, race, religion disability, age and others.
Anti-Discrimination Acts in Australia identify and prohibit direct
discrimination and indirect discrimination (where a requirement or
condition is more likely not to be able to be complied with by members
of one group and is unreasonable in the circumstances) (Ronald and
Pepper 2004). According to Ronalds (1991: 10), the legislation has a
symbolic effect as it identifies 'that there are certain actions
and forms of behaviour which the majority of society no longer find
acceptable.
In Australia there are practical problems in taking an
anti-discrimination case, resulting from the array of inconsistent
legislation available; complexity of definitions and interpretation,
including issues of coverage; exemptions and redress available
(Charlesworth et al 2002). The possibility of remedy is also
questionable as direct, intended discrimination is less likely to occur
than discrimination that is unintended, indirect and systemic.
Affirmative action (since 1999 more commonly referred to as equal
opportunity) legislation is also based on opposition to the
neo-classical economic view of a free and competitive market system, but
in contrast to the anti-discrimination approach, it seeks to move beyond
individual, universal solutions and reactive methods of addressing
unfair discrimination. Instead, it encourages the analysis of systemic
or structural discrimination in order to design appropriate proactive
remedies at an organisational level (Ronalds 1991). The recommended
approach to systemic change is one based on different treatment of
individuals within a collective group, in order to overcome natural or
social difference (Poiner and Wills 1991).
Australia's principal affirmative action/equal opportunity
legislation, the Equal Opportunity for Women in the Workplace Act 1999,
was not intended to provide positive discrimination for women but to
ensure that women were not disadvantaged by virtue of their sex through
biased terms, conditions and entitlements in employment (Strachan and
Burgess 2001). Individual enterprises (with more than 100 employees) are
responsible for the implementation of an equal opportunity/affirmative
action program. The Act includes the requirement of a regular analysis
of current employment statistics and workplace practices. Accountability
is ensured through direct reporting to a government agency, and the
penalty for non-reporting is being named in Parliament and being
ineligible for federal government contracts or specified industry
assistance.
Rather than being an alternative approach to anti-discrimination,
Poiner and Wills (1991) suggest that affirmative action/equal
opportunity is an umbrella term that includes a range of corrective
responses to discrimination, past and present. Implemented through what
Konrad and Linnehan (1995) determine as identity conscious structures,
it requires decision makers to consider both individual merit and
demographic group identity in order to remedy current discrimination,
redress past injustices and achieve fair and visible representation
across all positions. This occurs by monitoring personnel decisions made
about members of protected groups more stringently; comparing the
numbers, experiences and outcomes of protected groups with those of
others and making special efforts to employ and promote the career
progress of disadvantaged groups.
MD programs have to take place within this legislative context. How
does MD differ from anti discrimination and EEO? First of all, MD is
voluntarist, whereas legislation is compulsory for those organisations
that fall within its ambit. Second, MD is potentially available to all
organisations, whereas EEO programs only apply to those organisations
employing over 100 persons. Third, whereas the legislation regulates
conditions for those who are currently employed, MD programs could be
linked to the engagement of groups who are currently under-represented
in employment. Fourth, the scope of MD programs is extensive in terms of
identified groups and organisational policies, but EEO is confined to
women employees, and anti-discrimination provisions target a number of
specific groups such as older workers, women, workers with a disability
and Indigenous Australians. However, as we will demonstrate, those
organisations that have been recognised for their EEO programs
invariably have formal MD programs.
Approaches to MD
Two major implementation approaches for managing diversity are
presented here to explore the distinctions within diversity management.
One approach, named here as 'productive diversity', is based
on a business case for diversity management, and the other, named here
as 'valuing diversity', is based on a human
resource/organisational development approach.
Productive Diversity--A 'Business Case' Approach
Increasingly, the value of managing the process of achieving equity
outcomes and addressing disparity has been marketed through the business
imperative. The business case claims that productivity can be increased,
and competitive advantage gained, through the utilisation of the
different skills of diverse individuals. The basis of this argument are
the utilitarian concepts of mutual benefit (Shaw 1995) and productive
advantage (Cope and Kalantzis 1996) rather than justice.
Underlying the business case is a human capital theory approach: an
advocacy of the benefits of finding a profitable or practical use for a
diverse range of people and their skills, representative of society
rather than exclusive of some of the minority groups within that
society. The benefits to be gained from workforce diversity through the
use of business networks, varied skills, cultural understandings and
market knowledge are said to include include stronger corporate image,
increased productivity and reduced labour turnover (Bruegel and Perrons
1995). Cope and Kalantzis (1997) argue that productive diversity is no
more and no less than good business sense because in the new global
environment, local diversity and global interconnectedness are more
critical productive factors than they ever have been. The use of
family-friendly policies is also recognised as providing a means of
managing for diversity that can provide economic benefits through the
reduction of staff costs in turnover, sick leave, absenteeism and stress
(Kramar 1995). Research shows organisations can expect to drive their
own growth through managing equity and diversity opportunities to gain
greater marketplace understanding, increasing creativity and innovation
and effective global relationships (Robinson and Dechant 1997).
This approach to managing difference is also seen to be of value
when the equal opportunity concept is difficult to 'sell' to
management, or when it is new and untried. It is also seen as useful
when resources are scarce. Arguments for the utilisation of individuals
for increased productivity are seen as useful when priorities are in
conflict and when there is no clear way of fulfilling everyone's
needs and goals. Utilising the organisation's human resources to
the best possible advantage appears to be a providential solution.
However, addressing any unfair disparity by acknowledging diversity
for reasons of increased productivity has severe limitations, due in
part to the fact that not all individual rights or abilities can be
reduced to tangible productivity gains. Dickens (1999) suggests that the
business case for equality is contingent upon the profitability of the
firm and the vagaries of the product market. This becomes dangerous if
and when inequality is judged as productive. If diversity policies are
introduced only to support a business objective, there will be times
when a homogenous workplace further sustains the business objective or
worse when ambivalence results in limited improvement.
A utilitarian approach does not attempt to address current
inequalities. Without recognition that the social structure itself is
unequal and unjust, the possibility of achieving equality is
questionable (Poiner and Wills 1991). The business case for managing
diversity is acknowledged to offer a narrow approach to achieving
equity. Rarely does the business case consider such inequalities as low
pay, the rights of part time workers, power differentials or the sexual
division of labour. Dickens (2000) thus challenges the notion that the
business case for diversity can be an efficient means of achieving equal
opportunity. Without legislative and social regulation, the business
case cannot result in other than a constricted implementation of
managing diversity: 'State intervention is central to an equality
agenda because the market tends to produce discrimination, not
equality' (Dickens 2000: 13).
Valuing Diversity
Another perspective within the managing diversity framework
involves the valuing of difference, with mutual adaptation of the
individual and the organisation as a desired end result. The basic
premise of this perspective for addressing workplace disparity is the
accommodation of different individuals and the adaptation of
organisation systems for reasons of best management practice and mutual
benefit and development. It involves including everyone in the process,
recognising diversity as good for business and relaxing assimilationist
criteria by changing the dominant culture (Thomas 1996). Cross-cultural
education including sharing, mentoring and networking is recommended as
assisting individual and group change (Fine 1995). Liff (1999) notes
that research indicates that the bulk of policies utilised by
organisations fits closer to the 'valuing diversity' approach.
The benefits of managing disparity through this approach are said
to include acknowledgement of the changes required to cultural,
political and structural systems within organisations, rather than to
either individuals or disadvantaged groups or both. Without substantial
change to these systems, different individuals will continue to be
indirectly discriminated against. This is recognised as a major
deficiency of the legislated approaches that seek to force employees to
fit pre-existing structures and practices. In addition, the
'valuing diversity' approach analyses workplace disparity
issues and seeks to treat the problem--namely, the structures--rather
than addressing the symptoms. Liff (1999) points out that this approach
looks much like the proactive end of equal opportunity (affirmative
action) as it sees differences between people in terms of their
treatment and experiences at work based on their social group
membership. An alternative identified by Liff (1999: 71) is one based on
'dissolution of difference. The 'dissolving differences'
analysis is based on the argument that there are multiple sources of
difference just as important as gender, and that people should not be
confined by their social group membership. This view privileges
individuals as the object of policy rather than social groups. Kirton
and Greene (2005) argue however that there is an assumption of
'sameness' implicit in the dissolving difference approach: a
view that everyone should be treated the same regardless of their group
characteristics. Like the liberal equality approach, this does not lead
to equal outcomes. French (2001) argues that there is little practical
difference between equal and 'same' treatment of individuals,
both in the anti-discrimination approach and in the neutral treatment of
individuals through the managing diversity approach.
A limitation in using the valuing difference approach is that any
change will be extremely slow, with no guarantee that the major changes
required to workplace systems can or will actually take place. Thomas
(1996) believes that an organisation may take several years to determine
real needs and as long as twenty-five years to realise true change. This
of course does little to assist individuals in the workplace today. Liff
and Cameron (1997) suggest that where traditional equal opportunity
strategies encourage a view that women have a problem and need help,
managing diversity encourages the view that organisations create
problems for some groups while advantaging others. Changing
organisations is more difficult and more time-consuming than offering
extra assistance and training to a group identified as deficient. In
addition, the traditional equal opportunity strategies 'pass the
buck' for any lack of success to the individual, who is deemed to
be not only deficient but also difficult to please.
Australian Experience with EEO and MD
Using these definitions, we can now examine the approaches to EEO
and MD that seem to be present in Australian organisations that have
received official commendation for their EEO programs. Overall
Australian case studies of EEO best practice organisations show the
influential role of the business case in driving EEO and MD, especially
in the context of a falling unemployment rate and the need by business
to attract and retain skilled labour (in the period up until 2007). We
have selected those organisations that have been identified by the Equal
Opportunity in the Workplace Agency (EOWA) as being exemplars in terms
of having active EEO programs. While recognising that EEO and MD
programs are not identical, many of the identified organisations did
report that they had active MD programs, and indeed the EEO programs
were often conflated with MD. The selected case studies cover
organisations that are active not only in promoting EEO within the
workplace but also in linking this with MD within the workplace. The
case studies on the EOWA website not only showcase organisations judged
to have achieved EOWA's highest standards, but also gives us some
insights into why organisations say they are pursuing an equity and MD
agenda. The reporting here is selective, not representative, with a
focus on organisations that have been recognised for meeting and going
beyond EEO requirements.
In examining selected case studies on the EOWA website (EOWA 2009),
we have selected a wide range of industries, including: Coles Myer
(retailing); KPMG (consulting services); General Motors (manufacturing);
World Vision (charity); Connell Wagner (engineering services); Wrigleys
(food manufacturing); One Care (community services); Mounties
(recreation services); IGT (manufacturing); Westpac (banking); and Henry
Davis York (legal services). We examine what is said by the
organisations about their programs, paying particular attention to
program drivers and some of their specifics.
Many of the case study organisations discuss EEO and MD as though
the terms were interchangeable--they classify all their programs under
the label of diversity management, or they equate EEO program for women
employees with diversity management. The reported programs adopt a range
of apparently non-gendered nomenclature, but underneath these, there are
frequently gender specific programs. For example, the retail
'giant' Coles Group has a Diversity Strategy with a Diversity
Manager, but their case study highlights training programs titled Coles
Myer Equal Opportunity Program; an online 'Diversity and Equal
Opportunity' training program; leadership programs for women,
including 'Stretching the boundaries' and 'Career
Resilience for Women' (focused on 'developing the leadership
and networking skills of high-potential women'); and a Women's
Network and Executive Women's Network. GM Holden, vehicle
manufacturer, has a 'Diversity at Holden' strategy, and a
Holden Women's Council. The charity World Vision Australia has a
'People, Culture and Learning Department'.
Typical of the statements that proclaim MD include the following,
by Coles: 'Our Diversity Strategy: linked to the goals, values and
behaviours of the business. The focus was determined by the desire to
make Coles 'a place where people want to work' and 'an
awareness that the workforce needs to reflect the diversity of both
customers and the wider community' (Coles Group). KPMG, an
international accounting services firm, proclaims that '[d]iversity
is a key area of focus for KPMG. The firm believes it is essential for
business growth and innovation to encompass a broad and diverse mix of
people from differing backgrounds, gender and cultures who have varying
thinking styles and qualities.' The EOWA website itself proclaims
that 'diversity is increasingly being melded into the culture of
the organisation, thanks to a clearly defined strategy with
accountability at executive level and the integration of diversity into
a range of cultural programs, as well as recruitment and
development' (EOWA 2009).
The EEO and MD programs of many of the organisations reflected the
tight labour markets operating from 2005 to 2007 in particular
industries and occupations (EOWA 2009). In some cases, the shortage of
skilled labour and the desire to attract and retain labour over the
previous economic boom, especially women's labour, propelled
organisations to develop an equity/diversity strategy.
The consulting engineering firm Connell Wagner identified 'an
ongoing perception within the industry that consulting engineering is
difficult and demanding, resulting in it being more challenging to
recruit and attract engineering graduates (in particular women
graduates) into the industry'. General Motors Holden expressed
'the very clear need to gain greater access to the talent pool ...
, as well as the importance of attracting and retaining more women,
particularly into nontraditional roles such as engineering. The law firm
Henry Davis York reported that 'competition between law firms was,
and remains, intense and HDY needed not only to attract new recruits but
also retain them and where appropriate, promote them within the
firm'. World Vision Australia and the consumer goods manufacturer
Wrigley's wanted to attract a wider pool of applicants.
Wrigley's expressed a common issue: attracting and retaining the
best person for the job 'has not been easy and the company has
recognised a need to address the growing shortage of skilled workers
within the labour market by adopting more creative solutions to its job
design and selection criteria'. OneCare, a community services
organisation of 506 employees, operated in the highly competitive
nursing sector: 'Labour market forces in professional health
dictate that we, as an organisation, need to seek market advantage to
attract and retain staff, particularly Registered Nurses.' At the
same time, '[d]iversity is supported within our organisation and we
value the contribution that gender, cultural and religious diversity can
make to our organisation and our customers' (EOWA 2009).
The organisations judged as 'best practice' tended to
integrate MD with standard human resource management functions such as
recruitment and selection procedures, and particularly the instigation
or expansion of flexible work arrangements. For example, IGT, a firm of
250 employees that develops and manufactures entertainment games, was
committed to providing 'a flexible, family-friendly and balanced
environment which allows IGT to recruit and retain the best employees.
IGT's philosophy is that is our employees understand that we have a
vested interest in their personal growth, career development and their
life outside of work, that their loyalty and productivity will be of a
consistently high standard within the organisations'. In addition,
the majority of EOWA case study organisations (10 out of 15)
specifically identified the low numbers of women in senior management as
a factor driving their MD programs. From these case studies, we can
observe the appeal to good corporate citizenship through the promotion
of equity principles coupled with the reality of an increasingly
feminised workforce and a tight labour market.
All the large organisations (those with over 4,000 employees)
specifically linked MD strategy with overall business goals. Coles Group
Diversity Strategy 'was determined by the desire to make Coles a
place where people want to work and an awareness that the workforce
needs to reflect the diversity of both customers and the wider
community. The outcome was that 'diversity is increasingly being
melded into the culture of the organisation, thanks to a clearly defined
strategy with accountability at executive level and the integration of
diversity into a range of cultural programs, as well as recruitment and
development'. Westpac, a bank with more than 22,000 employees,
explained that 'attracting, retaining and, importantly, advancing
women helps us deliver against our strategic objectives for our
employees, our customers, our shareholders and for the community.'
The CEO said 'It's not a compliance issue; it's not a
diversity issue, and it's not a social responsibility issue. Yes,
it's the right thing to do, but it's also the strategic thing
to do for Westpac.'
All but two of the smaller organisations also made the link with
organisational strategy. Henry Davis York 'developed and
implemented an extensive "people focus" strategy linked to the
goals and values of the firm.' In World Vision Australia, the
initiatives were driven by the People, Culture and Learning Department
which assisted business units 'to develop appropriate practices for
managing and retaining staff'. All organisations framed their
programs within an organisational business case. Most quantified savings
to the organisation in some way, citing more female recruitment,
increased retention and higher return rates from maternity leave. GM
Holden had increased its paid maternity leave from 6 weeks to 14 weeks
after two years service. This and flexible working options such as part
time work and job sharing had increased the return rate of women from 67
per cent to 92 per cent. Henry Davis York had achieved a 100 per cent
return rate with similar strategies and had reduced recruitment costs
through internal recruitment, a strategy also successfully used by other
organisations. Mounties, a community recreation club, said they had the
'highest profit in the industry, best safety record, lowest staff
turnover rates and lowest absenteeism rates' (EOWA 2009).
At one level then, MD and EEO represent a form of public relations
and can be placed within the context of good corporate citizenship.
Large organisations are expected to enshrine basic principles such as
equality and to embrace anti-discrimination in the workplace and MD
gives substance to these principles. At another level, MD reflects the
realities of a changing workforce composition: as Thomas (2001) noted in
the USA, the reality is that the Australian workforce is becoming more
feminised, older and with growing numbers of immigrant workers from
non-European origins (Sappey et al 2006: ch.3). Up until 2008, and in
the context of a tight labour market and a very diverse labour supply,
embracing MD reflects the shift away from the traditional norms and
composition of the labour supply that was prevalent in previous eras
(Watson et al 2003). MD enables organisations to build upon the
legislative base and develop programs that are innovative and attractive
for employees, especially where there are labour shortages or high
labour turnover. For example, programs that address work and family
balance can enable organisations to retain valued employees (Sappey at
el. 2006: ch.3).
It is apparent that the formal EEO programs listed on the EOWA
website serve as a demonstration for organisations as to what can be
done to attract and retain not only women staff, but also staff from
other groups who may be disadvantaged or marginalised in the labour
force. This becomes an important issue in periods of tight labour
markets. The nature of EEO programs and the best practice guides and
examples used by the EOWA demonstrate to organisations not only how an
EEO program can be developed and implemented for women employees, but
how such programs could be used for other workforce groups. Hence we
find that EEO and MD programs are reported side by side in many
organisations.
At another level, the rise of MD and formal EEO programs is also
linked to the rise of human resource management (HRM) programs and
strategic HRM within large organisations. MD programs originate within
organisations, are managed by organisations and are linked to
organisational goals. MD programs are directed by management and stress
individual difference. This gives a strategic edge to MD programs and
links MD to organisational performance. However, the HRM driver is not
without its limitations, especially if the HR programs are of the
'hard' variety where cost and efficiency goals take precedence
over equity objectives (Kirton and Greene 2005: ch. 9). Here, there is a
gulf between the claims of MD and EEO, and the outcomes.
In their organisational case studies of EEO programs in the
workplace, Burgess et al (2007) found that there was a gap between the
official organisational statements surrounding MD and EEO and actual
workplace practice. Specifically in the case of women employees who
sought programs to facilitate work and family balance, many workplace
initiatives were blocked by line managers, the pressures of production
schedules or ignorance. Few EEO programs were converted into industrial
instruments (workplace agreements), and in the main, trade unions did
not see these issues (especially flexible working arrangements) as
priorities in the bargaining round. In many of the case studies, female
workers depended upon informal arrangements to manage work and family
responsibilities. They found that having an organisational EEO program
and workplace agreement was no guarantee that work and family measures
will be introduced at the workplace. Legislated minimum standards that
protect workers against overt discrimination and harassment effectively
motivate companies, but only in establishing a baseline. Neither the
industrial agreements accessed, nor the reports to EOWA, offered more
than token acknowledgement of work and family issues. Some organisations
embraced more elaborate or sophisticated ways of enticing workers or
retaining them. This was largely in response to labour market forces,
such as a shortage of workers with the appropriate skills, or the costs
to business of losing highly trained personnel, which are important
determinants of workplace policies and practices (Burgess et al 2007).
The experience with MD and EEO is patchy. Some organisations are
better than others in terms of translating intentions into practice.
Here, we have only reported on those organisations that are regarded as
exemplars in terms of EEO programs, many of which are linked to MD
programs. Within this context, there is an obvious business case
supporting the programs. While the EOWA provides examples of best
practice organisations, there is limited auditing of the organisational
processes and outcomes. As the labour market has tightened, many
organisations have become more conscious of the need to attract and
retain quality labour, and this is undoubtedly a major factor driving MD
and EEO programs. Burgess et al (2007: 430) conclude that '[t]he
EEO and workplace bargaining regime are both very dependent on the
"business case" for family friendly employment measures, one
which is supported by Government and its agencies (for example, EOWA)
but is in tension with other ideas based on arguments from equity and
social justice. In turn, this means that such measures are unevenly
distributed within and across workplaces, and that development and
implementation becomes very dependent upon managerial prerogative. While
businesses may deploy 'flexible' employment arrangements,
these are not necessarily compatible with integrating work and family
responsibilities.
Here we have the nub of the problem: the norms of the business case
are not those of underlying equity principles that support MD and EEO.
The business case assumes convergence; this is not always the case. In
addition, sustaining MD becomes difficult where business conditions are
changing--it seems that strong economic growth fits within the business
case MD agenda, but what happens now that these conditions have altered
world-wide? The fragility of the business case can be seen in comments
such as 'KPMG built a business case for diversity focusing on the
labour shortage phenomena which had become a reality for the firm'
(EOWA 2009).
Conclusions
In Australia, organisations are largely left to make their own
judgements about what is equitable for employees and profitable for the
business. It is not surprising that organisations are really only
certain about what to do when policies are clearly spelt out in
legislation (Liff 1997; Strachan et al 2004). Australia has a mix of
legislated standards and voluntary codes that support EEO in the
workplace. The EEO regime is largely a reporting one. From the 1980s the
main concern was with directly addressing discrimination in the
workplace and later with promoting EEO for women employees. Over the
past decade the emphasis has shifted more towards corporate
responsibility and organisations doing the right thing in terms of
broader equity objectives. This voluntarism has been boosted by the
tightening labour market that puts pressure on organisations to
acknowledge and address the diversity of their workforce. As Burgess et
al (2007: 535-36) comment:
Organisations are able to choose the policies and practices that
they believe are appropriate to their particular business
situations, and the extent to which they will implement them. This
might include; attention to workers' preferences in relation to
individual work arrangements and career paths; emphasis on
recruiting and/or training women in non-traditional roles;
increasing 'flexibility' in the span of hours worked, length of
shifts and other temporal arrangements; or any one of a number of
other priorities. Organisations can portray many different policies
and practices as related to EEO without assessing outcomes against
specified criteria or undertaking any measurement of change.
Organisational equity policies and practices are determined by ad
hoc business and labour force demands which may be coloured by the
organisation's own ethics and values.
Subtle forms of discrimination continue somewhat insidiously in
organisations with systems and practices that seemingly fulfil equal
opportunity prescriptions or anti-discrimination legislation or managing
diversity recommendations, yet with outcomes that continue to
demonstrate that people remain unfairly disadvantaged, based on
unrelated and unalterable attributes or characteristics (Burgess et al
2007). Neither anti-discrimination, affirmative action, equal
opportunity, nor managing diversity, offers a cure-all for the
inequality many people experience in the workplace. The different
approaches to managing individual and collective 'sameness'
and 'difference' and any related disparity at work result in
different structures and different policies for implementation. Even
within the same industry and in the same labour market, organisations
can have very different approaches and programs towards EEO (Burgess et
al 2010). These different structures and policies are predictive of
different outcomes on many of the measures of employment of individuals.
We argue that effective equity management that brings substantive change
to unfair workplace disparity is not a 'one size fits all'
model. It needs to be an individually tailored model that encourages
strategic change and which involves analysis of specific contextual
issues in addition to analysis of current structures and systems. Yet,
little is known of the factors of influence on management choice in
determining their organisation's stance. Further, real change
requires analysis of social issues including the 'male
stereotype' as the dominant work model. Changes in state provisions
and organisation structures and practices are required but these often
lag behind the need for real change.
While considerable research continues in the area of workplace
disparity and difference at an individual and collective level, there
has been little research focusing on the strategic implementation of
policies designed to address disparity, and more importantly the related
outcomes, in order to develop models of excellence. The EOWA case
studies present only a small sample of organisations that formally meet
and go beyond EEO guidelines. The case studies demonstrate the important
demonstration and experiential effects of formal EEO programs in being
extended into broader MD measures that take in a range of different
groups in the workforce. It continues to be vital to ponder the issues,
explore and probe new ideas thoroughly and to fully comprehend the
intricacies of social and individual inequity if there is any hope of
redress. Despite the exploratory nature of equity at work, many
organisations continue to explore the means of achieving it. The use of
various approaches, including a range of structures and policies for
implementing equity management, is increasingly being reported, not only
through the EOWA but through various public reporting and awards systems
and on organisational web sites. Liff (1999) notes that those
organisations receiving awards in Britain for their opportunity policies
are those that are implementing side-by-side policies that show positive
action with those that present a more radical challenge for organisation
culture and practice. In fact, the multiple implementation of different
equity management strategies is increasingly recommended (Sheridan 1998;
Liff 1999; Dickens 2000; French 2005). This point comes through in the
organisations reported on from the EOWA website. However, against these
activist equity programs, at the other end more than ten per cent of
organisations are doing nothing and approximately half the reporting
organisations are undertaking a minimalist approach towards equity
programs (French 2001).
MD programs will remain patchy in terms of their application and
outcomes since they are voluntarist and only have the legislative norms
that are set through EEO and anti-discrimination legislation (French et
al 2010). As is the case with EEO, MD programs rarely make their way
into workplace agreements (Burgess et al 2007). One way to strengthen MD
would be to strengthen EEO requirements across disadvantaged groups and
strengthen the application of EEO through such practices as the auditing
of programs (Strachan et al 2007).
References
Bruegel, I. and Perrons, D. (1995) 'Where do the costs of
unequal treatment for women fall? An Analysis of the incidence of the
costs of unequal pay and sex discrimination in the UK' in J.
Humphries and J. Rubery (eds) The Economics of Equal Opportunities,
Equal Opportunities Commission, Manchester, pp. 55175.
Burgess, J., Henderson, L. and Strachan, G. (2007) 'Work and
family balance through equal employment opportunity programs and
agreement making in Australia, Employee Relations, 29 (4), pp. 415-431.
Burgess, J., Henderson, L. and Strachan, G. (2010)
'Organisations do it differently: Case studies in male-dominated
industrial manufacturing' in G. Strachan, E. French and J. Burgess,
Managing Diversity in Australia: Theory and Practice, McGraw Hill,
Sydney, forthcoming.
Charlesworth, S., Campbell, I. and Probert, B. with Allan, J., and
Morgan, L. (2002) Balancing work and family responsibilities: Policy
implementation options, Report for the Victorian Departments of Premier
and Cabinet and Innovation, Industry and Regional Development, Centre
for Applied Social Research, RMIT University, Melbourne.
Cope, B. and Kalantzis, M. (1996) Productive Diversity: A New
Australian Model for Work and Management, Pluto Press, Annandale.
Cope, B. and Kalantzis, M. (1997) Productive diversity: Management
lessons from Australian companies, Occasional Paper no. 20, Centre for
Workplace Communication and Culture, Sydney.
Dickens, L. (1999) 'Beyond the business case: A three-pronged
approach to equality action, Human Resource Management Journal, 9 (1),
pp. 9-19.
Dickens, L. (2000) 'Promoting gender equity at work: A
potential role for trade union action, Human Resource Interdisciplinary
Gender Studies, 5 (2), pp. 27-45.
EOWA (2009) (Equal Opportunity for Women Agency) Case studies,
available: http://www.eowa.gov.au/Case_Studies.asp [accessed 28 April
2009].
Fine, M. G. (1995) Differences in the Workplace: A Theoretical
Perspective in Building Successful Multicultural Organisations:
Challenges and Opportunities, Quorum Books, London.
French, E. (2001) 'Approaches to equity management and their
relationship to women in management, British Journal of Management, 12
(4), pp. 267-285.
French, E. (2005) 'Strategic change has an integral role in
effective equity management: No one size fits all model, Strategic
Change Journal, 14 (1), pp. 35-44.
French, E., Strachan, G. and Burgess, J. (2010) 'The
theoretical and policy context for diversity: Conflicting beliefs and
competing ideals' in G. Strachan, E. French and J. Burgess (eds)
Managing Diversity in Australia: Theory and Practice, McGraw Hill,
Sydney, forthcoming.
Holterman, S. (1995) 'The costs and benefits of British
employers of measures to promote equality of opportunity' in J.
Humphries and J. Rubery (eds) The Economics of Equal Opportunities,
Equal Opportunities Commission, Manchester, pp. 137-145.
Kandola, R. and Fullerton, J. (1994) Managing the Mosaic: Diversity
in Action, Institute of Personnel and Development (IPD), London.
Kirton, G. and Greene, A. (2005) The Dynamics of Managing
Diversity: A Critical Approach, 2nd edition, Elsevier, Amsterdam.
Konrad, A. M. and Linnehan, F. (1995) 'Formalized HRM
structures: Coordinating equal employment opportunity or concealing
organisational practices?', Academy of Management Journal, 18 (3),
pp. 787-820.
Kramar, R. (1995) 'Equal employment opportunity: An essential
and integral part of good human resource management' in G
O'Neill and R.Kramar (eds) Australian Human Resources Management:
Current Trends in Management Practice, McGraw-Hill, London and New York,
pp. 223-241.
Liff, S. (1997) 'Two routes to managing diversity: Individual
differences or social group characteristics', Employee Relations,
19 (1), pp. 11-26.
Liff, S. (1999) 'Diversity and equal opportunities: Room for a
constructive compromise?', Human Resource Management Journal, 9
(1), pp. 65-75.
Liff, S. and I. Cameron (1997) 'Changing equality cultures to
move beyond "women's problems" , Gender, Work and
Organization, 4 (1), pp. 35-46.
Moore, S. (1999) 'Understanding and managing diversity among
groups at work: Key issues for organisational training and
development', Journal of European Industrial Training, 23 (4/5),
pp. 208-217.
Poiner, G. and Wills, S. (1991) The Gifthorse: A Critical look at
Equal Employment Opportunity in Australia, Allen and Unwin, Sydney.
Robinson, G. and Dechant, K. (1997) 'Building a business case
for diversity', Academy of Management Executive, 11 (3), pp. 21-31.
Ronalds, C. (1991) Affirmative Action and Sex Discrimination: A
Handbook on Legal Rights for Women, Pluto Press, Sydney.
Ronalds, C. and Pepper, R. (2004) Discrimination Law and Practice,
2nd edition, Federation Press, Sydney.
Sappey, R., Burgess, J., Lyons, M. and Buultjens, J. (2006)
Industrial Relations in Australia, Pearson Education, Sydney.
Shaw, J. (1995) Cultural Diversity at Work--Utilising a Unique
Australian Resource, Business and Professional Publishing, Sydney.
Sheridan, A. (1998) 'Patterns in the policies: Affirmative
action in Australia, Women in Management, 13 (7), pp. 243-252.
Strachan, G. and Burgess J. (2001) Affirmative action legislation
in Australia--the legislative model, paper presented at Rethinking
Gender, Work and Organisation Conference, Keele University, UK, 27-29
June.
Strachan, G., Burgess, J., and Sullivan, A. (2004)
'Affirmative action or managing diversity--what is the future of
equal opportunity policies in organisations, Women in Management Review,
19 (4), pp. 196-204.
Strachan, G., French, E. and Burgess, J. (2010) Approaches to
equity and diversity in Australia: The national and international
context' in G. Strachan, E. French and J. Burgess (eds) Managing
Diversity in Australia: Theory and Practice, McGraw Hill, Sydney,
forthcoming.
Thomas, D. A. and Ely, R. J. (1996) 'Making differences
matter: A new paradigm for managing diversity', Harvard Business
Review, September-October, pp. 79-90.
Thomas, R. (1991) Beyond Race and Gender: Unleashing the Power of
Your Total Work Force by Managing Diversity, American Management
Association, New York.
Thomas, R. (1996) Redefining Diversity, American Management
Association, New York.
Thomas, R. (2001) 'From affirmative action to affirming
diversity' in Harvard Business Review on Managing Diversity, pp.
1-32.
John Burgess, Newcastle Business School, University of Newcastle
Erica French, Faculty of Business, Queensland University of
Technology
Glenda Strachan, Griffith Business School, Griffith University