Diversity MBA Magazine - Fall 2008 - (Page 37)

FEATURE programs and research, notes, “Respondents who said unfairness was the only reason they left were most likely to cite the following specific forms of unfair conduct -- (1) being asked to attend more recruiting or community related events than others because of race, gender, religion, or sexual orientation; (2) being passed over for a promotion due to one’s personal characteristics, and (3) being publicly humiliated.” When people of color leave their companies, regardless of the reasons, the price tag for can be staggering. According to Annette Merritt Cummings, vice president and national director of diversity services at the Bernard Hodes Group, a fully integrated talent-solutions provider, “The estimated cost or turnover is calculated to be $7,000-$12,000 per day for STORY Annette Merritt Cummings, Bernard Hodes Group each single vacancy, and this is across all industries.” This accounts for costs companies must pay recruiting agencies to find new hires, dollars lost while positions are open, and advertising. Corporate Leavers puts the figure much higher, at $64 billion, for the sole reason of people leaving from unfairness. The amount is “nearly equivalent to the 2006 combined revenues of Google, Goldman Sachs, Amazon.com and Starbucks, or the gross domestic product of the 55th wealthiest country in the world,” LPLI reports. Given the high stakes, what can companies do to keep their most talented people of color from leaving? “If companies recruit people who are a match for the skills needed and live up to the commitment made to them, they’re much more likely to retain those employees,” Cummings says. “So the clearer a company can be about what employees’ responsibilities are going to be, S epte mber 2008 Le ade rshi p G al a I ssu e what kind of career opportunities are available, the more likely they are to keep those people.” Once hiring them, Hom says organizations must pay closer attention to new recruits. In his assessment, people of color and women are more prone to leave during the first year on the job. “The big issue is, how well are companies assimilating and helping these employees adjust to new jobs?” he says. “The trick is for corporate America is to keep them as veterans.” Organizations must also specifically pinpoint what people of color want. Deborah Brown, a diversity and inclusion practice leader of Leader’s Edge, an organization dedicated to enhancing executive women’s effectiveness as senior leaders, suggests, “[Women] want to reap the same rewards for hard work as everybody else. They want to feel as though they’re able to make contributions, are valued, and respected.” At the same time, people of color also want advancement opportunities, training, compensation, and benefits, a Hodes survey of 751 respondents discovered. Cummings explains, “They, particularly minorities who are just entering the workforce, understand that they must have skill sets and opportunities that will prepare them for their next jobs. They are not only thinking about how they can advance in their current jobs, but preparing themselves to be more marketable and highly competitive.” On the job, people of color want their firms to acknowledge and recognize them for their talents, says Brown. The Leavers study corroborates this: “People stayed at companies because of better management who recognized their abilities.” But when they don’t get the acknowledgements or benefits they seek, the study indicated that they look for other jobs. One-third of those surveyed were actively seeking other opportunities compared to 19% of Whites. The study also determined that 44% of respondents said that they would express their concerns to their employers before looking elsewhere. Cummings believes this provides an excellent opportunity for organizations. “They can help people make changes or navigate career opportunities, or give them some advice on how to take advantage of those opportunities within the organization,” she says, adding that firms must be proactive and ask of employees people of color, “How engaged are they in the work that they’re doing? How engaged are they in terms of loyalty to the organization?” Basically, nobody wins when large numbers of people of color leave companies. If they go to work for other employers, they must essentially start over, prove themselves to new managers, and begin the long trek up the corporate ladder a second time. On the other side of the equation, companies won’t be able to keep good and loyal talent, and it will essentially cost too much to replace them. It’s worth it to find other solutions. |dMBA| 37 http://www.Amazon.com

Table of Contents Feed for the Digital Edition of Diversity MBA Magazine - Fall 2008

Diversity MBA Magazine - Fall 2008 Contents Letters to the Editor In Your Own Hands Editor's View Business Briefs Off the Shelf Diversity MBA 2008 Awards Gala and Leadership Forum "Diversity Next Practices" Illusion of Inclusion Good Is Not Enough Revisiting Your Personal Brand Discover Your Power Voice Authentic Leadership In An Ever-Changing Marketplace Stopping the Brain Drain: How Companies Can Keep Talented People of Color Corporate Succession Planning - How Do You Fit In? How To Manage Virtual Teams Beyond Demographics Recruit, Recognize, Retain, Reinvest – Winning the Talent Acquisition Game Leave Ego at the Door Modernizing Supplier Diversity Taking the Leadership High Road… When You Can Find It Think Boardroom Bound; It’s Happening Who's Who In Diversity Fail to Succeed 4-Star Start-Up, Chris Ward: Character Above All Get Them at Hello – Tips to Improve Your Marketing Kit Sonny Vu, Entrepreneur A World at Your Fingertips Big Brother Wants Your Bank Account Stepping Off The Corporate Ladder HR Focus with Monica Ross A Unique New England Vacation Bold Caballeros y Noble Bandidas Women of Color and Cancer: The Chicago Phenomenon Being Single Isn't Easy International MBAs Flock To U.S. Schools Smart Strategy Gadgets+Gizmos Advertiser's Index

Diversity MBA Magazine - Fall 2008

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