“Diversity and inclusion is critical to the UK’s economic recovery and no company can afford to let the issue slip down the priority list in these uncertain times,” stressed the UK’s Confederation of British Industry (CBI) President Lord Karan Bilimoria.
While making the economic case for how diversity and inclusion can help the UK’s economic recovery, at the CBI’s first virtual Diversity & Inclusion Conference today, Bilimoria urged firms to join its Change the Race Ratio initiative, as reported. This CBI-led campaign aims to accelerate racial and ethnic participation at the top of UK companies.
Announcing new 20 signatories, Lord Bilimoria revealed that a total of 55 organisations have now signed up since the campaign launched last month. The 20 new signatures include: 14 Consulting, Atos, Autotrader, Birchwood Knight, Centrica, Costain, F1 Recruitment, Financial Service Compensation Scheme, Greater Manchester Chamber of Commerce, Halma, HSBC Global Asset Management, John White and Son, Korn Ferry, Moon Executive Search, Paskpartnership Ltd, Pennon Plc, Sainsbury’s, Shakespeare Martineau, The Empathy Business and the Textile Services Association.
TIME TO CHANGE THE RACE RATIO
Bilimoria is now calling on more companies to step up, and set an example to others as a “driver of national ambition and progress”. Commenting on the Change the Race Ratio campaign, Bilimoria stated: “We’re still so far behind – 37% of FTSE 100 companies and 69% of the FTSE 250 don’t have a single ethnic minority director on their board. Even before I became CBI President in June, we started working on a new campaign called ‘Change the Race Ratio’, led by the CBI along with 14 other UK prominent businesses – including Deloitte, Brunswick, Linklaters and EY. It has one, singular goal: to increase racial and ethnic participation in business. Since then, I can announce today that we’ve reached 55 signatories.”
“I’m incredibly proud, and humbled, by the huge momentum we’ve seen so far. We have four asks we want every business listening to consider in their own companies. Board representation, diverse senior leadership, transparency in disclosing pay gaps and building an inclusive culture. They are practical and entirely achievable. They could make your business more innovative, more profitable, more attractive to talent. And help make society fairer for everyone.”
UNDENIABLE STRONG BUSINESS CASE
According to Bilimoria, there’s so much hard, undeniable strong and quantifiable evidence showing that diverse businesses are more profitable, more innovative, and more competitive. He believes that it’s time for companies to step up and commit to diversity and inclusion, and finally change the race ratio, particularly at the top.
“A lack of ethnic diversity in business is costing the UK £24 billion a year in lost GDP. Firms with the lowest gender and ethnic diversity in their executive teams are 27% less likely to be profitable. In the case of ethnic and cultural diversity, we know top-quartile companies outperform those in the bottom quartile by 36% in profitability,” he added. “And when employees feel included in the workplace their ability to innovate increases by 83%. Diversity works. It’s not just the right thing to do – it’s good business. And in an environment so uncertain, so hard-hit by Covid-19 and preparing for a new trading relationship with the EU, no business can afford to miss out.”
Find out more about CBI’s Change the Race Ratio campaign here.
Sign up for our newsletter
