Employment and Diversity news and comment CCB 116

March 25, 2011

Comment by Tara James for February / March CCB 116

A paradigm shift?

Gender diversity is high on the agenda this issue with Opportunity Now investigating barriers to women in senior roles and Lord Davies proposing solutions. A key barrier is considered to be the perception that women are less committed to work than men due to familial commitments. But here’s another perception: men are less capable than women.

Opportunity Now states that the biggest barrier to women obtaining senior jobs is “the need to balance work and family responsibilities”; the Fawcett Society (Breaking the Mould for Women Leaders, 2008) suggested Norway’s availability of free childcare promoted gender equality; while Mary Ann Steighart, in the Independent (Feb 28th), identified set-backs “because of the rigours of child rearing”.

So… where’s dad in all of this?

The flip-side of the Boardroom issue is that men are not considered to be equal to women in the child-rearing stakes (obviously I’m not talking pregnancy and breastfeeding here). And our culture does little but reinforce this way of thinking, as evidenced by minimal paternity leave entitlements.

Look to Sweden, which replaced maternity leave with parental leave in 1974, and further promoted “daddy leave” in the 1990s: 8 in 10 men now take paternity leave. In 2010, Sweden stood out as having one of the highest levels of female representation at senior levels with 39% of companies having at least three women directors (second to Norway, which has quotas in place). These results may not be wholly attributable to parental leave policies, but it does say something about the country’s outlook on gender equality, and how that may influence the “upper levels” of business.

In the UK, this April sees the introduction of Additional Paternity Leave, where mothers can choose to share some of their leave entitlements – a possible first step on the road to change, though there are many hurdles along the way, not least in our own acceptance of the roles fathers can play.

Issues to do with gender equality start long before the Boardroom. They are instilled in us as children, when we come to accept the role of mother as primary care-giver. Cracking the glass ceiling is certainly something that needs to be addressed, but it deals with a symptom and not the root cause. We need to ensure men and women are equal in the nursery as well as the boardroom.

Tara James is a Senior Researcher at Corporate Citizenship.
Contact her at tara.james@corporate-citizenship to discuss community giving and LBG.

Boardroom gender quotas ruled out

On 24 February Lord Davies launched his independent review into Women on Boards, recommending that UK listed companies in the FTSE 100 should aim for a minimum of 25% female board member representation by 2015. The report outlines how FTSE 350 companies should be setting their own challenging targets and not be subject to government-determined quotas. The report calls for The Financial Reporting Council to amend the UK Corporate Governance Code to require listed companies to establish a policy concerning boardroom diversity. Several European countries, including Norway, France and Spain, have imposed quotas with some success and the European Commission is also considering the imposition of mandatory targets. But business groups have firmly resisted pressure for such an approach in the UK. The Institute of Directors has described quotas for women as “demeaning”.

Contact: Department for Business Innovation and Skills
www.bis.gov.uk

Work-life balance issues keep glass ceiling intact

According to research published on 1 February, 82% of female managers and 54% of male managers believe the biggest barrier to women getting senior jobs is the need to balance work and family responsibilities. The second biggest barrier is also related to childcare; with 57% of women managers and 20% of male managers believing that women are seen as less committed to work because they may have family commitments. The research, called ‘What Holds Women Back?’ from Opportunity Now, the gender campaign at Business in the Community, asked over 850 line managers what they thought the barriers to women’s progression in the workplace were. The results reveal that male managers are significantly less likely than women to recognise any of the barriers to gender diversity and women’s progression. The organisation asked the same survey questions in 2005 and the results show that there has been little change in perceptions in the intervening years.

Contact: Opportunity Now
www.opportunitynow.org.uk

Work-life balance affects one third of couples

According to a survey carried out by Institution of Occupational Safety and Health (IOSH), nearly one in three people in the UK have been in a relationship that has suffered because of work pressures. The results, which were released on 10 Februrary, revealed how 60% of people surveyed said that said their work-life balance was either very poor, poor or could be better. Only 16% of respondents said their employer had a wellbeing programme in place. IOSH are campaigning for more flexible working hours and a longer lunch break once a week to allow employees to go to the gym or meet their partner.

Contact: Institution of Occupational Safety and Health
www.iosh.co.uk

New ‘Say on Pay’ Scorecard for the S&P 500

A new US Executive Pay Scorecard, introduced on 7 February, aims to help shareholders prepare for mandated advisory votes on executive pay. The Scorecard offers shareholders a new tool for making critical ‘Say on Pay’ voting decisions during the 2011 proxy season, now underway. A new report released in conjunction with the scorecard, titled ‘Executive Pay Scorecard Report’, identifies the key factors used to evaluate corporate pay practices. The primary metrics used to compare and score executive compensation include CEO pay equity, incentive plans that tie back to performance, and other factors that grade companies based on pay plan design and implementation.

Contact: Government Metrics International
www2.gmiratings.com

US contracting programme for women-owned small businesses

Women-owned small businesses in the US can participate in a new federal contracting programme, designed to provide them with a greater chance of winning US government contacts. The WOSB Federal Contract Programme, which opened on February 4, will provide greater opportunities for WOSBs and economically-disadvantaged women-owned small businesses. The programme allows contracting officers, for the first time, to set aside specific contracts for certified WOSBs and EDWOSBs and will help federal agencies achieve the existing statutory goal of 5% of federal contracting dollars being awarded to WOSBs. The US Small Business Administration is the government agency in charge of the programme which has identified 83 North American Industry Classification System (NAICS) codes where these businesses are under-represented.

Contact: Small Business Administration
www.sba.gov

Benefits for organisations that create a ‘faith friendly’ workplace

A new report issued by the Institute of Business Ethics (IBE) urges employers to take religious practices of staff seriously. In an IBE Occasional Paper issued on 7 March, Simon Webley, IBE Research Director, calls for organisations to be sensitive to employees’ beliefs and make provision for them. “Employees do not leave their religious beliefs at the entrance to their place of work: it is integral to their lives. A positive approach to these matters not only deters adverse publicity and exposure to legal cases, it also enhance harmonious relations at work – a condition necessary for enhancing productivity.” The paper explores situations where religious beliefs and practices impact the day-to-day operations of organisations and the ethical challenges which arise. It describes how religious sensibilities are being accommodated by employers and provides a short guide to good practice.

Contact: Institute of Business Ethics
www.ibe.org.uk

Morrisons become largest provider of apprenticeships in the UK

On February 7, Morrisons announced plans to train more than 12,000 apprentices in 2011; making the company the largest provider of apprenticeships in the UK. This investment aims to build on Morrisons’ commitment to have more skilled butchers, bakers and fishmongers than its rivals and to have the best service offering to customers. With 30% of senior management originally working for Morrisons without a university qualification, the company is focusing on its history of taking employees careers from the shop floor to the top levels of the company. Coinciding with the launch of National Apprenticeship Week, Morrisons commitment sees the retailer invest more than £3 million into training bakery and butchery apprentices in 2011.

Contact: Morrisons
www.morrisons.co.uk/corporate

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