Diversity in the workplace plays a significant role in creating a positive and stable work environment. The implementation of diversity laws by different companies has paid off and, as a result, is an example for other companies and organizations to follow. The same is the case with Hewlett Packard (Hp), the tech giant.
Hp began implementing diversity policies in the late 1980s. The company has since enjoyed significant benefits from these rules. Hp utilized a four-tiered diversity management system to implement these policies in their work environment and their hiring policies. The main steps in this model include cultural synergy, cultural accommodation, cultural acceptance, and cultural acceptance (Kamal & Ferdousi 2009). The model suggests that cultural differences between people are superficial and do not affect how people should relate. From equal employment opportunities in the late 70s to affirmative action and workforce diversity in the late 90s, Hp has evolved to accommodate global variety in a move that recognizes that background and culture do not affect productivity (Kamal & Ferdousi 2009). The diversity management strategy of Hp is known as the open corporate policy. The policy encourages employees to positively take to diversity positively and improve creativity and innovation by accepting different perspectives in the work environment.
Hp perceives diversity as the inclusion and acceptance of different workers from different ethnic backgrounds. Diversity and inclusion are woven into the company’s fabric from the products that are non-discriminatory and are available for anyone anywhere. Because of these policies, public relations and the general perception of Hp by the public have been optimistic, which builds customer confidence and loyalty and consequently increases sales (Kamal & Ferdousi 2009). As a result, diversity and inclusion have been major highlights of the company’s success.
Aetna healthcare service is a US-based healthcare insurance provider. It is one of the largest health-financial service providers in the country. The company has employed over 49,000 employees from different cultural and racial backgrounds from the annual financial company reports. Aetna Inc (Khan et al. 2020). believes in individual diversity as a critical factor to overall company success and better service provision to its 800,000 consumers. The company has different variations and inclusion models for gender, race, geography, and experiences. One of the organization’s core values is to manage diversity and create equal employment opportunities by using features of heterogeneity as homogeneity (Khan et al. 2020).
The primary diversity model of Aetna Inc. emphasizes three concepts (Empowered, Engaged, and Embraced) known as the three Es. To support these concepts, the company has created different employee resource groups (ERGs). Diversity management for Aetna Inc. is directly tied to the various human resource policies and practices. The first of these is witnessed in the recruitment policy of the company. The organization has no restrictions based on application, and merit is based on qualification status. The company also has a work and life flexibility policy to encourage more people from different regions to apply for other positions.
The work-life flexibility program includes disability care, pet care, parenting care, elder care, and educational assistance. It is also worthy to note that Aetna Inc. focuses not only on diversity from an employment perspective but also on customer and supplier activity. The company encourages all companies to provide supplies, from dominant groups to minority groups. In addition, Aetna Inc. runs a supplier program where all these suppliers are encouraged to join. The companies also register a higher productivity margin through this registration due to relative competition between the suppliers (Khan et al. 2020). The company also engages with local civic leaders and non-profit agencies. Through these affiliations, the company has developed a personal relationship with the societies in their different areas of operation, which has resulted in higher customer confidence levels, hence an increased profit margin in these areas of operation (Khan et al. 2020).
The Equal Pay Act
The equal pay act prohibits sex-based wage discrimination between men and women working in the same organization in the same working condition. Adopting the EPA creates a fair and just environment based on pay for every employee to work and be productive in the working environment. Research reveals that making a conducive working environment based on virtues enables the employees to relate to the company morals and values at an individual level, increasing relative productivity per employee. A conducive working environment where each worker is given the same platform to perform leads to a consequent increase in productivity.
The EPA also provides a basis for healthy competition between employees. Employees’ motivation should not be based on incentives or threats but honest and fair judgment and the organization’s core values. Workers will relate more to the objectives of a given company if the pay is worth their time. The EPA ensures that each employee is paid according to their work and productivity rate, not gender. It therefore financially motivates employees through a fair and just means. It also encourages innovation and creativity through employee motivation. The EPA has also reduced cases of sexual harassment in workplaces. These cases had an origin of increased pay, where sexual favors would be traded for incentives and increased revenue.
According to recent research, the unemployment rate in the United States has risen from 2.8 percent to 7.2 percent for adult males. For adult women, the rate has only increased by 5.2 percent. The economy is therefore heavily reliant on women, and so are numerous families in the United States. Balancing the gender wage gap leads to a more balanced and sustainable economy. Although a more significant gender wage gap hurts both the economy and the society, the societal picture of a working woman and a caregiver can be refined by reducing the gender wage gap, which the EPA facilitates. Although there is still a relatively large margin of the gender wage gap, there is still sufficient registered progress since the adoption of the EPA. Any organization that does not adhere to this legislation is liable to fines from the federal government.
Kamal, Y., & Ferdousi, M. (2009). Managing diversity at workplace: A case study of hp.
Khan, M. R., Shobikah, N., & Kaium, M. A. (2020). MANAGING WORKFORCE DIVERSITY
IN ORGANIZATION A CASE STUDY ON AETNA HEALTH CARE SERVICE.
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