Written by: Richie Perera, Executive Contributor
Executive Contributors at Brainz Magazine are handpicked and invited to contribute because of their knowledge and valuable insight within their area of expertise.
Race and welfare for People of Colour (POC) go hand in hand; being knowledgeable and literate on the race issue is one of the most potent management tools an organisation can have.
If an organisation is headquartered in a metropolis like London or New York, where around 40% of the population is non-white, or somewhere there is an existing racially diverse workforce. Any CEO or manager is required to be racially literate.
When it comes to racial literacy, the first thing organisations can do is stop using terms like "BAME" and referring to people of colour as "ethnic minorities." The use of such language contributes to the broader process of disenfranchisement of these groups.
The truth is that while Black people and people of colour may be a minority in the United Kingdom or the United States, with an estimated 8 billion people on the planet, 7 billion are People of Colour. Globally, these communities constitute the great majority, the most diverse, and the bulk of the global workforce.
When it comes to race equity training and diversity consulting in the West, where a diverse workforce is an ambition or a fact of life in recruitment due to the local demographic. It is critical to ensure that diversity consulting originates from, and is led by People of Colour or a team that is truly diverse.
You might think this is obvious, but there are organisations being consulted on Race at Work by groups or teams that are led by White people and have a White majority.
My advice to firms and managers who have gone down this absurd road is to get out of the mindset that does not allow you to see a Person of Colour as an expert. That in itself is racism. A company can put a stop to this folly by hiring a high-level person of colour who works in the sector to consult and train them. There's plenty out there!
Appropriate Terminology
In 2023, "Black People" and "People of Colour" or "Black Communities" and "People of Colour Communities" are acceptable terms for organisations to use. Be aware that certain people of colour may take exception to being referred to as "People of Colour," mainly as a result of racial experiences passed down from generation to generation.
During segregation in the United States and apartheid South Africa, the term "colour” or “coloured" was used. Many people of colour are still alive from that era; subsequent generations are not familiar with that experience.
"People of the Global Majority" is the ideal term for organisations to use to refer to people of colour. I fell in love with this phrase the instant I heard it. People of the Global Majority (PGM) should be the default term for people of colour. I strongly recommend organisations and individuals to use it.
When compared to "ethnic minorities" or "BAME," "People of the Global Majority" is an empowering, positive, and elevating term, while the former and latter are marginalising and dismissive.
Due to variables such as age and perceptions of words and terminology, the language deemed permissible by an organisation may be unique and specific to that organisation. When it comes to being racially literate as an organisation, using unique and distinctive vocabulary that is accepted internally is an excellent practice. It will give employees the confidence to talk about race-related issues without worrying that they might come across as racist.
Racism is Expensive!
According to Mental Health First Aid England (MHFAE), in the workplace:
50% of black people have experienced racism.
29% indicated the encounter had a negative impact on their mental health at work.
70% of people of colour have reported experiencing racial harassment at work.
33% of Black employees feel their race is a barrier to promotion or their next career compared to just 1% of White employees.
A survey by the Harvard Business Review found that 79% of Black employees in the US think they have to work harder than their non-Black co-workers if they want to move up in their jobs.
Other studies in the US have discovered:
58% of Black professionals believe they are not offered an equal opportunity for growth.
Applicants with "black-sounding" names are 50% less likely to obtain a call back for an interview than those with "white-sounding" names.
32% of Black employees have encountered workplace racial discrimination, compared to 13% of white employees.
Racism, institutional racism, and job discrimination are all major issues in the United Kingdom. A problem that has a significant negative impact on a company's bottom line. It is not only causing mental health issues in PGM’s, but it is also costing businesses a fortune.
According to Route2, an organisation which empowers companies toward systematic and long-term change, ethnic prejudice in the workplace costs the UK £40 billion every year. This amounts to 1.8% of GDP, or £10 billion more than Rishi Sunak's coronavirus response plan. Racism is expensive!
The new normal provides us with a great opportunity to get things right and capitalise on the opportunity that diversity provides. Currently, the data shows that existing leadership in many firms in the UK and the US is failing terribly. The change needed will require new leadership and management perspectives, a topic I have written extensively about in my book Managing People in the New Normal.
The Value of Racial Literacy in Organisations
The World Economic Forum stated that "the business case for diversity in the workplace is now overwhelming." As reported by Guider, a mentoring and career development platform, businesses with diverse management teams experience 19% more revenue.
Diverse boards improved earnings by 43%, and diverse firms are 70% more likely to enter new markets. People Management, one of the leading HR Media brands in the United Kingdom, analysed 200 management teams across a variety of industries. They found that diverse teams make superior business decisions 87% of the time and make faster and better decisions 60% of the time.
According to PricewaterhouseCoopers, 85% of CEOs with a diverse and inclusive workforce saw greater revenues. According to the Boston Consulting Group, a global consulting business, diversity in leadership teams leads to higher innovation and financial performance. They noticed that people from various backgrounds interpreted challenges in various ways. They discovered that people from different backgrounds viewed problems in different ways. This diversity solved issues increasing the chances of one of the solutions being effective.
Race Equity Training
Race equity training is an excellent place to start when it comes to tackling racial literacy in the workplace. It is a sort of training that aims to increase understanding, awareness, and action in the workplace in order to address and eliminate systematic racism and prejudice. It focuses on assisting individuals and organisations in understanding how race and racism affect the workplace, as well as how to create more inclusive and equitable workplaces.
My organisation Mental Health and Life proudly delivers this training.
Race equity training can take many forms, including workshops, seminars, and online courses, and it can address issues such as implicit bias, microaggressions, intersectionality, privilege, and allyship. This programme aims to assist individuals and organisations in recognising and responding to systematic racism and discrimination in the workplace, as well as to build an inclusive culture that values diversity and equity.
Racial equity training can assist individuals and organisations become more aware of the concerns and obstacles that people of colour encounter in the workplace. This can assist organisations in creating a more welcoming and supportive work environment.
Improved Employee Engagement: Employees are more likely to be engaged and motivated at work when they feel appreciated and included. Race equity training can aid in the development of a sense of belonging and the promotion of strong workplace relationships.
Better Decision Making: By reducing bias and encouraging critical thinking, race equity training can help people and organisations make better judgements.
Customers, employees, and other stakeholders are more likely to see companies that prioritise diversity, equity, and inclusion favourably. Race equity training can assist organisations in developing a positive reputation as well as attracting and retaining outstanding talent.
Increased Productivity: When employees feel at ease and supported at work, they are more likely to be productive and contribute to the organisation's success.
Overall, race equity training is a beneficial tool for organisations looking to improve workplace diversity, equity, and inclusion. It can assist organisations in developing a more inclusive culture and cultivating a more engaged, productive, and varied workforce.
An absolute must in the new normal!
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Richie Perera, Executive Contributor Brainz Magazine
Richie is an award-winning CEO and Founder of Mental Health and Life, an organisation that delivers Mental Health First Aid, Race Equity and Suicide Intervention training. Richie is recognised as a global leader in people management and the author of the groundbreaking book, Managing People in the New Normal. Richie is a speaker and consultant on workplace mental health and wellbeing describing it as the most overlooked, undervalued, yet most lucrative facet of business.
