Lack of Diversity in Tech Sector Harming Industry

Workplace discrimination is costing the economy $64 billion annually – that’s what it costs to replace the 2 million workers who quit their jobs due to discrimination,” says Welp. “The vast majority of corporate America is white and male – and that is just not an accurate representation of our society.”

Lack of Diversity in Tech Sector Harming Industry

Women in Tech Symposium | Image Credit to techdiversitymagazine

Lack of diversity and inclusion in the tech sector has been an ongoing issue for some time now. In a recent report by the U.S. Equal Employment Opportunity Commission (EEOC),1 it was found that compared to private industry generally, the high-tech sector employed a larger share of whites (63.5% to 68.55%), Asian Americans (5.8% to 14%) and men (52% to 64%) over African Americans (1.4 % to 14.4%), Hispanics (8% to 13.9%) and women (36% to 48%).

Furthermore, according to USA Today,2 the lack of diversity in Silicon Valley tech firms is magnified. Women, Hispanics and African-Americans comprise 30%, 6% and 3%, respectively, of employees in the top 75 tech firms. The report also confirmed that non-tech firms in the area have women holding 49% of the jobs, Hispanics at 22%, and African-Americans at 24%. Asian-Americans, who hold 41% of jobs in Silicon Valley’s top tech firms, make up only 24% of the non-tech job force.

For Bill Proudman, CEO and co-founder of White Men As Full Diversity Partners (WMFDP), these daunting statistics are a great opportunity to work on positive results with leading tech firm clients on WMFDP’s Fortune 500 roster, which includes Dell and Intel.

“Challenging the leaders of our client firms to eliminate bias within their respective organizations yields positive results in profitability,” Proudman said. “They take it to heart when we tell them that the more diversified your workforce is, the more profitable your company will be.”

One good example is Dell Inc., where Chairman & CEO Michael Dell said, “A diversity of perspectives, backgrounds and experiences is the catalyst for innovation. That is how we deliver better results for our customers and our team members. For us, a diverse and inclusive culture is a competitive advantage.” 3

Proudman applauds all of Dell Inc.’s focus on diversity and inclusion. “Dell is the first global tech company to fully embrace the engagement of male executives in their gender equity work,” said Proudman. “Working with WMFDP and the respected research firm, Catalyst and their MARC initiative, DELL has committed to having all their global execs engaged in MARC (Men Advocating Real Change).”

Similarly, the first-ever White House Demo Day was organized last year to showcase women and minority founders in technology.4 The event, along with President Obama’s call for action, prompted several major tech companies to announce new diversity initiatives. Facebook, Google, IBM, Microsoft and Amazon all jumped on the bandwagon to demonstrate their commitment to improving recruitment and hiring of women and minorities.

Proudman noted that the tech industry is one where innovative minds collaborating lead to the most success. With different backgrounds and cultures involved in the thought process, the opportunities for the tech sector are endless. Tech leaders who embrace diversity in all its facets end up being catalysts for change and are looked upon as leaders—not only in the highly-competitive tech industry, but also in the global marketplace.

Note: WMFDP’s mission is to inspire leaders (especially, white men) to examine their mindsets and assumptions, in order to shift behaviors that create sustainable and inclusive work cultures, which in turn drives business results. Their client list includes: Rockwell Automation, Lockheed Martin, Coca-Cola, Starbucks, BP, Shell, Intel, AT&T, Dell, Microsoft, HP, NASA, Catalyst (women’s advocacy leader), and MARC (Men Advocating Real Change).