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Article

28 Feb 2017

Author:
Sarah O’Connor, Financial Times (UK)

UK economy loses £24 billion a year from discrimination in businesses against black & ethnic minority employees, finds study

"UK companies ‘holding back black and ethnic minority workers’", 27 Feb 2017

...Companies should publish data on how ethnically diverse they are by pay band, according to a government-commissioned review.  The review found that the UK economy would be roughly £24bn a year bigger if employees from black and minority ethnic (BME) backgrounds progressed at work at the same pace as their white colleagues.  People from BME backgrounds account for 14 per cent of the working-age population but just 10 per cent of the workforce and 6 per cent of top management positions.  Ruby McGregor-Smith,...who led the independent review, said she was “shocked” that only 74 FTSE 100 companies responded to her call for anonymised data on ethnicity by pay band — and just half supplied meaningful information.  She said no company’s commitment to diversity could be taken seriously if it did not collect and scrutinise its own data.  “If they don’t do it voluntarily within a year, then legislate, I’m really adamant about that,” she said in an interview.  The point was not to “name and shame” employers but to make them focus on the issue...