Business in the Community (BITC), The Prince’s Responsible Business Network, has unveiled new research results from its 2023 Race at Work Charter survey, shedding light on the efforts of nearly 250 UK employers representing a workforce of 1.2 million employees.
The survey, aimed at tracking actions taken by businesses to address racial inequalities, revealed a notable increase in the number of employers voluntarily publishing their ethnicity pay gap, rising from 30 percent in 2020 to 44 percent in 2023.
This substantial increase demonstrates a growing commitment among UK employers to transparency and addressing racial disparities within their organisations. While the rise is encouraging, the survey findings also point out areas where progress remains stagnant or has even declined.
One aspect where the survey uncovered a lack of progress is the presence of Race Champions or Executive Sponsors for race within organisations. An overwhelming 95 percent of employers had such positions in place, but this figure has remained unchanged since 2020.
Additionally, the survey noted that 53 percent of employers have set targets to enhance the racial diversity of their boards and senior executive teams, up from 46 percent in 2020.
A decline of bullying and harassment policies
However, the survey also revealed a concerning decline in employers conducting reviews of their bullying and harassment policies. Despite 95 percent of employers having these policies in place, only 25 percent have carried out reviews to ensure their effectiveness. This marks a decline from 2019 when 45 percent of employers conducted such reviews and 38 percent in 2020.
The survey findings indicate that 84 percent of employers are supportive of ethnically diverse individuals in leadership, progression, and recruitment, a notable increase from 74 percent in 2020. Nevertheless, only 44 percent of employers have established objectives for their Board and senior teams, which include actions to promote racial equality.
This figure represents a decline from 50 percent in 2019 and 46 percent in 2020. Similarly, only one in five employers has set objectives on race for line managers, remaining the same since 2020.
What about mentoring programs?
In addition to these findings, the survey reported that 73 percent of employers have mentoring or reverse mentoring programs in place for their Black, Asian, Mixed Race, and other ethnically diverse employees, showing a slight increase from 72 percent in 2020. Moreover, 56 percent of employers sponsor ethnically diverse employees, up from 46 percent in 2020.
The Race at Work Charter, a public commitment that employers can make to prioritise race in the workplace, has been signed by over 1,000 employers, representing nearly six million employees. These employers were asked to share the actions they are taking against seven key commitments outlined in the Charter.
Sandra Kerr CBE, Race Director at Business in the Community, expressed optimism about the increasing number of employers taking action to address racial inequalities in the workplace. However, she emphasised the need for more employers to review their bullying and harassment policies to ensure they are effective, given the significant instances of harassment experienced by ethnically diverse employees.
Richard Iferenta, Partner and Vice Chair at KPMG and Chair of BITC’s Race Leadership Team, highlighted the importance of senior leadership commitment to addressing race inequalities, noting its benefits in promoting equal opportunities and a diverse workforce reflective of the UK’s population.
Baroness McGregor-Smith CBE underlined the tremendous momentum behind ethnicity pay gap reporting, with nearly half of employers voluntarily publishing their data. She called for mandatory reporting to ensure that the government and businesses work together to address disparities in pay experienced by Black, Asian, Mixed Race, and other ethnically diverse employees.
The findings from the 2023 Race at Work Charter survey highlight the progress made in addressing racial inequalities in the workplace, but they also underscore the need for ongoing efforts to drive meaningful change and inclusivity within organisations across the UK.
Amelia Brand is the Editor for HRreview, and host of the HR in Review podcast series. With a Master’s degree in Legal and Political Theory, her particular interests within HR include employment law, DE&I, and wellbeing within the workplace. Prior to working with HRreview, Amelia was Sub-Editor of a magazine, and Editor of the Environmental Justice Project at University College London, writing and overseeing articles into UCL’s weekly newsletter. Her previous academic work has focused on philosophy, politics and law, with a special focus on how artificial intelligence will feature in the future.
