Private: Inclusion and Workplace Safety during Covid-19: Be a Beacon!

Private: Inclusion and Workplace Safety during Covid-19: Be a Beacon!

Introduction

. Given the current Covid-19 operating and industrial environment, we may be tempted to set aside Diversity & Inclusion (D&I) and drop efforts to be inclusive. Economic pressure, even with some parts of the country open or partly open for business, is significant and job security is in jeopardy for many. Layoffs are mounting and the unemployment rate as of mid-April 2020 exceeded 11%. These conditions put talent management in the spotlight as companies take on tough decisions even if they are recipients of federal relief dollars, creating a wave of stress at all levels. Workers could be quieter than usual, as they will want to avoid any risk of confrontation or negative association to maintain job security. Managers may find themselves discouraging all but essential communications, as their bosses pressure them to do more with less. Everyone is concerned about themselves and loved ones getting sick or worse, leaving little space for unexpected issues that arise. These behaviors work together to limit information flows. Problems may go unnoticed and unreported, adding incremental risks that could potentially lead to greater problems later on. The risk of accidents occurring due to poor communications among team members is particularly important to mitigate when operations and facilities are involved. Those who are not among the majority, specifically racial and ethnic minorities, women in many professions, LGBTQ, those with disabilities, and veterans, inter alia , may suspect they will be the first to be furloughed without corresponding and unbiased justification tied to job performance. These fears should be acknowledged and addressed. Companies who lead in D&I will use their best efforts to treat everyone fairly. By affirming and communicating the sustained commitment to D&I, diligently utilizing HR data screened for biases in talent management decisions, leveraging employee resource groups to help solve problems, and rewarding inclusive management, companies can built trust and confidence among today’s workforce and be a beacon for talent we will need once we emerge from this cycle. “ Managers may find themselves discouraging all but essential communications, as their bosses pressure them to do more with less. Everyone is concerned about themselves and loved ones getting sick or worse, leaving little space for unexpected issues that arise. These behaviors work together to limit information Flows.“

Economic Slowdown – How bad is it? The forecast for the US economy is grim for at least the next quarter as the world grapples with Covid-19. Of six top banks canvassed by the Greater (City of) Houston Partnership, all project negative growth in real US GDP for the second quarter of 2020, ranging from -7% to -24%, with an average forecast annual growth rate of -1.4%.[i] In late March, the St. Louis Federal Reserve predicted up to 47 million jobs lost in Q2, bringing the US unemployment rate to about 32%.[ii] Oil markets are highly volatile, with periods of unprecedented freefall. Those who are not laid off may see payroll cuts and benefits reductions, adding financial pressure to households in which individuals are already experiencing increased personal stress as the disruption from Covid-19 sets in. Even though the sense of uncertainty is pervasive, individuals will feel vulnerable in different ways. Some may hope that personal relationships will make a difference, while others who are culturally different from the majority may perceive themselves as disproportionately at risk of job loss.

Employee Reactions. Regardless of individual characteristics, in times of stress employees tend to attempt keep a low profile. According to Amy Edmondson, Novartis Professor of Leadership and Management at the Harvard Business School,[iii] taking interpersonal risk at work is something employees tend to avoid even under a normal economic environment. No one wants to appear ignorant, incompetent, intrusive or negative. On the contrary – we want to seem knowledgeable, competent, helpful and positive. Being the bearer of bad news can come with a price and invite retaliation from managers and co-workers, social avoidance from peers, and if not supported by management erode team trust. Yet, receiving notice of problems and operational risks is of critical importance and can even be a matter of life and death. Some team members may feel comfortable sharing knowledge of potential problems with their managers. However, when you are in the minority, authentic communication can be difficult. This is especially true if your news is not good. If your manager typically seems pressed for time and tends to be impatient, you may feel your words of advice or caution would make no difference. Already you may be subjected to unconscious bias, social isolation, and feel your work is more closely watched than that of your peers simply because you are not a member of the majority group. The common response is to protect job security, avoid expending energy to convey information that is not welcome, and keep your mouth shut.

Manager Responses. Diversity initiatives have been around for decades, but elevating D&I to a priority level is relatively new for many corporations. Managers have likely received some training on unconscious bias and inclusive management strategies, but few are held accountable for execution and these practices may still be considered optional. According to Gallup, “managers account for 70% of variance in their team’s engagement,”[iv] meaning that leaders set the tone for their teams. No one will be perfect under stress, but when under short term pressure managers can lose sight of the long term. According to Dan McCarthy in “Bad Management Behaviors: 31 Ways Bosses Drive their Employees Crazy,”[v] many such behaviors stem from lack of inclusion, such as forgetting to share information with all team members, becoming irritated by questions, and granting special favors and leniency in ways that are not transparent. Managers themselves share the same personal worries as their staff, and thus

bear a double burden. These managers need support from their managers so they can remain open to communication. According to the Association of General Contractors of America (AGC), “Workers are more likely to voice their concerns when witnessing unsafe behavior or feeling pressure to conform to culture norms if a company has established a culture where every member of the team feels valued and heard.”[vi] Good managers will go to great lengths to maintain open communications even under pressure.

What We Can Do. Here are six strategies managers need to keep in mind: ● Affirm CEO commitment to D&I ● Communicate aggressively to cultivate employee engagement ● Inform decisions and drive policy through HR data analysis ● Leverage Employee Resource Groups (ERGs) ● Reward inclusion ● Be a beacon

Affirm CEO commitment to D&I. Corporate survival is the #1 priority for many CEO’s at the moment but that doesn’t mean valuing people should be lost. Letting employees know they matter by setting a tone of compassion while making tough staffing decisions builds trust. “Tone at the top is set by the CEO and the senior leadership team and reflects the ethical climate of the organization,”[vii] says Stan Silverman, former CEO, national syndicated columnist, and author of Be Different! The Key to Business and Career Success. Management teams and boards have made significant efforts to recruit and retain a diverse workforce to leverage the benefits of diversity of thought. If you lose track of this value now, teams all the way down the line will follow your example. Our best leaders will make time to let employees know that the importance of D&I is sustained.

Communicate aggressively to cultivate employee engagement. Once top management has publicly affirmed the importance of D&I, reinforce the message periodically through varied channels of communication, both formal and informal. “Now is the time to keep up levels of contact by encouraging employees to be even more inclusive,” states Lee Jourdan, Chevron’s Chief Diversity Officer. He adds, “Don’t be afraid to be vulnerable by sharing your own challenges. By letting people know you too have challenges, you signal to them that problems are not a weakness, but something we can address together.” Communicate that D&I is not a quota system, nor does it sideline quality job performance as a means to broaden demographic participation. Its promise is fairness, in a way that allows us to pivot from making decisions based on “Best Fit” to “Best Person for the Job.” Let employees know job decisions are not tied to popularity and personal relationships. This practice will contribute positively to influencing behavioral norms throughout the organization.

Inform decisions and drive policy through HR data analysis. Competency and performance determine the baseline for employment decisions, but check your biases frequently through data analysis. Use employee data and set criteria to track recruitment, performance, voluntary and involuntary attrition, and promotion. Before finalizing decisions look for outliers, disproportionality in demographics, and potential for unconscious bias. Get as granular as you

can by analyzing demographics by teams. “Data insights are critical right across the business framework and employee lifecycle; strategy, behaviours, governance, business processes, talent attraction, performance management, leadership, learning development and brand,” says Olivia McEvoy, People Services Director, Ernst & Young.[viii]

Leverage ERGs. Existing ERGs have vibrant and insightful networks that can be wide and deep. Built on a foundation of trust and informal communication, ERG members will look to their leaders to determine what to expect in the coming months. Seek out input from your ERGs and encourage their members to stay actively engaged in their work. Whether the workload in your company has increased or slowed, additional stress exists during Covid-19 for everyone involved. ERGs are a ready source of expertise to solve problems. Invite them to recommend solutions to timely challenges such as childcare, work/life balance, and use of technology. The diversity of thought ERGs bring to light in problem-solving could be the next great thing for your company.

Reward inclusion

. “Carrot and stick” is a familiar metaphor for motivation that contrasts reward for good behavior with punishment for bad. Since fear of job loss is pervasive, it’s fairly safe to say that “stick” is already in the system. What’s lacking in our diet is what makes us feel good. In your communications, invite feedback from employees to collect examples of personal engagement among diverse team members and in particular inclusive management. Thank and recognize those who exhibit inclusive behaviors. Showcase employees whose courage to speak up about concerns averted costly operational challenges. This system will help shape company culture so employees can focus on their job, the business, and let go their fears of speaking authentically.

Be a Beacon. In times of crisis, we look to our leaders for guidance, wisdom, and encouragement. “Trust is built on honesty, ethics and integrity,” advises Silverman.[ix] Deploy a multi-faceted crisis management team to keep an eye on corporate values and regularly canvass employee issues. Make every effort to be responsive. You won’t be able to address every concern but you can be as honest and transparent as possible. Individuals are much better at accepting bad news if they feel they have been treated fairly.[x] If you sacrifice trust now, when we emerge from this era you may find employee recruitment and retention a significant challenge in a delicately balanced labor market.

Conclusion

. Covid-19 has brought us challenges we have never seen before, but valuing diversity and inviting inclusion is just as important as ever. Open communication without fear of negative consequences when problems arise, a basic building block of inclusion, is critical to mitigating risk in an operational setting. Company leaders can encourage continuation of inclusive management strategies by publicly affirming the commitment to D&I and by requiring rigorous and detailed analysis of HR data to ensure fairness rather than favoritism is applied to termination decisions. ERGs can help solve problems and amplify communications. Recognize those who consistently and actively support inclusion and remember that each of us has the power to influence others by setting the right example.

Resources

[i] “COVID-19 Business Forum – Economic Update.” Greater Houston Partnership , 14 April, 2020, www.houston.org/covid19-business-forum [ii] Faria-e-Castro, Miguel. “Back-of-the-Envelope Estimates of Next Quarter’s Unemployment Rate.” St. Louise Fed , 24 March 2020, www.stlouisfed.org/on-the-economy/2020/march/back- envelope-estimates-next-quarters-unemployment-rate. [iii]“Crisis Management for Leaders – Program 3, Session 1 Structuring the Organizational Response. Faculty: Professors Amy Edmondson and Dutch Leonard” Harvard Business School , 2 April 2020, www.alumni.hbs.edu/events/Pages/crisis-management.aspx#popup. [iv] Mullen O’Keefe, Shannon. “Take Charge of Work Stress Starting With Your Managers.” Gallup Workplace , 15 May 2019, www.gallup.com/workplace/257501/charge-work- stress-starting-managers.aspx. [v] McCarthy, Dan. “Bad Management Behaviors – 31 Ways Bosses Drive Employees Crazy.” The Balance Careers , 13 November 2019, www.thebalancecareers.com/bad- management-behaviors-2275908. [vi] Brown, Rita, and Brynn Huneke. “The Business Case for Diversity & Inclusion in the Construction Industry.” The Associated General Contractors of America , www.agc.org/sites/default/files/Files/Advocacy/AGC%20Report%20on%20Biz%20Case%20for %20D%26I%20FINAL.pdf. Accessed 21 April 2020. [vii] Silverman, Stan. “Tone at the Top & Culture Are Mission-Critical to All Organizations.” Philadelphia Business Journal , 7 August 2018, www.bizjournals.com/philadelphia/news/2018/08/07/silverman-office-culture-management- tone.html. [viii] McEvoy, Olivia. “Using Data for Evidence-Based Action on Diversity and Inclusion.” Ernst & Young , 9 August 2019, www.ey.com/en_ie/advisory/using-data-for-evidence-based-action-on- diversity-and-inclusion. [ix] Silverman, ibid.

[x] Kislik, Liz. “4 Mistakes to Avoid When You Have to Deliver Bad News.” Entrepreneur , 30 August 2018, www.entrepreneur.com/article/318996. experience in the corporate, non-profit, and startup sectors to make a Beverly Jurenko difference for others through D&I. Diversity & Inclusion Advocate