Why Inclusive Hiring Practices Are Important—And How To Implement Them

By Neil Hare

On June 29, 2023, the Supreme Court ruled that affirmative action at universities, where race and ethnicity is considered a factor for admission and to create a diverse student body, is unconstitutional under the Equal Protection Clause of the 14th Amendment. This ruling has led to confusion among some American businesses about whether hiring practices are similarly impacted or could be, leading to costly litigation and regulatory burdens. Not to mention, this decision comes at a time when unemployment is at a 50-year low and many businesses are struggling to attract and retain workers.

With the “wokeness” debate on the front lines of American politics, there has been mixed feedback on this Supreme Court decision as it relates to employment. Some have argued that while this decision may not explicitly affect hiring, it does open the door to increased legal scrutiny on the consideration of diversity in the hiring process. Still others have tried to make clear that this is a narrowly tailored decision that only impacts academia and not employment.

While hiring and work decisions solely based on race are still illegal, and certain uses of demographic data, like quotas or racial preferences, should be avoided, this decision should not hinder efforts for a diverse and inclusive workforce. According to a recent white paper released by BiasSync, a diversity training provider, not only is hiring not affected by this decision, but diversity, equity, and inclusion (DEI) hiring practices play an important role in business success.

“While the Supreme Court’s decision limits some practices in college admissions, it does not change the fact that diversity remains a business imperative and [is] legal in the workplace when done properly,” says BiasSync CEO Michele Ruiz. She adds, “In fact, proper diversity, equity and inclusion practices have been shown to reduce the risk of discrimination claims.”

DEI efforts are still important for your business

DEI efforts first began with the passing of the Civil Rights Act of 1964 and have been a contributor to the success of businesses. Research has shown that focusing on diversity and inclusion results in higher levels of employee engagement, which is closely linked to employee retention and the overall success of a business. In the current labor market where many businesses are finding recruiting as their biggest challenge, any efforts that can be made to promote employee acquisition and retention should be utilized.

Additionally, the inclusive and standardized hiring practices that are promoted by DEI initiatives help to mitigate bias and discrimination risk. Companies that do not promote DEI pr​actices face greater risk of discrimination litigation. Further, workers today, especially younger ones, are demanding a workforce culture that commits to DEI.

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Using inclusive hiring practices to improve workforce diversity

So how can you improve your hiring practices fairly and legally to ensure a diverse workforce? The BiasSync white paper suggests the following ways to update your hiring process:

1. Job requirements like college degrees can be reexamined to widen applicant pools. Many jobs today do not require a college degree, and many workers can be successful without one.
2. When you post a job, list several skill sets and attributes that are necessary for successful performance. This has shown to help hiring managers avoid unconscious bias.
3. When posting a job for internal applicants, encourage all high performers to apply, not just those who may seem to fit a certain experience level or background.
4. Leverage strategic recruitment partners, such as minority-serving institutions, diverse professional organizations, and employee resource groups to expand the pool of applications.
5. Continuously review applicant data to determine the success of your recruitment efforts.
6. Increase the number of individuals in the interview group by breaking at a higher number, like six instead of three, which often leads to increased diversity in the talent pool.
7. Create more diverse interview panels, which will lead to a wide range of insights and perspectives.
8. When possible, try to have applicants answer the same or similar questions so it is easier for multiple decision-makers to evaluate responses. Interviewers can meet to discuss their rankings and forward them to the ultimate decision-maker.
9. When interviewing for a high-level position, leaders in the company should be consulted and weigh in on the likelihood of success of the candidate.
10. When making a job offer, remember that in addition to fair compensation, workers now want flexibility and an inclusive culture.

In the current environment where viewpoints around DEI and “wokeness” are wide-ranging and emotions run high, it is wise to check with internal or external legal counsel regarding your hiring practices or any new procedures prior to implementation. And once procedures are set, all company members involved in the hiring process should be well-versed in what the process is and why it is in place.

There are benefits for businesses that prioritize DEI

In the current economic environment, DEI efforts can be a powerful to​ol for creating a diverse workplace, resulting in a strong bottom line for your company.

Also, in a time when businesses are struggling to differentiate themselves from other employers in the recruiting process, workplace culture is a valuable asset. DEI efforts, with their correlation to employee engagement, can help foster a healthy workplace culture.

About the Author

Neil Hare is an attorney and President of GVC Strategies, where he specializes in small business policy, advocacy, and communications campaigns; follow him on Twitter @nehare and on LinkedIn. See more of Neil’s articles and full bio on AllBusiness.com.

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